News & Information

Auditing Recordkeeper Statements-A Fiduciary Duty?

Auditing Recordkeeper Statements-A Fiduciary Duty? By Marcie Carroll Adhering to prudent standards includes auditing quarterly statements from the recordkeeper. However, there is no explicit requirement for plan fiduciaries to do so. With regard to plan assets, fiduciaries have the explicit duty to ensure that: • employee deferrals are contributed in a timely manner; • the plan does not engage in…read more →

Target Date Funds—Does One Size Really Fit All?

Target Date Funds—Does One Size Really Fit All? by Marcie Carroll If you have ever opened a brokerage account with an advisor, you know the first step is gathering information to determine the risk profile and appropriate investment allocation for the individual. In order to determine the appropriate allocation for a client, financial advisors will inquire about income level, savings…read more →

Plan-Level Rate of Return—Useful or Useless?

Plan-Level Rate of Return—Useful or Useless? By Marcie Carroll Many people use plan-level rates of return to determine the quality of an investment lineup. However, several variables may impact plan-level rates of return making them not as useful as a plan management tool. They may actually be counterproductive when trying to determine the quality of an investment lineup. As an…read more →

When Participants Retire, Should Their QDIA Retire as Well?

When Participants Retire, Should Their QDIA Retire as Well? by Marcie Carroll Many retirement plan sponsors are increasingly recognizing the benefits of allowing retired employees to leave assets in the defined contribution (DC) plan. This arrangement can be a win-win for both plan sponsors and participants. Fat retiree balances may improve plan economics, allowing plan sponsors to negotiate lower fees….read more →

Recruit, Retain, Retire – Reframing Financial Wellness

Recruit, Retain, Retire – Reframing Financial Wellness By Marcie Carroll So much of the financial wellness conversation to date has focused on the potential health care cost mitigation of adopting organizations. A more effective angle, however, may come in the form of the company’s increased ability to recruit, retain, and allow a happier workforce to retire on time. Wellness Programs…read more →

Should a Retirement Plan Implement a Fee Policy Statement?

Should a Retirement Plan Implement a Fee Policy Statement? By Marcie Carroll For the client who may be concerned about fiduciary compliance, a fee policy statement may give comfort. Like all other fiduciary actions, the value of this statement is a function of how well it is written (not too loose nor too tight) and how consistently a plan sponsor…read more →

May Any Employee Join the Retirement Committee?

May Any Employee Join the Retirement Committee? By Marcie Carroll Upon first blush, to the extent an employee from the general populace can and wishes to make a contribution as a committee member, there seems to be no reason why they shouldn’t participate on the committee. In practice, most committees consist of executives from finance (preferably the CFO), benefits and…read more →

Partial Plan Terminations

Partial Plan Terminations by Marcie Carroll A partial plan termination occurs when 20 percent or more of a company’s employees are laid off in one year. Routine turnover during the year is generally not considered a partial plan termination. To determine whether your turnover rate is routine, consider the following factors: • What was your turnover rate during other periods…read more →

Did Someone Order a Large?

Did Someone Order a Large? By Marcie Carroll   Any committee member sitting through their share of plan investment review meetings has heard the term “large cap” come up quite frequently. In our experience, large cap funds are top of list when the review turns to the stand-alone funds in the lineup. Given this place of prominence, it is critical…read more →

Are Your Written QDRO Procedures in Place?

Are Your Written QDRO Procedures in Place? By Marcie Carroll A QDRO, or a Qualified Domestic Relations Order, is a court mandate to divide the assets of a retirement account among divorcing spouses. While there are probably few QDROs that will need to be processed by your plan over its lifetime, it’s still important to confirm that you are in…read more →