No retirement plan works without rigid compliance and employee control. Right? Wrong. See how the Radish model changed all that.

Introduction

Which employees are we talking about, and what do we mean by "tight"?

TC Employee Pain points - Why the Traditional 410(k) Retirement Plan is less than an Ideal Match.

Undoubtedly, the most popular retirement program in the US is the 401(K). Why? It’s a long-term savings plan many companies associate with offering their employees significant IRS tax deferments and other benefits. Ted Benna - applauded as a pioneering frontrunner in this arena - negotiated several life-changing federal tax concessions as incentives for employees to save for their future. 

So, while 401(k) plans are fundamentally sound, our TC employees (as defined above) suffer unique pain points that this model can’t sustainably address. There are several reasons for this, as follows:

Why the Radish Retirement Plan Fills Most of the TC Employee Gaps.

The Radish retirement model hasn’t missed a beat in leveraging the same Ted Benna-initiated IRS benefits and annual contribution limits offered to the 401(k) program. Also, the programs can run concurrently side-by-side for the same employer if desired. Therefore, participants opting for the Radish plan lose no tax deferment, potential dollar growth, other deductions, and flexibility offered to high-income retirees favoring a 401(k). 

So, what are the compelling differences attracting TC employees and their employers to climb on the Radish bandwagon?

• It applies to almost every industry where TC employees play a significant role, including healthcare, education, manufacturing, logistics, hospitality, retail,  distribution, and more. 
• The retirement beneficiaries (i.e., the TC employees) participate based on the employer taking 100% responsibility for the Radish plan contributions with zero budgetary pressure attached to a staff member entering the program.
• You, the employer, control the TC employee plan investments, removing the complexity of:
• Offering diverse investment options.
• Employees self-guiding fund allocations.
• Costly and intricate administration.
• Meeting onerous regulatory requirements.
• TC employees have access to their nest eggs whenever emergencies arise, creating liquidity as a gigantic feature of the Radish model. However, premature withdrawals may upset the tax benefits of a full retirement term. 
• Whereas the 401(k) compliance requirements are rigid, expensive to administer, and require special-skill application (rating it a “10” in complexity), conversely, the Radish plan (aligned with the 401(a) structure) rates as a “2.” Why? 
• It reflects significantly less complicated and financially onerous regulations or reporting protocols (more on this in another of our articles coming soon). 

What’s the Radish program “catch”?

It's at this point that employers raise the two "elephant in the room" questions, 

  a.   "What's in it for me to fund 100% of my TC employees' Radish contributions?"

or:

  b.   "What's the catch?"

There isn't one. Indeed, here’s where the innovative Radish methodology - integrated with Ted Benna’s original thinking, mentorship, and investment - provides a unique opportunity for you to create retirement stability and employee retention in your business.

We work with stakeholders to tie their Radish plans to TC employee incentive programs structured around them achieving KPIs connected to rewards in retirement plan contributions.

The Radish Model is a Win-Win.

Our model revolves around a groundbreaking profit-sharing system that improves your revenues alongside workforce stability. In other words, the 100% Radish injections you make on behalf of your TC employees are part of the extra KPI-influenced earnings they’ve generated for you.

Examples of Radish-influenced KPI programs for clients are:

1. We helped the owners of an education organization structure rewards connected to KPIs such as:

• Student enrollment growth.
• Improvement in the school’s academic rating.
• Student feedback of teacher proficiency.
• Employee’s innovative ideas that generated revenue.

   2. We guided a distribution center client’s KPIs to focus on things like:

• Order picking accuracy  when fulfilling orders (a significant customer satisfaction determinant)
• Recording inventory accuracy.
• Time saved in the “receiving of goods” cycle.
• Solving backorder glitches due to out-of-stock items.
• Packing boxes per hour and order fill rate.
• Inventory turnover.
  

Conclusion and FAQs

So, what are you waiting for? Contact the Radish team today for a free, no-obligation, frank discussion about your middle-wag employee’s retirement plan needs and retention strategies. We guarantee you won’t regret it.

FAQs

Q1: What is a Radish Plan?

A: A retirement savings model similar to the popular 401(k) but with significantly unique benefits middle-wage employees can take advantage of.

Q2: What are the Radish Plan’s advantages to middle-wage employees and employer expectations?

A: 

ADVANTAGES

• Employers fund it 100%
• Funds are seamlessly accessible.
• No investment knowledge is required.
• The same tax benefits as a 401(k). 

EXPECTATIONS

    a. Employees meet KPI targets in a formal performance incentive program.

    b. Employees appreciate the 401(k) security and remain loyal to their employer.

Q3: What are the Radish Plan’s advantages to employers?

A:

• It applies to almost every industry where TC employees play a significant role.
• Employers control the TC employee plan investments, removing the complexity of:
• Offering diverse investment options.
• Employees self-guiding fund allocations.
• Costly and intricate administration.
• It reflects significantly less complicated and financially onerous regulations or reporting protocols.

Q4: Can my business offer 401(k) and Radish plans to the same employee?

A: Yes. They don’t obstruct each other.

Q5: How easy is it to structure Radish plan incentive programs?

A: With the Radish team in your corner, it’s as easy as saying your ABC.