Test form

Welcome to the Shelton 401(k) online plan creation

Select the option that best describes your role so we can ask the right questions:
Select the option that best describes your role so we can ask the right questions:
- Business Owner, HR decision maker
- Other, no thanks, just looking

How many employees (including you) would be eligible for the plan?
Number of Employees:
Hidden
Navigation Description
Need Clarification?

Include full-time and part-time employees age 21 or older in your count.

A full count will help us make a better suggestion for your situation. Employees must be age 21 or older to be eligible to participate. Once eligible, all employees will be automatically enrolled in the plan, but they will be able to opt out. The only exceptions are union employees, independent contractors, and nonresident aliens. These employees aren’t eligible for the plan, so you don’t need to include them in your count.

What's the estimated average annual pay for an employee at your business?

Don’t worry; a ballpark number is fine. This will only be used to estimate costs if you choose to make matching contributions. If you aren’t sure what your employees’ average salary is, just use the pre-filled amount.*
What's the estimated average annual pay for an employee at your business?
Hidden
Navigation Description
*According to the Bureau of Labor statistics, the median weekly earnings of full-time workers in the U.S. were $936 in the fourth quarter of 2019 (multiplied by 52 weeks for a total of $48,672 per year). Source: https://www.bls.gov/news.release/pdf/wkyeng.pdf

When would you like employees to be enrolled in the retirement plan?
Once eligible, all employees age 21 or older will be automatically enrolled in the plan.
- First day of work
- After 3 months of work
- First Anniversary
Hidden
Navigation Description

Who will pay the monthly $6 per participant fee?
There is a flat monthly $6 recordkeeping fee per participating employee for the Shelton Capital Retirement Plan Services 401(k) plan. You, as the business owner, can pay this fee quarterly—or it can be deducted from each participating employee’s plan assets monthly.
Who will pay the monthly $6 per participant fee?
- Business owner (you)
- Employees
Find out how the SECURE Act could help.

How could the SECURE Act help with this fee?

The SECURE Act provides a tax credit for up to 50% of the qualified new plan startup costs paid or incurred by a small business for 3 years.* If you choose to cover the monthly $6 per participant fee as an added benefit to your employees, this will increase the total plan startup costs that may qualify for this tax credit. Consult with a tax advisor or other appropriate counsel for details.

*(1) $500 or (2) the lesser of (a) $250 for each non-highly compensated employee who is eligible to participate in the plan or (b) $5,000.
Hidden
Navigation Description

What percentage of an employee’s pay (pre-tax) would you like to set as the default contribution?
What percentage of an employee’s pay would you like to set as the default contribution?
This plan has automatic enrollment. That means you need to select a default percentage that all eligible employees will start contributing when they are automatically enrolled in the plan. Don’t worry; employees can change this amount or opt out at any time.
Need Clarification?

What’s automatic enrollment?

Automatic enrollment is a plan provision which automatically enrolls participants into the retirement plan at a specified salary deferral percentage unless the participant elects otherwise by completing an enrollment form. This can help increase participation, simplify administration, and help employees save for retirement. As an added benefit, the SECURE Act offers a new tax credit for small businesses implementing automatic enrollment using an eligible automatic contribution arrangement (EACA). It’s $500 annually for 3 years. This is in addition to the plan start-up credit. Consult with a tax advisor or other appropriate counsel for details.
Hidden
Navigation Description

How would you like to handle employee contribution increases?

Automatic contribution increases help make saving for retirement easy for your employees.
How would you like to handle employee contribution increases?
- Auto increase By default, employee contributions automatically increase 1% each year up to 10%, helping employees save more for retirement. Employees can opt out anytime.
- Employee decides Employees contribute only the default percentage of their income each year until they make a change.
Hidden
Navigation Description

As the business owner, are you okay with making matching contributions?

Business owners have the option to match employee contributions. This not only provides a benefit to employees, but also helps encourage them to participate in the retirement plan. Matching contributions are tax deductible. Learn more about tax deductions at IRS.gov
As the business owner, are you okay with making matching contributions?
- Yes
- No
Hidden
Navigation Description

Which type of matching contribution do you want to make?

Contributing to your employees’ retirement is a great benefit to them. There are two ways you can contribute—safe harbor and non-safe harbor. Both options provide tax deduction benefits.
Which type of matching contribution do you want to make?
- Safe harbor You will generally contribute more, but IRS-approved guidelines allow you to bypass some compliance testing.
- Non-safe harbor You have the option to contribute less, but cannot bypass compliance testing required by the IRS.
Need Clarification?

What’s safe harbor?

Safe harbor is a type of 401(k) plan that allows you to bypass some of the compliance testing required by the IRS to make sure the plan is fair. In return, you’re required to help your employees save for retirement by making matching contributions to their 401(k) accounts. With safe harbor, you’ll contribute more money, but there’s less paperwork and administrative hassle. With a non-safe harbor plan, you have the option to contribute less, but you can’t bypass compliance testing required by the IRS. Check out the safe harbor resource page for more details.
Hidden
Navigation Description

Would you like to stretch your safe harbor match?
Would you like to stretch your safe harbor match?
- Stretch your match
  Match your employee’s contribution:
  
  Match 100% up to the first 3% of pay
  +
  Match 50% of the next 2% of pay, up to 5%
  (If your employee contributes 5%, your match would be 4% of pay.)
- Straight match
  Match your employee’s contribution:
  
  Up to 4% of pay: Match 100%
  +
  Match 50% of the next 2% of pay, up to 5%
  (If your employee contributes 4%, your match would be 4% of pay.)
Hidden
Navigation Description

Review Your Plan
{all_fields}
Hidden
Navigation Description
Ready to complete your company 401(k) plan?
Please fill out your name, email and company name so we can email your Plan Document.
Name
First Last
Email
Company Name
Does your company already have a 401(k) Plan?
- Yes
- No

Test form

Welcome to the Shelton 401(k) online plan creation

Select the option that best describes your role so we can ask the right questions:

How many employees (including you) would be eligible for the plan?

Include full-time and part-time employees age 21 or older in your count.

What's the estimated average annual pay for an employee at your business?

When would you like employees to be enrolled in the retirement plan?

Who will pay the monthly $6 per participant fee?

How could the SECURE Act help with this fee?

What percentage of an employee’s pay (pre-tax) would you like to set as the default contribution?

What’s automatic enrollment?

How would you like to handle employee contribution increases?

As the business owner, are you okay with making matching contributions?

Which type of matching contribution do you want to make?

What’s safe harbor?

Would you like to stretch your safe harbor match?

Stretch your match

Straight match

Review Your Plan

Ready to complete your company 401(k) plan?