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Profit-sharing is a type of compensation program that allows companies to help their employees in saving for retirement. These contributions such as 401(k) are done in a discrete manner. The amount given will be depending on the company’s earnings over a period of time. This is different from an employee bonus because this contribution plan is only applied when the company sees a profit. Profits can be given to qualified employees through cash or in stocks.
Types of profit-sharing plans include The pro-rata plan which is considered the most common, the new comparability plan which is known as the most flexible, and the age-weighted plan which is considered the most helpful for retaining talent. You have to consider some steps to decide which profit-sharing option is right for your business. If you are planning to use the profit-sharing plan, then you have to choose the right template for it. There are lots of templates out there, but you always have to choose the one that will make your work easier but still giving you the best quality.
Making this plan might be a hassle. But, you’re in the right place. Because Template.net has offered you Profit-sharing plan sample templates that you can use. These templates are created professionally with step-by-step instructions that will guide you through your planning process. You will already have your Profit-sharing plan in no time. What’s even better is that they are editable. These are readily available and printable on MS Word. What are you waiting for? Plan with a purpose with us now!