New Specialized Small Business Owner 401k-PlanTM Offers Retirement Solutions For Financial Advisors and Solo Entrepreneurs

Self-employed, solo entrepreneurs and financial advisors now have a unique option for retirement planning, with the help of BSW Benefit Plans Plus, (BPP) L.L.C., of St. Louis, Missouri.
The Small Business Owner 401k-PlanÔ (SBO-401k-PlanÔ) is designed exclusively for ultra small business owners with no employees other than a spouse. With this new plan, individuals can save up to $40,000 through maximum salary deferral and employee contribution limits for 2002.

The unique feature of the SBO-401k-Plan is the flexibility of unlimited investment options. Financial advisors can offer their customers access to almost any type of investment. While with this unique plan individual business owners can choose either self-directed or professional management at the financial institution of their choice (financial institution must provide single custody account, daily valuation of securities and Internet access).

"No one provides this type of retirement arrangement, our unlimited, flexible investment options make the SBO-401k-PlanÔ one-of-a-kind," says BSW Benefit Plans Plus, L.L.C., Principal Larry Aberle, APM. "We want small business owners and financial advisors across the nation to know there is another retirement planning choice."

Also unique to the SBO-401k-Plan is the added flexibility of cost effectively expanding the plan if the business takes on new employees.

"We know small business owners want a CHOICE that will accommodate their business as they grow and expand their employee benefits, the SBO-401k-Plan is designed to do just that," says Aberle.

SBO-401k-Plan Features For 2002:

Eligible Employers: In general, any business that employs no more than an owner and their spouse (includes corporations, partnerships, and sole proprietors) are eligible.

Plan Establishment Deadline: Company tax year-end.

Eligibility: Age 18, no service requirement, immediate entry.

Investment Options: Unlimited. You choose either Self-Directed (must comply with Section 4975 of IRC (Prohibited Transaction Rules) or Professional Management within single custody account at the financial institution of your choice (financial Institution must provide daily valuation of securities and Internet account access).

Salary Deferral Contributions: Up to $11,000 (not to exceed 100% of compensation -- $200,000 compensation limit for 2002). Total salary deferral and employer contributions up to a maximum of $40,000.

Catch-Up Contributions: Participants age 50 and older may contribute an additional $1,000 in salary deferrals after initial $11,000 salary deferral contribution, which does not count towards the overall contribution limit.

Employer Contributions: Employer may contribute up to 25% of compensation (earned income for self-employed --$200,000 compensation limit for 2002) or $40,000 contribution maximum. (Salary deferral contributions are counted towards the $40,000 limit.)

Rollovers: Rollovers are allowed from traditional IRA, SEP, SIMPLE (SIMPLE IRA rollover eligible after two-year holding period is met), profit sharing, defined benefit, 401(k), 403(b) and governmental 457 plans.

Loans: Available (subject to IRS guidelines) to all participants, including unincorporated business owners.

Withdrawals: Limited to distributable events such as financial hardship, retirement, death or disability.

Valuable Features:
IRS approved plan document
24/7 account access
Daily valued account

Set-Up Charge/On-going Service Charges:
Plan Document and Adoption Agreement $500 (deductible).

Annual Plan Administration: $250 (deductible). Includes: Employer Contribution Calculation, Compliance Review, Balance Sheet & Income Statement, Accrued Participant Report.
   
IRS 5500 preparation $250 (deductible) annually for signature-ready 5500-EZ (5500 filings not required for plan until assets exceed $100,000).

Loan fee: $120 per loan, no on-going fees.

Distributions $75.

Additional Services: Trust accounting for multiple accounts; $95 per hour (1 hour minimum).

BSW Benefit Plans Plus, L.L.C., founded in 1998 for comprehensive specialized plan administration, is a subsidiary of Brown Smith Wallace, L.L.C., of St. Louis, Missouri. With more than 90 resource associates, BSW L.L.C., serves clients throughout the world. Today the BSW Benefit Plans Plus, L.L.C., team exists to provide customized employee benefits … on time, on budget, as ordered.

The BPP staff offers an average of more than 18 years of experience and is enrolled to practice before the Internal Revenue Service. They also maintain advanced designations including: Associate Professional Member, Certified Pension Consultant, and Qualified 401k Plan Administrator through the American Society of Pension Actuaries.

For additional information please visit www.bpp401k.com or contact Patrick Shelton at pshelton@bpp401k.com or call 800-511-0726.




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