How Not to Get Sued 101: Fiduciary Responsibility For Business Owners

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As a business owner, you’re the captain of your ship, and fiduciary responsibility is like the lighthouse that guides you through the treacherous waters of legal liabilities.

Just like how a captain must always act in the best interest of their ship and crew, you have a duty to always act in the best interest of your company and its stakeholders.

If you fail to uphold your fiduciary responsibility, you could face legal action and criminal charges. That’s like running your ship aground on a reef – not a good situation!

So, make sure you understand and practice fiduciary responsibility like a seasoned sailor navigating the high seas. It’ll keep your business sailing smoothly and your stakeholders happy!

In this blog, we’ll discuss some of the key concepts related to fiduciary responsibility and provide some tips on managing it effectively. By the end, you should have a solid understanding of the basics of fiduciary responsibility and how to navigate it in the world of business. So let’s get started!

What is Fiduciary Responsibility for Business Owners?

A fiduciary is someone who has been given the authority to act on behalf of another person or entity. This person or entity has a legal obligation to act in the best interests of the person or entity they represent and to avoid any situation where their personal interests might conflict with the interests of the person or entity they represent. They must make decisions with great care, loyalty, and honesty when acting on behalf of the person or entity they represent.

In simple terms, a fiduciary is a person or entity that is trusted to act in someone else’s best interests.

The Three Main Duties of Fiduciary Responsibility

Duty of Care: The fiduciary has a duty to exercise reasonable care, skill, and diligence when managing their client’s finances and investments. This includes developing an investment strategy that aligns with the client’s goals and risk tolerance, selecting appropriate investments, monitoring performance, and making adjustments as needed. 

The fiduciary must also be aware of any potential conflicts of interest and take steps to avoid them. This means disclosing any conflicts of interest and ensuring that all investment decisions are made solely in the client’s best interests.

Duty of Loyalty: The fiduciary must remain loyal to their client, always acting in their best interests. This means putting the client’s interests before their own and avoiding any actions that could benefit themselves or others at the expense of the client. For example, a fiduciary cannot recommend investments that provide them with a higher commission or fees if those investments are not in the client’s best interests.

Duty of Good Faith: The fiduciary must act with honesty, integrity, and transparency when making decisions on behalf of their client. This means disclosing all material information that could affect investment decisions and avoiding any misrepresentations or omissions of material facts. The fiduciary must also act in a timely manner, keeping the client informed of any changes or updates. Finally, the fiduciary must be accountable for their actions, keeping accurate records and promptly addressing any concerns or complaints raised by the client.

Overall, these duties of fiduciary responsibility are designed to ensure that the fiduciary always acts in the client’s best interests, with care, skill, loyalty, and good faith. By following these duties, the fiduciary can help their client achieve their investment goals and build trust and confidence in their relationship.

How Can Business Owners Practice Fiduciary Responsibility?

To practice fiduciary responsibility as a business owner, it is important to prioritize the best interests of the company and its stakeholders. This involves maintaining high ethical standards and making decisions that align with the company’s mission and values.

One way to do this is by minimizing financial risks through responsible financial management. This includes being mindful of expenses, budgeting effectively, and seeking out potential opportunities for growth while weighing the associated risks.

Transparency is also key to practicing fiduciary responsibility. Business owners should make financial information readily available to stakeholders, including employees, investors, and customers. This includes being transparent about decision-making processes, financial reporting, and any potential conflicts of interest.

To protect the company from legal liabilities, business owners should consult with legal and financial experts when making important decisions. They should also educate themselves on relevant laws and regulations that apply to their industry.

In addition to personal responsibilities, business owners should ensure that their employees understand their own fiduciary duties and have the necessary resources to make informed decisions. This can include training programs, access to financial experts, and clear guidelines on how to handle financial matters.

By prioritizing fiduciary responsibility, business owners can build trust with stakeholders, ensure the long-term success of their company, and contribute to a healthier business ecosystem.

