Ep #118: 401(k) for Business Owners Explained: Traditional vs Safe Harbor, Contribution Limits, and Common Myths

Business Exit Success

WANT MORE BUSINESS PLANNING TIPS?

Subscribe to the Newsletter!

As a thank you, you'll receive a copy of my free eBook, "Exit & Succession: How to Increase Business Value & Prepare For a Sale or Succession."

Click here to subscribe and grab your free guide.

Are you ready to sell your business and retire? Get your free assessment: https://beyondyourexitwm.com/free-readiness-assessment

Are you a business owner looking to build wealth and lower your tax bill? In this episode, we break down everything you need to know about setting up a 401(k) retirement plan for small businesses — including how to choose between a Traditional 401(k) and Safe Harbor 401(k).

You’ll learn how to leverage the 2025 contribution limits, automate your savings strategy, and avoid costly mistakes with the help of a Third-Party Administrator (TPA).

Key Topics Covered:

• Common myths about 401(k) plans for entrepreneurs and small business owners

• Safe Harbor 401(k) vs Traditional 401(k): pros, cons, and compliance differences

• 2025 401(k) contribution limits and how to maximize them

• The role of TPAs in managing and optimizing your plan

• How to automate your retirement investing strategy

Whether you're a solo entrepreneur or have a growing team, this episode is your guide to creating a tax-advantaged retirement plan that helps secure your financial future — without relying solely on selling your business.