401(k) Plans for Businesses

Schwab makes it easy to get a retirement plan that's individually designed for your business, regardless of its size. With a 401(k) plan, employees can typically make larger salary deferrals than with other retirement plans, and your business gets tax benefits.

Overview

  • What are the fees?

    Fees vary and are based on business needs and solutions.

    What do I get with a Schwab 401(k) plan for my business?

    • A customizable plan
    • Business tax advantages
    • Higher employee contributions than other plans offer
    • Optional employer-matched contributions
    • Tax-advantaged growth
  • Account Pricing

    Fees vary and are based on business needs and solutions.

  • Ready to get started?

    Call 877-456-0777 for more information or to get help setting up a 401(k) plan.

This information is not intended to be a substitute for specific individualized tax, legal or investment planning advice. Where specific advice is necessary or appropriate, Schwab recommends consultation with a qualified tax advisor, CPA, Financial Planner or Investment Manager.

Related Questions

Have questions about 401(k) plans for businesses? Here are responses to some of the most common questions we hear. If you have a specific question that’s not answered here, please call us at 877-456-0777.

A 401(k) plan is suitable for a company of any size that is looking for a retirement solution that allows high levels of salary deferrals by employees. Plans are generally offered to all employees at least 21 years of age who worked at least 1,000 hours in the previous year.

Employee contributions are generally made with pre-tax dollars, although some 401(k) plans feature after-tax Roth contributions. Earnings grow tax-deferred.

The plan is funded with elective employee salary deferrals and optional annual employer contributions. The plan does not need to be funded annually. Employer contributions are tax-deductible up to 25% of participant compensation. Employee salary deferrals are fully vested immediately, while employer contributions vest according to plan terms.

Employees may make an elective salary deferral of up to $19,500 for 2021 and $20,500 for 2022 (or $26,000 for 2021 and $27,000 for 2022 for those age 50 or older). Employers may make tax-deductible contributions of up to 25% of participant compensation, as long as the combination of the employer contributions and the employee contributions does not exceed 100% of compensation or $58,000 for 2021 (or $64,000 for those age 50 or older); $61,000 for 2022 (or $67,000 for those age 50 or older), whichever is less.

Contact

  • Take the next step.

    Call 877-456-0777 for more information or to get help setting up a 401(k) plan.