Attracting quality employees and retaining their services is a key to a successful business. A properly designed retirement plan can attract quality employees, reduce turnover and increase company loyalty and profits. We specialize in administration and investment management of qualified retirement plans.

First Western Bank & Trust utilizes prototype documents that allow plan establishment by simply signing the appropriate documents. This is the most cost-effective type of plan and has been pre-approved by the Internal Revenue Service. First Western Bank & Trust will also assist with the responsibility of keeping the plan updated with all current regulations.

Retirement Account Services

Profit Sharing
A Profit Sharing Plan is 100% funded by the Employer but allows company contributions to be discretionary. Therefore, you can adjust the contributions from year to year, depending on your current situation. A vesting schedule can also be established. A vesting schedule requires an employee to work a certain number of years before they have 100% ownership of the funds in the plan. Profit Sharing Plans also allow the employer to contribute up to 25% of its total compensation base, up to the regulatory limits.

This is the most common form of retirement plan offered. It allows for both employer and employee contributions. It offers all the benefits of a profit sharing plan, along with the ability for employees to contribute their own dollars. Traditionally, 401(k)s offer pretax savings, but now they can also offer Roth Deferrals. This is a very popular option for many employees. With the Roth option, employees can pay taxes on the money now and take distributions tax-free in the future.

Individual K
Individual K Plans (also known as Solo 401(k) Plans) are the newest form of retirement plan for self-employed individuals. They offer all the benefits of both profit sharing and traditional 401(k) plans, and are the best tool to maximize your individual savings.

Safe Harbor 401(k)
Safe Harbor 401(k) Plans are for employers who wish to maximize their personal savings and not worry about complex testing and contribution restrictions. With a traditional 401(k), owners and “highly compensated employees” are restricted on the amount they are allowed to contribute to the plan in relation to “non-highly compensated” employees’ contributions. With a Safe Harbor Plan, the employer commits to make a certain level of match or non-elective contribution, thus eliminating the testing requirements and restrictions.

Administrative and Trustee Services

We provide the following administrative and trustee services for all employee benefit plans:

  • On-site meetings with employees
  • Participant statements
  • Summary annual reports
  • Summary of participant accounts
  • Annual 5500 reporting
  • Annual plan testing
  • Monitoring of asset maturity

Local administrative staff and in-house computer systems allow flexible report design and responsive client service.

Investment Services

First Western Bank & Trust can also provide the fiduciary responsibility of investment management. The following investment management duties would be assumed:

  • Determination of trust investment objectives
  • Investment of trust funds
  • Providing investment options for employees
  • Reports of trust assets on a periodic basis
  • Monitoring of investment ratings and values
  • Cost-effective security purchases and sales