831(b) Plan reserves are held in a C-Corp that elects under the 831(b) tax code, which as of 2024, allows for up to $2.8 Million in annual tax-deferred contributions (subject to contribution limits) and has an annual inflation rider adjustment. Investment income and realized gains generated by plan reserves are taxable at the C-Corp rate. Dividend distributions taken by shareholders are taxable to the individual at the qualified dividend rate.