October 5, 2005 —

Did you know…

• that retirement can last for 30 years or more?
• that a common rule to follow is that retirees will need up to 80 percent of their annual income today to retire comfortably? 
• that the average amount paid monthly by the Social Security Administration in the form of a benefit is $89?

There is still time to establish a retirement plan before 2005 ends. A retirement plan allows you to invest for the future while providing many benefits for you, your business and your employees. As a bonus, you and your employees may receive significant tax advantages and other incentives.

Benefits for Your Business

• Employer contributions made on behalf of eligible employees are tax-deductible.
• Businesses may receive a tax credit of 50 percent on the first $1,000 in administrative and/or education costs.
• Assets in the plan grow tax-deferred.
• Assets grow with the benefit of compound interest.
• A retirement plan can attract and help retain good employees, consequently reducing your cost of training new employees.

Employee Benefits

• Federal income tax on contributions in the retirement plan is deferred until distributed.
• Investment earnings that accumulate in the plan are not taxed until distributed.
• Retirement assets are eligible for rollover to other employer plans.
• Contributions can be made automatically through payroll deductions.
• A tax-savers credit up to 50 percent is available to individuals within certain income limits.
• Long-term retirement goals are achievable by early and full participation in a retirement plan.
• Qualified contributions reduce employees’ taxable earned income.

Establishing a Retirement Plan

Depending on the type of plan that is right for your business, the range of administrative steps to establish a retirement plan varies.

• First, talk to your wealth management professional to discuss the appropriate retirement plan for your business before the end of the year.
• After the type of retirement plan is determined, you and your wealth management professional select the investment vehicle to house plan assets.
• Your company adopts a written retirement plan before the end of the year.
• Lastly, you notify all eligible employees about the details of their retirement plan.

Set up a retirement plan before the end of the year. Call Doug Hall at 215-564-1900 , who can craft a plan to suit your unique business needs and goals.

Securities offered through1st Global Capital Corp. Member NASD, SIPC. Asher Financial Advisors, LLC is not affiliated with 1st Global Capital Corp.

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