March to a Million - Episode 39 Recap
In this episode of March to a Million, host Greg DuPont is joined by Brad Barlow, an actuary and retirement planning expert, to discuss a game-changing strategy for business owners looking to maximize tax savings and accelerate their retirement planning. If you’re an attorney, consultant, doctor, or business owner with high, consistent income, you may be leaving hundreds of thousands of dollars in tax savings on the table.
This conversation breaks down the defined benefit plan, an often-overlooked financial tool that allows business owners to shelter large amounts of income from taxes while building substantial retirement assets.
Why Business Owners Need to Know About Defined Benefit Plans
Many business owners and professionals start late on retirement savings and worry they don’t have enough time to catch up. Traditional 401(k)s and IRAs have strict contribution limits, making it difficult to stockpile significant retirement funds quickly.
Brad explains that defined benefit plans offer a highly flexible and powerful solution, allowing business owners to put away hundreds of thousands of dollars per year in tax-deferred contributions.
✅ Who Benefits the Most?
Business owners with high, stable incomes
Professionals in their 40s, 50s, or 60s looking to catch up on retirement savings
Entrepreneurs who may not be able to sell their business as a retirement strategy
Attorneys, doctors, consultants, and sales professionals with side income from 1099 work
Anyone looking for aggressive tax-saving strategies
How It Works: The Secret IRS Loophole That Makes This So Powerful
Originally designed for large corporations, IRS regulations accidentally created a massive tax-saving opportunity for small business owners.
What Changed?
The 2008 Pension Protection Act significantly increased contribution limits, making it easier to put away large sums tax-free.
Business owners who start later in life can contribute even more since the IRS assumes they need to "catch up" in fewer years.
Example Cases from Greg & Brad:
A real estate broker in his early 60s with high six-figure income can defer hundreds of thousands in taxes annually.
A successful salesperson earning more than he spends can shelter extra income, lowering his tax bill dramatically.
Why Haven’t You Heard of This?
Many financial advisors focus on 401(k)s and IRAs, overlooking more advanced solutions.
The rules seem complex, but partnering with the right actuary makes setup simple.
Key Takeaways for Business Owners & Attorneys
1️ Supercharging Tax Savings
✔️ Contribute up to $300,000+ per year tax-deferred
✔️ Works on top of your 401(k) and profit-sharing plans
✔️ Avoids high-income limitations on Roth IRAs
2️ Pairing Defined Benefit with a “Mega Roth” Strategy
✔️ Use after-tax 401(k) contributions to build a tax-free retirement fund
✔️ Convert these to a Roth IRA for tax-free withdrawals
✔️ Doctors, attorneys, and consultants can use side-business income to fund a Roth without income limits
3️ Simple Setup & Ongoing Management
✔️ Initial setup cost: ~$2,000-$5,000 (tax deductible)
✔️ Annual fees: ~$2,000 (also tax deductible)
✔️ Contributions are flexible based on business cash flow
4️ Unexpected Professions That Can Use This Strategy
🚀 Medical professionals (physicians, dentists)
🚀 Freelancers & consultants with 1099 income
🚀 Actors, authors, Uber drivers with side businesses
🚀 Business owners planning to retire within 5-10 years
Next Steps: Is This Right for You?
💡 If you’re a business owner earning well but worried about taxes and retirement, this strategy could change your financial future.
📩 Get in touch with Brad Barlow or Greg DuPont to discuss how a customized defined benefit plan can work for you.
📌 Learn more:
🔗 Join WSN – joinwsn.com
📞 Wealth Solutions Network: (614) 432-8065
👥 Know someone who could benefit from this? Share this episode with business owners, attorneys, and professionals who need smarter tax and retirement strategies!
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