401k Corrective Distributions Explainer | explainer video made with ngram

About the video

This explainer video was made with ngram to help business owners understand why 401(k) corrective distributions happen and what they cost. it explains how these refunds occur when a retirement plan fails irs non-discrimination testing because highly compensated employees contribute disproportionately more than other staff, turning what looks like a bonus into a sign of a flawed plan design. the video details the consequences, including immediate taxable income and a possible 10% excise tax for late corrections, and covers key concepts such as highly compensated versus non-highly compensated employees, safe harbor provisions, and irs compliance timelines. it then introduces franchise benefits' 401(k) fix it audit as a way to restructure plans, stop recurring refunds, and maximize allowable contributions, giving business owners a clear path toward compliant, better-structured retirement plans.