In Summary

Overall, understanding and practicing fiduciary responsibility as a business owner is of the utmost importance. Fiduciary responsibility is a legal obligation that must be taken seriously, and a breach of fiduciary responsibility can lead to legal action. By understanding and practicing the duties of care, loyalty, and good faith, business owners can protect themselves and their businesses from potential legal action.

There are many moving parts when designing, implementing, and administering a retirement plan. However, when you focus on the key areas in your initial design or partner with a professional specializing in retirement plans and administration, you can strive to avoid the common challenges and unnecessary costs while helping your employees succeed.

At RWM Financial Group, we help commercial businesses and governmental agencies design and oversee well-managed retirement plans in non-tribal and tribal organizations. Learn more about building a custom, cost-effective strategy that is compliant and promotes success for you and your employees.

This information is not intended as authoritative guidance or tax or legal advice. You should consult your attorney or tax advisor for guidance on your specific situation. In no way does the advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.

Managing Tribal Trusts: A Comprehensive Guide

Tribal trusts are a vital component of many Native American communities, providing important benefits to tribal members, such as healthcare, education, and housing. These trusts are often managed by employers who have a fiduciary responsibility to act in the best interests of plan participants. However, managing tribal trusts can be complex, with unique legal and regulatory requirements that must be met. In this blog post, we will provide a comprehensive guide for employers and plan participants on how to effectively manage tribal trusts. 

We’ll discuss the legal and regulatory framework for tribal trusts, offer best practices for managing these trusts, and highlight the challenges that employers and plan participants may face. Whether you’re an employer responsible for managing a tribal trust or a plan participant looking to maximize the benefits of the trust, this guide will provide valuable insights and practical advice to help you navigate this important area of tribal governance.

Understanding Tribal Trusts

Tribal trusts are specialized types of trusts established by Native American tribes for the benefit of their members. These trusts are created under federal law and are subject to unique legal and regulatory requirements. There are several types of tribal trusts, including land and resource trusts, education trusts, and health and welfare trusts. Tribal trusts are administered by tribal governments, with oversight from federal agencies. 

The creation and administration of tribal trusts must follow specific legal and procedural requirements, including consultation with affected parties and compliance with relevant laws and regulations. Understanding these legal and administrative requirements is crucial for effectively managing tribal trusts.

Responsibilities of Employers and Plan Participants

Employers and plan participants both have important responsibilities in managing tribal trusts.

Employer responsibilities for managing tribal trusts include ensuring compliance with legal and regulatory requirements, monitoring the trust’s performance, and providing plan participants with information about the trust. Employers must also establish clear communication channels with plan participants to ensure that they are aware of the benefits available to them and understand how the trust operates.

Plan participant responsibilities for managing tribal trusts include understanding the benefits available to them, keeping their contact and beneficiary information up to date, and reporting any changes in their circumstances that may affect their eligibility for benefits. Plan participants should also communicate any questions or concerns they have about the trust to their employer or the trust administrator.

Effective communication between employers and plan participants is crucial for ensuring that the trust is managed effectively. Employers should provide regular updates to plan participants about the trust’s performance, any changes to the benefits available, and any legal or regulatory requirements that may affect the trust. Plan participants, in turn, should provide their employers with accurate and up-to-date information about their eligibility for benefits and any changes in their circumstances that may affect their benefits.

How to Manage Tribal Trusts: Best Practices

Understand Your Fiduciary Responsibility

Employers who manage 401(k) plans have a fiduciary responsibility to act in the best interest of the plan participants. This means that employers must carefully select and monitor investment options, ensure that fees are reasonable, and provide participants with clear and accurate information about the plan.

Select Appropriate Investment Options

Employers must carefully select investment options for their 401(k) plans. This includes considering the risk profile of the plan participants and selecting a mix of investment options that is appropriate for their needs. Employers should also regularly review and monitor the performance of the investment options and make changes as needed.

