If filing your small business taxes yourself becomes too complicated or confusing, it's advisable to consult with a professional the first time so you'll understand all of the steps and documentation needed. Step 1. Gather each tax form you need to fill out for the type of business you own.
Definition of profit sharing. : a system or process under which employees receive a part of the profits of an industrial or commercial enterprise.
Another difference between 401k and profit sharing plans is the issue of vesting, the time when an employee is entitled to contributions to a plan. Amounts contributed by employees are always 100 percent vested.