|General Description||Flexible plans with various contribution options designed to reward long-term employees with tax-deferred growth — including an optional loan provision.|
Wells Fargo offers a wide range of plans so you can get the retirement plan services you need for your business.
A money purchase plan has a fixed contribution requirement that your business chooses when your plan is started. Your business must then make that same contribution percentage each year regardless of your company's profits.
In contrast, a profit sharing plan offers more flexibility in determining annual contribution amounts. You decide how much you want to contribute each year — you can even skip years if you need to.
|Eligibility to Contribute|
|Maximum Annual Contribution|
|Tax-Deductible Contributions||Employers can deduct contributions from federal taxable income.|
|Taxation of Earnings and Withdrawals||Contributions and earnings are taxed as ordinary income when withdrawn.|
|Types of Investments||Stocks, bonds and mutual funds available through a Wells Fargo Advisors brokerage account.|
|Withdrawal Penalties||10% IRS early withdrawal penalty if withdrawn before age 59 ½ unless exception applies. |
|Required Withdrawals||Must begin at age 70 ½.|
|Deadline to Set Up and Fund|
|Commissions and Fees||Varies by account and investments.|
Learn more about saving for retirement; contact a Wells Fargo financial professional today!
Brokerage products and services including WellsTrade are offered through Wells Fargo Advisors. Wells Fargo Advisors is the trade name used by two separate registered broker-dealers: Wells Fargo Advisors, LLC and Wells Fargo Advisors Financial Network, LLC, (Members SIPC), non-bank affiliates of Wells Fargo & Company.
Financial Advisors are registered representatives of Wells Fargo Advisors LLC, member SIPC, a non-bank affiliate of Wells Fargo & Company.
Wells Fargo Advisors, LLC (Member SIPC) does not provide tax or legal advice. Please see your tax and legal advisors to determine how this information may apply to your own situation.
Information published by Wells Fargo Bank, N.A., Wells Fargo Advisors, or one of its affiliates as part of this website is published in the United States and is intended only for persons in the United States.