Monitor Fees and Expenses

Employers must ensure that the fees and expenses associated with their 401(k) plans are reasonable. This includes reviewing the fees charged by investment providers and recordkeepers and negotiating lower fees when possible. Employers should also provide plan participants with clear and accurate information about the fees associated with the plan.

Provide Participant Education and Communication

Employers must provide plan participants with clear and accurate information about their 401(k) plans. This includes information about investment options, fees and expenses, and plan rules and regulations. Employers should also provide regular education and communication to help participants make informed decisions about their retirement savings.

Monitor Plan Performance

Employers must monitor the performance of their 401(k) plans to ensure that they are meeting the needs of their plan participants. This includes regularly reviewing plan data and participant feedback and making changes as needed.

Encourage Participation

Employers should encourage participation in their 401(k) plans to ensure that plan participants are adequately saving for retirement. This can include offering employer contributions, automatic enrollment, and education and communication campaigns.

Challenges in Managing Tribal Trusts

Managing tribal trusts can pose several challenges, including legal and regulatory challenges, communication challenges, and financial management challenges.

Legal and regulatory challenges may include complying with complex federal laws and regulations governing tribal trusts, as well as any state or local laws that may apply. There may also be challenges related to legal disputes or changes in legal requirements that can affect the trust’s operations.

Communication challenges may arise due to the need to communicate complex legal and financial information to plan participants, who may have varying levels of familiarity with the trust and its operations. Effective communication can be challenging, particularly if plan participants are spread out across a large geographic area or speak different languages.

Financial management challenges may include ensuring that the trust is properly funded and managed to meet the needs of plan participants over the long term. There may be challenges related to investment management, risk management, and financial reporting.

Addressing these challenges requires a proactive and collaborative approach by employers, plan participants, and trust administrators. By working together, stakeholders can identify and address potential issues before they become more serious problems and ensure that the trust continues to provide important benefits to tribal members.

Learn More About Our Tribal Services

At RWM Financial Group, we are committed to upholding independence, excellence, and supporting tribal sovereignty to help achieve your tribe’s financial goals. Our extensive range of services include but are not limited to:

  •  Tribal Council Retirement Plans, 401(k) Investment Management (both ERISA and Non-ERISA)
  • Children’s Trust Investment Management
  •  Fiduciary Investment Management, Discretionary and Non-Discretionary Investment Management
  • Investment Monitoring
  •  And,  Detailed Reporting

We also provide services such as Investment Committee Education, Tribal Member Financial Education, Third-Party Administrator assistance and Provider Liaison, 401(k) Provider Request for Proposal, Participant Education, and Financial Wellness Program, Onsite Meetings, and Retirement Plan Enrollment Assistance. Our team is dedicated to providing exceptional service and building long-lasting relationships with our clients.

The purpose of RWM Financial Group is to promote plan success via our knowledgeable team and a robust set of tools. By working with us, you can help put your employees on the path working toward a secure retirement. Learn more about our services, here.

This information was developed as a general guide to educate plan sponsors, but is not intended as authoritative guidance or tax or legal advice.  Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation.  In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.

Sit, Stay, Retire, Rollover: Let’s Talk Retirement Plan Rollover Options

Retirement planning is an essential aspect of every working person’s financial life. A retirement plan rollover is a process of transferring funds from a qualified retirement plan to another. Many individuals consider rolling over their retirement plan when leaving an employer, retiring, or for other reasons.

In this blog, we’ll answer some of the most frequently asked questions about retirement plan rollovers.

What is a Retirement Plan Rollover?

A retirement plan rollover is a process of transferring funds from a qualified retirement plan, such as a 401k, to another retirement plan or an individual retirement account (IRA). The funds are transferred without any tax implications, provided the transfer is done correctly.

Why Rollover?

