If you had fewer retirement plan duties, what could you do with your workday? With our 3(16) Fiduciary Services, we give you the opportunity to focus on running and growing your business while we take care of your Retirement Plan while we insulate and protect you, so you can be confident in the benefit you are providing.
Save Time and Money
When you work with Pension Plan Specialists, we focus on helping you:
- Save time and reduce plan-related workload
- Manage plan costs
- Improve accuracy and timeliness of required plan communications
- Ensure compliance and reduce fiduciary risk
95% of plan defects penalized by the DOL are related to plan administration
Manage Fiduciary Risk
While many plan sponsors are familiar with the liability related to plan investments and fees, the operation of the plan also carries fiduciary risk. The IRS and DOL impose penalties and fines on plans that have operational or reporting errors under ERISA Section 3(16). In fact, 95 percent of plan defects penalized by the DOL are related to plan administration under Section 3(16).
As the DOL pledges to increase scrutiny of plans, working with a provider that offers administrative fiduciary protection is increasingly important.
Gain Peace of Mind
As an ERISA 3(16) Delegated Plan Administrator we not only take care of the following responsibilities, we will assume fiduciary responsibility for their accurate and timely completion.
- Fiduciary reviews and assistance in establishing and managing internal controls
- Timely remittance of salary deferrals and loan payments to the plan
- Development and distribution of required employee notices
- Management of plan documents
- Nondiscrimination testing and corrections
- Management of distributions, loans and QDROs
Our internal processes and built-in expertise enable us to charge just a nominal fee for 3(16) coverage. Many of our clients find they save money and time with this option.
ERISA Fiduciary Responsibilities 3(16) Coverage From Pension Plan Specialists
- Serve as administrative fiduciary of your retirement plan and chair your administrative committee
- Receive and review 408(b) disclosures
- Give instructions to other service providers
- Conduct periodic fiduciary reviews of plan operations
- Assist in establishing, implementing, and modifying internal control procedures
- Ensure timely remittance of salary deferrals and loan payments to the plan
- Adopt plan document amendments to conform to legal changes
- Adopt amendments per plan sponsor’s direction
- Interpret plan document provisions
- Confirm salary deferrals, loan payments are properly reflected on payroll reports
- Authorize corrective refunds/distributions for 401(k) and 401(m)
- Adopt amendments to repair annual nondiscrimination or coverage failures
- Receive participant distribution requests and claims from plan sponsor
- Manage distribution and loan requests and QDROs
- Sign government forms
- Provide statements directly to participants
- Provide annual notices to participants (safe harbor, QDIA, investment disclosures for ERISA 404(c))
- Provide summary annual reports, summary plan descriptions and summaries of material modifications to participants
- Maintain full copy of plan documentation
- Make plan document available to participants upon request
Cigna Transparency In Coverage