We believe there are 5 components of a plan that must be working properly for a plan to be successful:
1. Plan Design
Whether your goal is to attract and retain the best employees, or provide maximum contributions to the highly compensated, we can help you design a plan that may work. There are many types of plans and a wide range of features we can use to help meet your objectives. The providers we work with are all experienced record keepers who will focus on minimizing compliance risk and maximizing participation in the plan.
For example, maybe you would like to offer benefits such as guaranteed income* (yes, from a 401k!), or the option of professional money management through a separate managed account, or even self-directed brokerage… it’s your plan and we are here to help make it work for you.
*Any guarantees are based on the claims paying ability of the issuer.
2. Investment Selection
Let’s face it, if your plan doesn’t offer a selection of investment choices, it may fail to provide the growth opportunities your employees may need to help meet their retirement goals. There are rules in place that govern your responsibility as a fiduciary in this regard. Again, as Financial Advisors, we offer the expertise to recommend investments that will give everyone in the plan choices, not just the very young or just those near retirement.
We believe every investment should have an objective, and we will see to it that your plan offers adequate investment options for the people who make your business successful.
3. ERISA and Fiduciary Responsibility
As a plan fiduciary, you have a number of responsibilities to your plan and its participants. It’s vital to understand the nature and requirements of these responsibilities. Many providers offer a fiduciary warranty, but we also believe in utilizing a company who has a system in place to manage this responsibility for you… producing an Investment Policy Statement, systematically reviewing the investments, providing consistent communication and education for your employees, and the all-important annual contract review. We take it seriously, and you should too.
4. Retirement Readiness
Education is the key to getting employees ready for retirement. We believe that it’s not enough to provide a website and a general advice once a year. As Financial Advisors, we have the experience and the tools to help every participant:
- Set a goal
- Maximize their contributions
- Invest Wisely
- Monitor and adjust their account when necessary
It starts with a competent third-party administrator (TPA). We work with some of the best in the business, and this is one place we cannot afford to make mistakes. Accurate, consistent administration may be critical to the overall health and success of your plan. Of course, the costs vary with these providers and we believe it’s important that you get value for the money.
Technology is one aspect we feel is crucial in this area of a retirement plan. Online access, ease of making contributions, and overall CUSTOMER SERVICE are some factors that may make one TPA a better choice for your particular plan. We believe we have the resources and can use them to help you reach your goals.