Business Owners Policy is a policy that combines property, liability and business interruption coverages for small- to medium-sized businesses. Coverage is generally cheaper than if purchased through separate insurance policies.

is a type of liability insurance available to individuals and companies protecting them against claims and lawsuits above and beyond the amount covered by their primary policies liability limits, or for claims not currently covered. These policies are purchased in increments of $1,000,000.

In many cases we have been able to help clients fund these important policies through savings realized on their auto and homeowner’s insurance through our insurance carriers and/or through simply increasing their deductibles.

A system of compensation for work-related injuries or death, paid for by employer compensation insurance contributions. Premiums are based on the number of employees, the type of business and the incomes of each employee. Workers compensation is required for all businesses in North Carolina with 3 or more employees.

An owner can opt out of coverage for themselves and some will choose to do this to reduce costs. If they make this choice we recommend they have medical and disability income insurance coverage for themselves.

Surety Bond is a contract guaranteeing the performance of a specific obligation. Simply put, it is a three-party agreement under which one party, the surety company, answers to a second party, the owner, creditor or “obligee,” for a third party’s debts, default or nonperformance. Contractors are often required to purchase surety bonds if they are working on public projects. The surety company becomes responsible for carrying out the work or paying for the loss up to the bond “penalty” if the contractor fails to perform.

Group Health Insurance is a single health policy covering a group of individuals, usually employees of the same company or members of the same association and their dependents. Coverage occurs under a master policy issued to the employer or association.

Group Disability Plan is a single disability policy covering a group of individuals, usually employees of the same company or members of the same association and their dependents. Coverage occurs under a master policy issued to the employer or association.

401(k) plan is a defined contribution plan offered by a corporation to its employees, which allows employees to set aside tax-deferred income for retirement purposes, and in some cases employers will match their contribution dollar-for-dollar. Taking a distribution of the funds before a certain specified age will trigger a penalty tax. The name 401(k) comes from the IRS section describing the program.

From the employer perspective, retirement plans are a wonderful benefit to provide in order to attract and retain employees. There are now many variations of these plans that reduce the record keeping burden, and cost associated with establishing and maintaining company retirement accounts.

From the participants perspective, 401ks, IRA’s and all qualified retirement accounts are wonderful tools for growth during the accumulation phase of money. Careful planning is necessary when using these funds for a majority of one’s retirement assets due to the possible challenges of these accounts during the distribution and preservation phases of money. For example: If the tax structure should increase in future years then tax distributions would be at a higher rate than when contributions were made. This would create a reverse tax strategy.

Simplified Employee Pension Plan (SEP) is a retirement program for self-employed people or owners of companies with less than 25 employees, allowing them to defer taxes on investments intended for retirement. There is no limit to the size of the plan, and the employer makes deductible contributions to the IRA’s of eligible employees.

From the employer perspective, retirement plans are a wonderful benefit to implement in order to attract and retain employees. There are now many variations of these plans that reduce the record keeping burden, and cost associated with establishing and maintaining company retirement accounts.

From the participants perspective, 401ks, IRA’s and all qualified retirement accounts are wonderful tools for growth during the accumulation phase of money. Careful planning is necessary when using these funds for a majority of one’s retirement assets due to the possible challenges of these accounts during the distribution and preservation phases of money. For example: If the tax structure should increase in future years then tax distributions would be at a higher rate than when contributions were made. This would create a reverse tax strategy.

Profit Sharing Plan is an arrangement in which an employer shares some of its profits with its employees. Profit-sharing allows for changing contributions each year. Contributions are determined by a formula to allocate the overall contribution and distribution of accumulated funds after the retirement age. Contributions and earnings can grow tax-deferred until withdrawal.

From the employer perspective, retirement plans are a wonderful benefit to implement in order to attract and retain employees. There are now many variations of these plans that reduce the record keeping burden, and cost associated with establishing and maintaining company retirement accounts.

From the participants perspective, 401ks, IRA’s and all qualified retirement accounts are wonderful tools for growth during the accumulation phase of money. Careful planning is necessary when using these funds for a majority of one’s retirement assets due to the possible challenges of these accounts during the distribution and preservation phases of money. For example: If the tax structure should increase in future years then tax distributions would be at a higher rate than when contributions were made. This would create a reverse tax strategy.

Companies with 100 or fewer employees could benefit from the small business pension plan, called Simple IRA — Savings Incentive Match Plan for Employees. A Simple IRA plan is a tax-favored retirement plan.

Employers must make either a non-elective contribution of two percent of compensation or a matching contribution of three percent each year and must notify the employee prior to the beginning of each year which contribution type the employer will make.

All employee and employer contributions are fully vested and tax-deferred until withdrawn. When eventually withdrawn, Simple IRAs are taxed as ordinary income. Generally, withdrawals before two years of participation are subject to an additional penalty of 25% (unless you are 59½ or older or meet other exceptions). After this two year wait, the rules applicable to Traditional IRAs apply.

From the employer perspective, retirement plans are a wonderful benefit to implement in order to attract and retain employees.

From the participants perspective, 401ks, IRA’s and all qualified retirement accounts are wonderful tools for growth during the accumulation phase of money. Careful planning is necessary when using these funds for a majority of one’s retirement assets due to the possible challenges of these accounts during the distribution and preservation phases of money. For example: If the tax structure should increase in future years then tax distributions would be at a higher rate than when contributions were made. This would create a reverse tax strategy.

* Products not underwritten by the Guardian Life Insurance Company of America.