Are you self employed or a small employer who has earned too much money this year? If so, you have worked hard and deserve your well earned feeling of satisfaction. Now, how do you feel about paying 35% to 45% to the taxman? If this sounds like you, you may be a great candidate for a 412(i) plan.

412(i) plans are IRS qualified plans that allow most people over age 45 to put away more tax deductible money than any other program. Take a look at the chart below to see comparable maximum contributions (not mandatory) for various retirement plans.

Age	Ret. Age	Profit Sharing	Defined Benefit	412(i) Plan
45	62	$41,000	$ 80,278	$164,970
50	62	44,000	133,131	258,019
55	62	44,000	211,448	395,634
60	65	44,000	236,910	450,112

To get complete information about how these plans work and the investment options, please call Tom Henry at 800-939-8088 ext. 111.

A 401(k) plan is a qualified deferred compensation plan which enables you to save money, lower taxes, and invest in your financial future. Under a 401(k) plan, your elective contributions are made on a before tax basis; that is, the amount deferred will be excluded from your taxable income. For every dollar you defer, you save money in taxes.

The following are some of the elements of a 401(k) plan.

• Elective deferrals are voluntary and the amount you contribute is up to you. (Federal law limits the elective deferral to 100of salary or $12,000, whichever is less.)
• Section 415 limitation. If the employer contributes money on behalf of the employees, the maximum amount that can be deferred is 25of salary or $40,000, whichever is less.
• Deferrals are made before tax; therefore, you pay less in Federal and State income taxes.
• Earnings and income are not taxed until the money is distributed from the plan. When you receive your retirement benefit you may be in a lower tax bracket than you are currently.
  
  There are other retirement plans that may work better for you. Call Tom Henry at 800-939-8088 ext. 111 for information on other types of retirement plans.