DBIllustration o45-35
© 2004
AutomatedPensions.com
DBIllustrationBank
Owner Age(s):
45
Employee Ages:
35
Year:
2007
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3 Plan Comparison
Traditional
Defined Benefit Plan
Cash Balance Plan
Cross-Tested
Cash Balance Plan +
Profit Sharing Plan
Click for illustration-->
illustration
illustration
illustration
Defined Benefit Plan
Cost of owner(s)
$99,511
$93,596
$93,596
Owners' % of plan cost
92.6%
91.5%
see Owners' % of
Grand Total below
401(k) Plan
(includes
Profit Sharing)
optional/required
optional
optional
required
Additional benefit
to owner(s)
(includes owners'
401(k) deferral)
$29,000
$29,000
$26,025
Combined Plans
Total for owner(s)
$128,511
$122,596
$119,621
Owners' % of Grand Total
92.7%
91.9%
95.8%
Administrative expense:
high
twice as high
three times as high
Overall Grade
*
:
A-
F
F
Comments:
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*Note that even poorly graded plans may be appropriate in certain situations, such as for lower benefit levels, or if the employee total compensation package is negotiable.
