Rapid City Journal from Rapid City, South Dakota • 30

Business Sunday, June 27, 1999 Rapid City Journal mm it your own business i 1 I fiP? I'm pi I I U- Rabe corporate tax rata of 35 percent, your business would actually save $4,200 in taxes ($12,000 35 percent) and come out $200 ahead by making the tax-deferred retirement plan contributions for yourself and your employees. Remember, having just gotten over the pain of tax day, Uncle Sam provides you with a vehicle to save taxes, hold your moot valuable assets your employees and look down the road to retirement Your investment professional and tax advisor can help determine -the type of retirement plan that makes sense for you and your business, both now and in the future. The 1990s have seen an increasing number of people decide to start their own business or join smaller companies. While many of you have made the change for a near-term benefit (i.e. higher salary), you also need to consider what types of long-term compensation your company makes available.

Specifically, you should learn about the company's retirement plan. Whether an employer or an employee, a retirement plan is vital to your long-term financial well-being. There are four solid reasons why your business should have a solid retirement plan. Incentive for employees As a key part of any employee's compensation package, a retirement plan can help business owners attract andor retain quality workers. As a result, your business can save both time and money in training and productivity.

Retirement income-building vehicle For most people, there are four basic sources of income after you retire: Social Security, retirement plan assets, personal savingsinvestment programs and wages from continued (or part-time) employment. While Social Security was designed to assist your financial needs after your working years, the Social Security Administration currently estimates that Social Security benefits replace only 21 percent of your average annual income, and possibly less, depending on how much you earned. A retirement plan can greatly help you and your employees generate sufficient income for your retirement years. Tax-deferred contributions A special retirement plan benefit to employers and employees alike is tax deferral. Year after year, your money can grow, compound and avoid taxes until you start making withdrawals.

As a quick illustration, if you contribute $8,000 annually to a retirement plan account that fetches a seven percent rate of return, it will grow to about $808,584 in 30 years, thanks to tax deferral. A taxable account with the same contributions and rate of return would only grow to about $541,183 in that 30-year period. This example assumes a 31 percent tax bracket and does not reflect the performance of any specific investments. Keep in mind that earnings are taxed upon withdrawal, and withdrawals prior to age 59-12 may be subject to a 10 percent IRS penalty. Tax savings for your business As a business owner, contributions to your employees' retirement plan are tax-deductible.

And many times those contributions can either cover or exceed the "cost of making contributions for your employees. For example, let's say your annual salary is $80,000 and the salaries of two other employees are $20,000 each. If you contribute 10 percent of each employee's salary ($8,000 for yourself and $2,000 for each of your employees) to the company retirement plan, you would have a total of $12,000 in retirement plan contributions. While it "cost" you $4,000 to contribute to your employees' retirement plans, at the current Knudson Kahler E. Thorstenson.

Honored: Faith Wendt, a sales associate at Coldwell BankerLewi8-Kirkeby-Hall Real Estate in Rapid City, recently won the Don Zenk Memorial Award. It is presented each year by the Black Hills Board of Realtors in recognition of the spirit of cooperation in the real estate business. KELO-TV in Sioux Falls was recognized by the National Association of Broadcasters Educational Foundation for its community efforts to rebuild the tornado-ravaged town of Spencer. KELO received the Friend in Need of Television Award. Pioneer Credit Debt Consolidation in Rapid City named Jovana Brandon its employee of the month.

She is a bilingual account representative and has been with the company two months. The Americlnn Motel Suites of Rapid City has ranked in the top 10 percent of quality assurance excellence, according to the chain's corporate office. Certified: John Knudson, with Shoreline Hair Studio, has been certified as an Aquage Alliance member. He received his certification from Dennis Lubin, president and chief executive officer of Salon Quest International. Knudson is now certified as an in-salon educator for product knowledge, technique and promotion of hair beauty.

Completed: The College for Financial Planning in Denver announced that Rick Kahler of Rapid City has completed the master of science degree program, Wiilhite with an emphasis in wealth management He is president of Kahler Financial Group, a fee-only financial planning and investment advice firm in Rapid City. Baker Top sales: Jerry Dykstra was the top producer for the Ted Wolk district office of Modern Woodmen of America for May. Norcraft Companies of Eagan, named Clayton Wiilhite of Rapid City to its 1998 Circle of Excellence. Norcraft manufactures and distributes cabinetry. Appointed: Kara Baker of Rapid City was appointed agency resource manager for the Mahler Agency of Lutheran Brotherhood, a fraternal benefit society.

She will work with Lutheran Brotherhood's volunteer programs and resources, and serve as a liaison to more than 125 Lutheran congregations. Information for the Business World column must be received by 3 jn. Tuesday. Space permitting, items will be published the next Thursday or Sunday. Only one top salesperson or employee of the month per company per month will be published.

Include a reference phone number. Photographs may accompany your news but are not returned. For more information, call Dan Daly, 394-8421. PROF LLC tulatx Dykstra Rick iTiomas A Rrgutetcd Representative of Spectrum Capital LkxiueJ insurance Producer Mutual Fandi FuedVariable Annuities LifeHealth Insurance Rushmore Bank Trust 14 St Joseph St 606-343-1(123 Securities through Spectrum Capital, Inc. Member NASD 'SIPC No Bank Guarantee Not FDIC Insured May Lose Wue Quinn, Day Barker Law unices Wendt Named: Jerry Majzner recently was hired as the computer training coordinator for the Business Industry Training Center at Western Dakota Technical Institute.

