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Features

Passport401k is pre-configured with features that maximize retirement readiness and streamline administration. Choose from the three plan types below to meet your goals.

START

Includes these pre-configured plan design features.

1. 60 Day Eligibility – Employees are eligible the first day of the month 60 days after hire date.
2. Auto Enroll – 6% automatic enrollment with an annual 1% automatic increase. Employees can opt out at any time.
3. Safe Harbor Design – Highly compensated employees can maximize salary deferrals. Requires company to fund match of 3.5% of compensation (100% up to the first 1% of compensation, plus 50% on the next 5%).
4. Profit Sharing – Fund a discretionary profit sharing contribution.

FLEX

Choose from the following flexible design options.

1. Eligibility – Choose one of the following options:
- a. 60 days after hire date
- b. 3 months after hire date
- c. 6 months after hire date
- d. One year after hire date
2. Auto Enroll – 6% automatic enrollment with an optional annual 1% automatic increase. Employees can opt out at any time.
3. Safe Harbor or Non-Safe Harbor 401k – Your plan design choice.
4. Custom Employer Contributions – Add a custom feature to maximize contributions for owners or highly compensated employees’ (up to $66,000 and $73,500 over age 50 in [this year]). See below for more details.

ADVANCED

Choose from the following advanced design options.

1. Eligibility – Choose one of the following options:
- a. 60 days after hire date
- b. 3 months after hire date
- c. 6 months after hire date
- d. One year after hire date
- e. One year and 1,000 hours
2. Auto Enroll – 6% automatic enrollment with an optional annual 1% automatic increase. Employees can opt out at any time.
3. Safe Harbor or Non-Safe Harbor 401k – Your plan design choice.
4. Enhanced Profit Sharing – Maximize owner and highly compensated employee contributions -up to $73,500 each.
5. Pair with Cash Balance – Further optimize owner and HCE savings.

Each option is pre-configured with common plan design features. Passport401k Design Details

Custom Profit Sharing Option

The Enhanced Plan offers a custom profit sharing feature called “New Comparability” that maximizes contributions to owners or highly-compensated employees. Download Fact Sheet

Overview of New Comparability

New Comparability allows employers to make different contributions to different employee groups such as owners, highly-compensated employees, and other employees.

Maximize Contributions for Owners / Key Employees
Contributions are Discretionary
Different Contribution Rates for Employee Groups
Flexible Design to Meet Employer Goals
Can be Combined with a 401(k) Plan
Works Best if Owners are Older Than Other Employees

Good Candidates

Good candidates include businesses where owners have higher income, steady profits and cash flow, and where owners are older on average than other employees.

Owners Seeking Maximum Contributions
Physicians and Medical Practices
Dental Practices and Orthodontists
Law Firms
Architectural Firms
Other Professional Companies

Custom Profit Sharing Example

Below is an example of a Custom Profit Sharing Contribution compared to a basic plan. Many different designs are possible as employees are classified in groups and different amounts are funded to each group. Click the button below to let JULY prepare a no-cost, custom plan design illustration for your company.

Contact Our Sales Team to Request an Illustration

**Comparison of Plans**
DEMOGRAPHICS			ALLOCATION METHODS
Employee	Age	Salary	SALARY PROPORTIONAL	FICA INTEGRATED	NEW COMPARABILITY
Owner 1	53	$330,000	$66,000	$66,000	$66,000
Owner 2	47	$150,000	$30,000	$25,670	$66,000
Employee 1	40	$52,000	$10,400	$8,899	$2,600
Employee 2	35	$48,000	$9,600	$8,214	$2,400
Employee 3	30	$40,000	$8,000	$6,845	$2,000
Employee 4	28	$35,000	$7,000	$5,990	$1,750
Employee 5	25	$32,000	$6,400	$5,476	$2,600
Total		$687,000	$137,400	$127,094	$143,350