What is a primary attribute of an employer-sponsored qualified plan?

A primary attribute of an employer-sponsored qualified plan is that it provides tax advantages for both the employer and employees. This means that employers can often deduct contributions made to the plan from their taxable income, while employees typically enjoy tax-deferred growth on their contributions and eventual distributions. This dual benefit is a significant incentive for both parties, fostering greater participation in the plan.

In contrast, the requirement to exclude part-time employees does not universally apply, as certain plans may include part-time workers. The assertion that there is a mandatory waiting period of five years is not a general rule for all qualified plans; different plans may have varying vesting schedules. Additionally, it is a misconception that qualified plans are solely available to large corporations, as many small businesses also offer such plans to their employees. Therefore, the benefit of tax advantages is indeed a cornerstone characteristic of these plans, making it the correct answer.