My new employer does not offer a 401k, but instead offers a savings plan based on IRC Section 162, aka executive bonus plan. I'm not executive, but this is the only company offered savings vehicle they offer. They gave a couple options in the plan itself, namely to choose between life insurance or annuity based plan and the contribution amount. I'm looking for some unbiased info to help me make the right choice, or some questions I should ask the financial planner to make an informed decision.

Here are some details of both plans they shared with me:

• The Enhanced Savings Plan is a strategy for long-term savings through the investment of premiums paid on an employee-owned life insurance or annuity policy using post tax-dollars in a variety of investment accounts
  
• 401(k) alternative
  
• 50% matching contribution on investments up to a specified limit to help offset the loss of pre-tax investment benefits.
  
• Provides long-term savings for a variety of needs including: Retirement, Education, Home purchase, Emergencies, Premature death
  
• Participating employees own the policy and account values. Policy is fully portable
  
• Accumulating account value available for personal investment and savings, emergency loans and retirement
  
• Tax-deferred growth on account value, plus disbursement strategies to enable income tax-free withdrawal upon retirement (available in life insurance only)
  
• No limits on employee contributions
  
• Immediate and fully vested contribution up to specified limits
  
• Tax-free life insurance benefit for the family of the participating employee
  
• Participating employees may withdraw from the plan at any time
  
• Wide range of plan designs, investment choices and optional benefit riders available
  
• Retirement annuity option available for those uninterested or for whom a life insurance design is not suitable
  
• Customized plan design and advice available for each employee
  
• Direct investment in mutual fund sub-accounts funds are permitted
  
• Convenience of payroll deduction
  

I haven't found much info off google or the forums here about these types of plans. Right now I'm thinking I should just follow the typical advice given about 401ks, which is contribute the max amount the company will match, then max out your traditional or Roth IRA, and then if you still can & want to save more, increase your contribution to the company savings plan. But I'm not sure if the same advice would apply here or which option, life or annuity, would work out best for my situation.

If anyone has some pointers for this type of plan or some questions I should ask the financial planner, I'd much appreciate it. Thanks in advance.

-TJ