…of an organization. WHAT TYPES OF BUSINESSES BENEFIT FROM A CROSS TESTED PLAN? Generally smaller employers with stable workforces are good candidates for a Cross Tested plan. These types of plans are typically well-suited for small businesses and professional practices. CAN A CROSS TESTED PROVISION…
…plan fiduciaries in the event of a breach of fiduciary duty. These policies typically cover settlements or judgments. Wrongful acts that may be covered by fiduciary liability insurance include: Negligent investment practices Failure to diversify investments Failure to file required reports Conflicts of interest Errors…
…and disclosure requirements Establish and implement adequate records management practices including, but not limited to, following procedures for labeling of electronic records and saving backup electronic copies Generally, paper records can be disposed of any time after being transferred to a compliant electronic record system….
…auto escalation of contributions and target date or managed funds—all of which can make saving simpler for participants and help them potentially avoid psychological pitfalls such as anchoring that can sabotage sound investment practices. One other key to a good savings and investment strategy is…
…have many plan designs and options to offer depending on what we determine may be a best fit for your clients. The temptation is to quote them what they ask for. We think the better approach is to first invest a little time in understanding…
…a retirement plan, but must do so solely in the best interest of plan participants and beneficiaries. It is all about disclosure, and making sure that such fiduciaries act in their clients’ best interests. That seems self-evident, but unfortunately is not always the case. Most…
…the definition of who could be classified as a fiduciary. Essentially, under the new rules anyone serving as an ERISA fiduciary has the authority to control and manage the operation of a retirement plan, but must do so solely in the best interest of plan…
…is made under the Rule, so long as an advisor provides non-discretionary advice and adheres to the DOL’s Best Interest Contract Exemption (BICE). The BICE requires that advice be in the “best interest” of the retirement investor, which includes the standards of prudence and loyalty….
…fit and there are situations where they may not be the best solution for plan participants. While most defined contribution plans include a stable value fund option, often the best choice depends on certain facts and circumstances. Considering a stable value product for a plan’s…
…offer key tax advantages. The tax code specifically protects money in retirement plans, deferring taxes until you receive the income. Determining the best kind of annuity involves examining an individual’s sources of retirement income, how they are invested, the retiree’s health, and the health of…
…legislation will help give workers more flexibility to foot the bill for an unexpected emergency expense.” The proposed legislation has received what can best be described as mixed reviews. The American Retirement Association (ARA), which includes the American Society of Pension Professionals & Actuaries (ASPPA),…
…which usually refers to instances where a plan fiduciary acts in its own – rather than its participants’ — best interests when administering a plan. “The 401(k) plans sponsored by over 40 financial firms – including most of the largest companies in this sector –…