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Retroactive Plans

Startup a Cash Balance Plan

Did your clients file their corporate tax extension?

If so, they are in the perfect position to start up a retroactive Cash Balance or Profit Sharing plan for 2022. This is a great opportunity to take advantage of additional tax savings and build up your client’s retirement savings.


To get started, follow these steps:


Contact Trinity Pension Consultants who specialize in plan design to walk you through the process.


Review your client’s preliminary 2022 tax return to evaluate the potential tax benefits and savings associated with setting up a Cash Balance or Profit Sharing plan.


Decide on the type of plan that best suits your client’s business needs. Cash Balance plans are typically better suited for smaller businesses with fewer employees, while Profit Sharing plans can be a good option for larger businesses with more employees.


Work with our in-house Actuarial team and administrators to start up the plan and ensure that it is compliant with all applicable laws and regulations.


Finally, your client will make contributions to the plan for 2022 before the extended tax deadline and deduct those contributions on their 2022 tax return.


By taking advantage of a retroactive Cash Balance or Profit Sharing plan, your client can save thousands of dollars in taxes.

Contact Trinity Pension Consultants at 877.206.6290 to start the process today!

About the author

Heather Craigg