Client Communication 2012
To our Valued Clients,
As we begin 2012, we want to share a few thoughts about the current market. Most of you are aware ADMIN works with a select clientele: public schools and libraries, community colleges and universities, non-profits, churches and religious organizations – providing clients with a full range of administration and record keeping services for 403(b), 457(b), 401(a) and 401(k) retirement plans.
Our clients have been adversely affected by the difficult economic times. In fact, many of our public education and non-profit clients continue to experience serious financial uncertainties. These realities are not lost on us and we are proud to announce that we have not increased fees to Plan Sponsors.
Public schools, most religious organizations and 501(c)(3) organizations with elective deferral contributions were never required to maintain a written document until now. (Plan Sponsors of ERISA 403(b) plans have been required to maintain a written document for over 30 years).
You may know of business associates or colleagues who have yet to comply with the new regulations. Please let them know that ADMIN Partners is ready and able to assist them. For information on our 403(b) Plan administration and record keeping services contact Mark Heisler at 877-484-4400.
Thank you for your continued support. We appreciate your business very much!
The plan compliance watch-words for 2012 are fee disclosure. Beginning this April, retirement plans subject to the Employee Retirement Income Security Act (ERISA) must comply with new fee disclosure rules. [Note: we have already informed all clients that are affected by these rules – if we have not contacted you, your plan is not subject to the changes].
We also expect fee disclosure to become an important issue for our public education clients. Several industry trade groups banded together last year to develop voluntary fee disclosure best practices for public schools. Today, these best practices were unveiled nationally in a USA Today article (Click here to read the article: http://usat.ly/wHTBi7). Over the next few weeks, we will evaluate this new development and communicate our impressions on their impact to your district and to your plan participants.
Lastly, we also want to share a few goals for ADMIN Partners this year and how these changes advance our mission to make things easier for you to administer your retirement plans.
- Our Client Services staff is currently “beta testing” a new service model and a series of new work processes. These changes will give every client a single point of contact to resolve service issues and will streamline compliance process. We expect to launch these changes in the 2nd quarter 2012.
- ADMIN is making a significant investment in new hardware. This equipment will improve computer system response, upgrade disaster recovery protocols and pave the way for the introduction of new software applications. Installation of the hardware started last week and will last through February.
- During March and April, we are introducing new web-based technology. In the initial phase, you and your employees will have on-line access to information about your plans: plan terms and features and approved investment providers. You will also have on-line access to communication materials, education topics and forms (such as a Salary Reduction Agreement). These new web features will allow you to direct employees to the site – hopefully making your job a bit easier.
On behalf of the entire ADMIN Partners team, thank you for your continued support. We appreciate your business very much. If you have questions or need additional information, feel free to call us at 877-484-4400.
Best regards,
Your ADMIN Partners Team
Tags: ERISA, fee disclosure, public education