Contributing to your employer’s retirement plan as soon as you’re eligible is crucial to meeting your retirement goals. The earlier you start saving, the more time compounding interest has to work on your behalf. Putting off contributions today means increased contributions to reach the same goals tomorrow For example: Shane, Maria and Nadia are each … More Save Early, Reach Your Goal
Welcome to Hey Joel! This forum answers plan sponsor questions from all over the country by our in-house former practicing ERISA attorney. Hey Joel, I am a fiduciary/committee member to a retirement plan. Am I required to receive ongoing fiduciary training? – Curious in California Dear Curious, The DOL has provided various commentaries on the … More Hey Joel – I am a fiduciary/committee member to a retirement plan. Am I required to receive ongoing fiduciary training?
Financial security is something that every American strives for. Experts believe that the foundations of financial security are built off of three equally important pillars: a retirement plan, health insurance, and permanent life insurance. These three instruments complement one another and work together to create holistic security for individuals and their families. As an employer, … More Group Whole Life Insurance: The Third Pillar
The Internal Revenue Service’s (IRS’s) Employee Benefit Audit Program is used to audit and enforce. The IRS’s emphasis, with respect to defined contribution plans is on compliance with the requirements of the Internal Revenue Code (the Code), the plan’s tax qualification and administration of all plan documents. In the event of noncompliance with regulations, the … More Are You Prepared for an IRS Audit?
Welcome to Hey Joel! This forum answers plan sponsor questions from all over the country by our in-house former practicing ERISA attorney. Hey Joel, Should I distribute the Fiduciary Investment Review to plan participants? – Generous in Georgia Dear Generous, I appreciate your desire to provide detailed information to your plan participants, but hold your … More Hey Joel! – Answers from a recovering former practicing ERISA attorney
Should you reduce your plan’s fees to better serve participants? Many vocal experts speaking on behalf of investors and participants say “yes” – unequivocally. But what about the investors and participants themselves? What do they say? Invesco Consulting teamed up with language experts Maslansky + partners to get the answer. The nine-month study included in-depth … More Evaluating Your Plan and Fees? Think More, Not Less.
Fees in defined contribution (DC) plans can be complicated. Historically, fees have not been fully and simply disclosed, but the industry is changing towards greater and more understandable disclosure. Simply put, there are two basic types of fees: administrative and investment-related. The investment-related fees are deducted from earnings on participant accounts and will vary from … More Have You Conducted a Fee Equalization/Levelization?
After an abnormally serene market environment in 2017, volatility returned in the first quarter of 2018. Markets experienced a 10 percent equity correction off the late January highs, yet finished the quarter down a modest 0.6 percent (Russell 3000). Volatility was sparked by fears of increased inflation and potential trade wars. International equities declined slightly … More Q1 2018 Market Review
What documentation is required for retirement plan governance? BOARD RESOLUTIONS The vast majority of retirement plan documents provide rules regarding who is empowered to take action for a plan. The plan document names a plan administrator, a named fiduciary, and usually contains a section that explicitly describes responsibilities for each, when and how to delegate … More Retirement Plan Governance Summary
Target date funds (TDFs) are an integral part of many deferred compensation programs around the country. They offer many advantages, particularly for participants who are not inclined to actively engage in an investment strategy. One of the greatest advantages is that TDFs are designed to automatically rebalance as the participant gets closer to retirement. Many … More Target Date Funds