Lance Wallach is a pension expert who has written and spoken extensively on the benefits of a VEBA. I recently had the opportunity to be on a conference call with him and Tim Metz, CPA. Mr. Wallach explained the benefits of a VEBA under IRC 419(e). There are huge advantages with this type of plan as compared with a 401(K). There are no contribution limits on a VEBA, you can set variable vesting times, withdrawals at any time are tax-free as long as the money is spent on the employees health and welfare, and post-retirement medical expenses can also be funded.

Mr. Wallachs company sets up and administers the VEBA plans with the help of CPAs and attorneys licensed in the state where the business is located. The typical set-up fee is between $6,500 and $10,000, all of which is tax deductible. The set-up fee depends upon how much tax planning the business wants. For example, the VEBA can be used to fund a buy-sell agreement, or the VEBA beneficiary can be a life estate set up to avoid probate.

There may be tremendous benefits to profitable businesses with two or more key employees to use a VEBA to fund a buy-sell agreement, and the funds contributed for the buy-sell agreement are deductible going in and tax-free coming out. The VEBA also offers almost unlimited opportunities to fund employees health and welfare benefits which are also deductible going in and tax-free coming out. I can provide you with more information about VEBAs or you can visit Mr. Wallachs website and read the numerous publications he has written on the subject.

Jo Ann Joy

Jo Ann Joy is the CEO and owner of Indigo Business Solutions. She has a law degree, an MBA, and a degree in Economics. Her legal background includes commercial, corporate, bankruptcy and real estate law. She has expertise in accounting, financial planning, mortgages, marketing, product development, and business strategies.

Jo Ann ran a successful business for 10 years, and she has written and given presentations on many different legal and business subjects. Jo Ann started Indigo Business Solutions, and she strives to help small businesses make decisive improvements in their start-up, direction, growth, and performance. Jo Ann is passionate about helping businesses succeed.

Indigo Business Solutions is a ?one stop shop? for small businesses. We differ from other business consulting firms, because we offer comprehensive legal and business counseling. We work with our clients to develop strategies that create value and competitive advantage. Jo Ann is not a traditional attorney. Rather, she is a strategic business attorney who works closely with clients to create and implement strategies that will greatly improve their performance and success.

Jo Ann will her talents, expertise, and education to inspire enterprising and imaginative people to make their goals a reality and enjoy professional and personal growth. She promises to consistently deliver quality and reliable service to earn your trust and create lasting relationships. She promises that she will make a positive difference in your business.

If you are not getting what you want from your business or if you want to reach higher goals, Indigo Business Solutions delivers the strategic planning that will provide you with the right tools and methods to grow and gain market share. Please look at our website and found out how we can help you expand and achieve your goals.

We offer straight talk, sound advice, and practical solutions. Your small business deserves to be a success, and