Home Appliance Warehouse,Inc.would like to set up a retirement plan for its employees that encourages employees to save for their own retirement.The company is willing to match employee contributions.Which of the following plans would be appropriate in this situation?

Question

Quizplus · Accepted Answer

A 401(k) plan would be appropriate in this situation as it allows employees to contribute a portion of their pre-tax income to the plan and the company can choose to match a certain percentage of the contributions. This can incentivize employees to save for their own retirement while still receiving a benefit from the employer. The other options (cash-balance, 403(b), and 457) do not offer the same type of matching contribution structure as a 401(k) plan.