Small Business Retirement Savings News

business (6)Gov. John Kasich’s 2014-2015 state budget has passed, and that means changes to many areas of the government. ┬áBut, what does it mean for you as a small business owner? Does it affect the way you save for retirement? How about your health care? Are you saving for your retirement? What are the best options for you as a small business owner? Below, there are three articles that will certainly be of interest for you. Click on the links to read the articles in their entirety.

Lt. Gov. draws attention to small business in local visit

If it weren’t for a pair of western boots and a pair of pink socks, Ohio’s lieutenant governor might have spent less time in downtown Marietta Thursday.

Lt. Gov. Mary Taylor has been on the road this week visiting towns and small businesses across Ohio to gauge reaction to Gov. John Kasich’s recently passed 2014-15 state budget.

After similar trips to Salem and Kent on Wednesday, Taylor stopped by Schafer Leather Store for a private meeting with owner Rob Schafer and Marilyn Ashcraft, southeast region representative for the lieutenant governor.

Small business owners neglect retirement savings

Kari Warberg Block calls it her day of reckoning. It was the day 10 years ago that she realized she had saved nothing for her retirement.

“I started thinking about all the money that had run through my hands over the years, millions of dollars,” says Block, owner of Earth-Kind, a manufacturer of rat and mice repellent. “I was sick to my stomach.”

For many small business owners, the golden years aren’t looking so shiny. Many have devoted so much time and money to their businesses that they have failed to plan for retirement. Catch-up plans for these owners usually consist of aggressively putting money aside, or taking another big risk: Planning to sell their companies one day to fund their retirement.

A retirement plan solution for small businesses: A simple IRA

Are you a small business owner that has been contemplating establishing a retirement plan? Are you concerned about the administrative costs and headaches associated with running a 401(k)? If so, a Savings Incentive Match Plan for Employees (SIMPLE) IRA may be a plan to fit your needs.

A SIMPLE IRA is an IRA-based plan that gives small employers a simplified method to make contributions toward their employees’ and their own retirement. Under a SIMPLE IRA plan, employees may choose to make salary-reduction contributions and the employer makes matching or non-elective contributions. All contributions are made directly to an Individual Retirement Account or Individual Retirement Annuity (IRA) set up for each employee. SIMPLE IRA plans are maintained on a calendar-year basis.