Executive Workers Fully Funded Retirement Maximum Contributions

(Non-contibutory 401k Free Funding)

Workers Personal 401k Contribution:

a) Loan Funded – Private Finance,

Credit Union,

Own 401k Balance (5%)

b) Structured Salary Sacrifice – dismantle sacrificed salary components: DiscretionaRy wage, Worker’s Income Tax, Workers FICA , Employer’s FICA

Matching Employer Maximum Contribution (Salary Sacrifice provides 100% Maximum Funding) Tax Differential against Corporate rate of 21%

Employer $2million Loan Back Program

Employee Loan against Vested Equity – Matching Employer Contibution

Interest Free & Optional

Employer Debt to Equity – effectively sell the Business to Employees via 401k ownership – funded by Employer’s Matching Contribution via Salary Sacrifice

Employee Loan Repayment via Debt to Equity Swap

Shares in Employer Firm or Unrelated Corporation

Business Buyer – Acquisition Finance

Worker’s dismantled salary sacrifice enables a loan from Employers

$20.000 CAN BE Contributed by a Worker as Personal using an Employer Loan

Sacrificed Salary saves workers Income Tax & FICA, plus Employers FICA, Plus Workers Discretionary Spending (around $12,000) – offset by 401k Tax Rebate ($5,000) = Detriment down to only $7,000

The Employer Loan of $20,000 – which can be shifted in to CRM Limbo together with the Balance of $7,0000 to meet living expenses (which Employer retrieves via the salary sacrifice.)

There are some schools which advocate not having an employer directly advance money to workers as the IRS can deem the payment to be income rather than a loan. The technicalities can be taken in to account.

Matching Employer 401k Contributions also funded via salary sacrifice for deficit of $12,000 in living cost – partially offset by $6,000 reduction in Workers Income Tax

Living Costs supplement shifted to CRM Limbo. Ultimately ALL LIMBO LOANS can be zeroed and offset by Capital Gain Profit if earned income is below $40,000. Otherwise a beneficial tax rate of 15% can be applied ( balanced out by Worker Special Bonus via CRM JV

NOTE: 2 sets of Salary Sacrifices produce spinoff income in the hands of the business owner – which woulD be diminished if not shifted to the CRM JV where expenditure on marketing activities are tax deductible

Funds directed to CRM JV are expected to generate additional revenue with an element of income tax felt at the time living cost loans are advanced – impacting at the Corporate income tax rate. Hence adjustments may be made by netting off.

After Employer’s Matching 401 Contribution is made it can be vested – enabling 50% of the combined total 401k Investments to be borrowed by the Worker for Investment – by on-lending to Employer,

The earnings rate can be determined by the Employer – and receipt of interest by the Workers 401k can be Tax Exempt – potentially beneficial for the Employer being able to massage their loan interest expense to suit business operations.

The Employer is put in funds when a Worker on-lends money borrowed from their 401k – which is then able to be directed to expand expenditures on CRM Marketing via the JV Business Development Program.

The anticipated Marketing Multiplier of 3 should increase Total Revenue several times even though there will be a Cash Flow Draw Off to make advances to the Worker, enabling them to maintain their personal discretionary spending & meet all budgeted living costs


Thus drawing off capital for Workers who need to maintain their personal expenditures should not retard growth rates sigificantly.

The Treatment of How An Employer can gain access to Millions of Dollars in Workers 401k Plans needs to be developed separately from the 401k Funding Processes – which are prerequisites for making the Capital materialize.

This is a truly amazing aspect of the 401 Retirement Legislation. However very few professional advisors or commentators have grasped the nettle.

401k Jv Dihitsl; Street Maketinf:

Employee Revenue Sharing – Split Salary, Tax Differential Funding Expanded Marketing Budgets

:Less Tax/ More Revenue. Greater Profits. Lower Wages Bill

Tax Differential Cost Saving – Reduced Fica Feeds Bigger Marketing at less cost

Employee Profit Sharing Incentives

Equity Participation – Earned Bonuses Plus Tax Advantaged Capital Gains

Combining Salary Packaging. Remuneration Planning , JV CRM Marketing Marketing – Tripling Revenue

Specialists in Cash Flow Management – Profit Recovery – Cash Flow Recycling & Optimization – Tax Credits – Incentives – Savings

CRM <Marketing Multipliers extract extra revenue with Economic Efficiency – Improved Capital Efficiency of All Cash Flows & Cost Centers

Business Investment Tax Free Dividends Pay next year 401k Personal Contributions

Tax Free Income – Paid via 401k and borrows from Own Fund and that of Clients

Offshore Structured Business Investment – Tax Free Society holds Tax Exempt for Life

Unvested Funds invested tax exempt for Employer

Business Consultant/ Partner – Borrows at 15% compound deferred from 401k – repays year 5 with interest =

Reborrow year 6 Double the Capital