Popular Master Plan

We can offer our Popular Master Plan, which provides distinct advantages in both time and money, made possible by utilizing a plan already established and qualified by the Puerto Rico Treasury Department.

As an employer, you will receive professional advice in the design and implementation stages of your plan.

The Popular Master Plan can be adopted by corporations, partnerships, sole proprietors and self-employed individuals as a Money Purchase Plan, a Profit Sharing Plan, a 1081.01 (d) Cash or Deferred Agreement or a combination of the above.

• You benefit because our legal staff remains on top of regulatory changes that affect the way a retirement plan should be structured and administration.
• You can rest assured that our team of experts will make sure that these regulatory changes are implemented in the Popular Master Plan.

The Popular Master Plan simplifies and reduces the implementation and operating cost of your defined contribution retirement plan by consolidating it in one institution which offers all of the following services:

• Plan design implementation and qualification
• Three flexible Plan adoption agreements
• Daily valuation record-keeping services
• Diversified investment options menu
• Enrollment and investment education sessions
• Support the plan's administrator

1. Money Purchase Plan
   Under this plan, you as the employer may contribute to each plan year with up to a maximum of 25% of the total compensation paid to all participants. Upon adoption of the Popular Master Plan, a fixed percentage is selected. You can make your contribution in one or more deposits.
2. Profit Sharing Plan
   Under this plan, you can change the amount that is contributed to the plan on an annual basis. As the employer, you may contribute annually, in one or more payments, a minimum of 25% of the total compensation paid to all plan participants. However, your annual contribution is subject to a net profit requirement and you may opt not to make a profit sharing contribution in any particular plan year.
3. Cash or Deferred Arrangement 1081.01 (d) / 401 (k) Plan
   Under this plan, your employees make plan contributions through payroll deductions. Your employees choose to contribute part of their salary to the plan on a pre-tax or after-tax basis. However, as employer your contributions may be made as a profit sharing contribution, or as an employer matching contribution, tied to the employees' contribution.