Retirement Plan Consulting

Benchmarking is a method of looking at how the employer’s plan stacks up against other plans of similar size and design.

We evaluate the effectiveness of current plan design in optimizing the benefits for the plan sponsor and employees, given the unique company demographics and culture. We will also review whether the plan document has been amended for the past seven (7) major tax acts, most notably EGTRRA AND G.U.S.T.

We will analyze the roles and effectiveness of work-flow between all of the parties involved in managing your retirement plan: the advisor, administrator, record-keeper, payroll provider, etc.. If we identify inefficiencies, we will suggest alternatives that will simplify the operations of your plan therefore saving you time and possibly lowering expenses.

We will evaluate the number of investment options in the current investment line-up, the asset categories represented, various styles of investments, and whether those comply with 404(c). We analyze each investment option and make sure they could pass a fiduciary screening when measured against strict criteria such as: style consistency, peer group and benchmark performance and risk profile. We will take a microscopic look at the investment charges and expenses embedded in each investment option to ensure those are reasonable and fully disclosed to you.

The way plan providers collect fees has grown more and more complex. There are billed fees, trustee fees, investment management fees, 12-b(1) fees, shareholder service fees, and deferred sales charges to name a few. Plan sponsors need to understand the various revenue points for plan providers and ensure they are paying a fair and prudent amount for the value they are receiving. We will analyze the total plan costs, including: administration, recordkeeping, compliance, investment expenses, transaction costs, and employee communication. We will show you the costs as a total dollar amount, and expressed as a percentage of total plan assets. Further, we will show you what percentage of total costs are being paid by the employer and which ones are incurred by the employees. We will also provide you with pricing examples of what other plan providers might charge for a similar plan.

We want to make sure that you understand and meet your responsibilities regarding ERISA laws and guidelines. This section will include some tools to aid in that process. We will also analyze the composition of your current retirement plan investment committee, the Investment Policy Statement, and any minutes from periodic plan review meetings.

This section will describe the importance of employee education and the ultimate cost of uninformed investing. We will evaluate the frequency and substance of all employee communications/education at your organization. This includes enrollments, education about the plan, investments, as well as prudent investor topics such as asset allocation.

This section will include a synopsis of our overall findings as it relates the topics listed and solutions.