Plan Smart. Smart Plan.

Helping you understand your fiduciary responsibility so you can meet all of the requirements mandated by the Department of Labor (DOL)

  • You Have
    Fiduciary Responsibility

    Over the years, you’ve worn a lot of hats. You’re probably not a retirement plan management expert, but the Department of Labor (DOL) doesn’t care. It holds you, as the Plan Sponsor for your company’s retirement account, personally accountable.

    Fiduciary Responsibility

Being a Fiduciary Means You
Have a Big Responsibility

You might think your big-name bank or broker will bear the fiduciary responsibility, but read the fine print.

All of the known national retirement plan brokers we surveyed don’t act as discretionary managers and they specifically reject in writing their status as a Fiduciary under the Employee Retirement Income Security Act (ERISA) guidelines.

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That big responsibility can result in substantial financial penalties if a defined prudent process isn’t followed…

Through its enforcement of ERISA, the Employee Benefits Security Administration (EBSA) collected $1.69 billion in fees from Plan Sponsors after retirement plan audits in 2013.

$0 MM

Prohibited Transactions

$0 MM

Plan Assets

$0 MM

Voluntary Corrections

For example, a technology company is potentially at risk for DOL Enforcement…

The Plan Sponsors of this business could be held both professionally and personally responsible by the DOL for excess fees incurred by their employees.

A mid-sized technology company has grown tremendously since it started 17 years ago, but the Plan Sponsors haven’t followed a prudent process. As a result, the chart above demonstrates the difference between the fees that the employees are paying versus the reduced benchmarked fees they should be paying.

Unchecked and over time, the excess fees can accrue to overs $37 million dollars. The employees are paying these excess fees which can significantly impact the success of their future retirement.

How Can You Be Assured You’re Following a “Process of Prudence”

It’s not only about avoiding fines. Following a process of prudence makes sure your employees have a retirement plan they can depend on.

  • Establish

  • Qualify

  • Manage

  • Monitor

Safe Harbor Partners

We’re On the Same Side of the Table

We are not beholden to, represent or get compensated from brokers, mutual funds or any investment product or company. Our interests are aligned with yours, the Plan Sponsor, and the unified goal of delivering a compliant retirement plan to all employees. After all, the stakes are high:

November 2014 Study by Center for Retirement Research at Boston College states:
Households retiring in the future will be less prepared than those in the past.
National Retirement Risk Index shows half of today’s working households will not be able to maintain their pre-retirement living standards.
Study shows current savings hinges on people’s willingness to accept declining consumption as they age.
To bolster retirement preparedness, policies should be adopted requiring 401(k) auto-enrollment and auto-escalation.