How Can You Prepare for Healthcare Expenses in Retirement?

Rising healthcare costs are on everyone’s mind, even for affluent people. In fact, 69 percent of affluent pre-retirees cite rising healthcare costs as one of their top fears in retirement, according to a survey from the Nationwide Retirement Institute. In fact, 63 percent of these affluent pre-retirees describe themselves as “terrified” of what healthcare costs … Continue reading How Can You Prepare for Healthcare Expenses in Retirement?

How and When to Pay Plan Expenses with Plan Assets

Some retirement plan expenses can be paid for with plan assets — but many can’t. Which are the “reasonable and necessary” retirement plan expenses that can be paid out of plan assets?Generally, services required to maintain the plan’s compliance and administration can be paid from plan assets. Obvious examples include the annual nondiscrimination testing and … Continue reading How and When to Pay Plan Expenses with Plan Assets

Beware of the IRS and DOL: Four Red Flags They Seek on Form 5500

The Form 5500 is an ERISA requirement for retirement plans to report and disclose operating procedures. Advisors use this to confirm that plans are managed according to ERISA standards. The form also allows individuals access to information, protecting the rights and benefits of the plan participants and beneficiaries covered under the plan.Make sure you are … Continue reading Beware of the IRS and DOL: Four Red Flags They Seek on Form 5500

Is it Time for a Plan Refresh?

The duty to provide participants with sufficient information to make consistently informed retirement investment decisions is a basic fiduciary responsibility under ERISA Section 404(a). However, there could be some plan committees who feel their participants are not consistently making prudent decisions. According to a 2016 JP Morgan survey¹ nearly 75 percent of participants say they … Continue reading Is it Time for a Plan Refresh?

Should your Company Implement a Student Loan Assistance Program?

The simple answer is yes! By doing so, you’ll attract, retain and engage top college-educated talent at your company. Twenty-six percent of the U.S. workforce and 69 percent of 2018 college graduates are encumbered by student loans, with the national total student loan debt total climbing steadily towards $1.6T. Student loan assistance has quickly become … Continue reading Should your Company Implement a Student Loan Assistance Program?

Complying with ERISA 404(c)

According to ERISA, plans intending to comply with 404(c) must ensure that participants: Have the opportunity to choose from a broad range of investment alternatives (which are adequately diversified); may direct the investment of their accounts with a frequency which is appropriate; and can obtain sufficient information to make informed investment decisions. The plan sponsor … Continue reading Complying with ERISA 404(c)

Sample language for plan sponsor to send to participants

Subject: Market Volatility Update and How Your Target Date Funds Helped Body: Q1 2020 was an unfortunately remarkable quarter. US equity markets saw a peak to bottom decline of 34%, the largest drop since the Great Recession in 2008.  This marked the fastest bear market decline in history at 16 (trading) days.  Target date funds … Continue reading Sample language for plan sponsor to send to participants

Sample language for advisor to send to plan sponsor clients

Subject: Market Volatility and flexPATH TDF Presentation for Participants Body: Q1 2020 was an unfortunately remarkable quarter. US equity markets saw a peak to bottom decline of 34%, the largest drop since the Great Recession in 2008.  This marked the fastest bear market decline in history at 16 (trading) days.  Target date funds helped mitigate … Continue reading Sample language for advisor to send to plan sponsor clients