Performing plan design consulting. A review of the plan design is very important because plan design provisions can make a big difference in whether your plan meets your needs. These provisions address matching contribution formulas, cross-tested profit sharing allocations, qualification and eligibility issues, and merger and acquisition situations. Hajdari Group 401(k) advisors will work closely with the provider’s administration experts to ensure that all available aspects of plan design are considered.
Assist in designing an investment policy statement (IPS). As a plan sponsor, you can minimize your fiduciary liability by implementing an IPS. An IPS outlines a detailed, prudent plan of action for the trust’s investment managers and advisors to follow. It describes the plan’s investment philosophy, risk tolerance and long-term goals to help guide all decisions – and changes – made regarding the plan. Because the IPS is in writing, it helps prevent misunderstandings between you and the plan’s advisors. Most 401(k) plan sponsors don’t have an IPS, but because we consider this an integral part of helping you develop a successful plan, we will assist you in developing your own written statements.
Managing the implementation and transition to new provider(s). This is perhaps the most challenging function of all, and is usually where most problems begin. Most “fired” providers are not overly anxious to cooperate with new providers, so it takes a dedicated effort to ensure a smooth transition. Having one individual responsible for coordination makes the process more user-friendly for you.
Serving as the primary contact for all aspects of plan servicing. No longer will you or your employees need to wonder who to call when problems or questions arise. We’ll act as the single source responsible for managing all the moving parts and will troubleshoot as needed. Moreover, we will monitor the service providers to ensure that they continue to meet your retirement plan needs, replacing them if necessary.
Providing ongoing plan reviews. This includes: discussing overall plan service, operation and results, such as participation levels, deferral percentages, loans, non-discrimination testing, enrollment and communication strategies, and any other items of relative importance; offering a performance analysis at least annually of investments utilized by the plan versus benchmarks and/or peer groups; monitoring funds selected by the plan sponsor for style drift and correlation with fund investment objectives stated in the IPS; and providing regulatory updates such as information on legislative, Department of Labor and IRS matters of relevance to retirement plans.
Managing employee communication and investment education. We believe that coordinating enrollment meetings and providing ongoing investment education for participants regarding plan options is a valuable part of our service. That’s why Hajdari Group 401(k) advisors will be available to your employees by phone and, periodically, in person for individual consultation. If enrollment and/or education teams from the provider are necessary due to multiple company locations, we will coordinate those efforts. We also provide supplemental educational materials if desired.
In addition, we can integrate qualified plan goals into a personal customized financial and estate plan as necessary. Finally, we will educate plan participants about plan distribution alternatives, provide retirement cash flow analysis, and, whenever necessary, consult with retirees regarding investment asset allocation.