NU Online News Service, Nov. 29, 10:40 a.m. – John Hancock Financial Services Inc., Boston, has introduced a 412(i) defined benefit plan targeting older small business owners who have not yet planned for their own or their employees’ retirement.
The program will help small business owners take advantage of pension savings “catch up” provisions in new federal tax legislation that take effect Jan. 1, 2002.
Fewer than 20% of businesses with fewer than 25 employees have qualified retirement plans. Hancock says it will be going after the 5.6 million small businesses that have no retirement plans.
Hancock’s 412(i) program will provide customized, qualified retirement plans funded exclusively with Hancock life insurance and annuity products.