Destel-Bergen Corporation

At Destel-Bergen Corporation we design, set up and administer qualified retirement plans. A qualified retirement plan is a savings program set up by an employer or a self-employed individual to provide retirement income to their employees or themselves. The term "qualified" indicates that the plan meets the requirements of the Internal Revenue Code.

Qualified retirement plans are afforded special tax treatment. Contributions are tax deductible to the sponsor, and funds in these plans accumulate tax free. They become taxable only when they are paid out to the employee. Qualified retirement plans fall into two basic categories: Defined Contribution Plans and Defined Benefit Plans.

Defined Contribution Plans
A defined contribution plan provides benefits based on the amount contributed to an employee's individual account, plus any earnings that are allocated to that account. They can include both employer contributions and employee contributions.

Defined Benefit Plans
A defined benefit plan promises to pay a specified benefit at retirement age. This is usually stated as a monthly benefit starting at retirement age, and is based on a formula stated in the plan. Such benefits are often paid out in a lump sum, and then rolled over into a "rollover IRA". An enrolled actuary must calculate the annual contribution amount.