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Issues Regarding Offering Company Stock in a 401(k) Plan
401kHelpCenter.com Link to more items from this source
Jan. 14, 2005
Excerpt: Question: What are the pros and cons of offering company stock as an investment option in our 401k Plan? Answer: Some of the advantages for having employer stock in a retirement plan include: Pride of ownership by aligning stakeholder interests; Tax advantages for participants who take a distribution in company stock; Matching in stock doesn't cost the firm cash and is not an expense on the income statement, which can help the company's earnings; Possible tax breaks for the[.]

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