He will develop and schedule customized computer training classes for individual businesses, either at WDTI or on-site using the center's mobile computer lab. Elected: Linda Rabe, vice president of the Rapid City Area Chamber of Commerce, was elected to the board of directors for the Mid America Chamber of Commerce during its regional meeting in Sioux Falls last month. MACE represents state chamber associations in South Dakota, North Dakota, Iowa, Minnesota, Wisconsin and Nebraska. Rabe has been with the Rapid City chamber for nine years, serving as vice president since 1995. Legal honors: Rapid City attorney James L.

Hurley received the annual "Pro Bono Publico" (For The Public's Good) Award for contributing 38 hours to low-income clients during the past year. He was among 40 local attorneys honored by the Pennington County Bar Association and Black Hills Legal Services. The others were: Brian L. Utzman; Catherine E. Mattson; Charles J.

Mickel; Daniel E. Ashmore; David J. Huss; Debra D. Watson; Dennis C. Whetzal; Dorothy A.

Dvgaa; Elizabeth M. Frederick; Eric D. Whitcher; Gary G. Colbath Gerald M. Baldwin; Gordon D.

Swanson; Gusiav K. Johnson; Homer Kandaras; James G. Sword; James L. Jeffries; James W. Olson; Jean Kline; Jody L.

Speck; John R. Murphy; John W. Dill; Joseph M. Butler; Keith R. Smit; Linda Lea M.

Viken; Mark Falk; Michael B. DeRf ersseman; Michael C. Loos; Nora K. Kelley; Patricia A. Meyers; Raymond R.

DeGeeat; Robin L. Zephier, Ronda L. Miller; Rcemary E. Cotton; Sarah A. Hirsch; Steven J.

Helmers; Terry L. Hofer; Thomas E. Simmons and Verne Future is in the wild blue yonder By Michael Quintanilla 1999, Lcs Angeles Times Just when you got the scoop about orange being the hot color for the coming millennium (according to the Color Marketing Group), now comes scoop No. 2: Blue is the fashion hue for the future. So claims Pantone Inc.

Cerulean blue the color of the sky (well, except for Los Angeles' wild brown yonder) to be exact. "Our studies show that blue is the leading favorite color for designers and consumers," says Lisa Herbert, a vice president at Pantone, a leading authority on color trends. The company has chosen the heavenly hue as the next century's official color because "it is a universal, unisex color" applicable to every consumer product, including women's, men's and children's fashions and cosmetics, Herbert reports. The color also has many psychological benefits because of its association with peaceful, relaxing times such as time spent outdoors and on the beach. But we're looking forward to wearing the shade because it compliments our eyes.

doum uaKota CPA Society Congratulates Terrance Nemec, CPA McGladrey Pulka LLP 1999-2000 otSDCPAS sf e- business you is. Jtt Rocbuok-PMreon vtot pnK9nft of fcwMtmwtta wWt AXL ErtMtfdi A Sons HMwnbo of SoouiIKm Invwrtof Pfotaotion Corp. A MM laxgn. awn to tM Btacfe Hftfc In t7t. 8n hm boon ki no tnvMtfnont buotnoM slnoo IMS, aflMrtt A.8.

Edmrt Jn Hw pieo nucnter to 91 X) Financial Questions? Personalized Answers! WADDELL Financial Services The people with 0 plan Jor you. Division Office 3484050 1600 Mountain View RA Suite 102 RipklGtySD. 57701 TODAY Each Day In The Rapid Citya Journal rffc in need tJ? Kimberly A.Thoemke Professional of the Year ruiiiif Kimberly A.Thoemke has been selected as the 1999 Legal Professional of the Year by the Pennington County Legal Secretaries Association. Kimberly has been a legal secretary for 14 years has twice been elected President by the association. QDB is a law firm consisting of 8 trial lawyers.

The firm emphasizes its practice in the areas of Personal Injury, CommericiaJBusiness Litigation, and Medical Malpractice. Quinn, Day Barker Law Offices WOf LLC 4200 Beach Rapid City 3434400 117 5th Bell Ftmrtb 892-2743 The rapidly changing technology of tomorrow can be yours today. With KT Connections, your business will have connections to: computer hardware 'software selection accounting software installation computer networks support phone systems -training Find out how we can be your full-service computer consulting center, a IU Llo. Connections, Inc. iL dii.i(iit ol Kelcl 823 Quincy St.

Rapid City 341-3873 E-Mail: connectktllp.com In today's 1 I I ifM-- s. For otrxr mm iiiinn' i iimn' ijiii.iMBWpiipjMiiiiii)iwMiiiipijtii.iPHJBLWWiwww"l"''iwiiii 4-11 If l- IIS nji'L' ii niiwipvii i iiiTryimn ij iin ji i ii i iin i iiitt rrrnnnn--7- i ri iin i mil in FIRST NATIONAL RANK Invites You To A if iif I bMM mm Pnr iwif. A mnltnr af.Brifiifltinn involvement and hiah i ethical standards by Rob Hollan, attorney FREE Refreshments Public Welcome Wednesday, June 30, 1999 3:00 p.m. 909 St. Joseph First National Bank Building Rapid City, SD Please R.S.V.P.

(605)399-0990 -''ni'fjHT'" cooperation and helpfulness towards realtors, the public Do CM Miw Unttmswidt Ti turn.