By rolling over, you can defer taxes on the distribution until you withdraw it from the new plan, allowing your savings to continue growing tax-free. If you choose not to roll over the distribution, it will be subject to taxation (excluding qualified Roth distributions and previously taxed amounts), and you may also be liable for additional taxes unless you qualify for one of the exceptions to the 10% early distribution penalty. Additionally, reasons for rolling over can include:

More Control over Investment Options: 

When you roll over your retirement plan, you have more control over your investment options. In many cases, an IRA provides more investment choices than a 401k.

Simplify Your Finances: 

Consolidating all your retirement accounts in one place can make it easier to manage your finances and track your investments.

Lower Fees: 

401k plans can charge higher fees than IRAs. Rolling over your 401k to an IRA can reduce your investment fees.

Easier to Access Funds:

 In some cases, accessing funds in an IRA may be easier than accessing funds in a 401k.

Rollover Options:

You generally have four options when you leave a job and have a 401k account:

  • Leave the money in your former employer’s 401k plan
  • Roll the money over to a new employer’s 401k plan
  • Roll the money over to an IRA
  • Cash out the 401k

Let’s take a look at each of these options.

Leave the Money in your Former Employer’s 401k Plan

Leaving the money in your former employer’s 401k plan may be a viable option for individuals who are satisfied with the investment options and fees associated with their existing plan. This option allows you to keep your retirement savings in a familiar place, and you can still keep an eye on your account balance through the plan’s online portal or periodic statements.

Another advantage of leaving your money in your former employer’s 401k plan is that it can be easier to manage and track your retirement savings. By keeping all of your retirement savings in one place, you can get a better sense of how much you have saved and how much more you need to save to meet your retirement goals.

However, keep in mind that you may not be able to contribute to the account once you leave the company, and your investment choices may be limited to the options provided by your former employer’s plan. Additionally, your former employer may charge administrative fees for maintaining your account. Be sure to check with the plan administrator about any associated fees and investment options before deciding to leave your money in the plan.

Roll the Money Over to a New Employer’s 401k Plan

Rolling the money over to a new employer’s 401k plan is an option that can allow you to continue saving for retirement while consolidating all of your retirement savings into one account. This option may be suitable if you have found a new job with an employer that offers a 401k plan and you are satisfied with the investment options and fees associated with the plan.

One advantage of rolling over your 401k to a new employer’s plan is that it can be easier to manage and track your retirement savings. By keeping all of your retirement savings in one place, you can get a better sense of how much you have saved and how much more you need to save to meet your retirement goals.

Another benefit of rolling over your 401k to a new employer’s plan is that you may have access to different investment options or lower fees, which can potentially help your retirement savings grow faster. Additionally, some employers offer matching contributions to their employees’ 401k plans, which can help boost your retirement savings.

However, it is essential to review the investment options, fees, and matching contribution rules of the new plan before deciding to roll over your 401k. Some plans may have higher fees or limited investment options, which can negatively impact your retirement savings. Additionally, rolling over your 401k may take time to process, which could leave your retirement savings temporarily in limbo.

Rolling Over into an Individual Retirement Account (IRA)

Rolling the money over to an Individual Retirement Account (IRA) is another option when leaving a job and having a 401k account. This option can offer more control over your retirement savings by providing access to a broader range of investment options than those offered by a 401k plan.

One advantage of rolling over your 401k to an IRA is the potential for lower fees. Some 401k plans charge high fees for administration and management, which can eat into your retirement savings. Rolling over your 401k to an IRA can potentially reduce these fees, which can help your retirement savings grow faster.

Another benefit of rolling over your 401k to an IRA is the potential for increased investment flexibility. An IRA can offer access to a broader range of investment options, including stocks, bonds, mutual funds, and exchange-traded funds (ETFs), which can help you diversify your portfolio and potentially earn higher returns.

However, it is essential to note that rolling over your 401k to an IRA may also have disadvantages. For example, you may lose the ability to borrow against your retirement savings, as IRAs do not typically offer loans. Additionally, some IRAs may charge fees for account maintenance or investment management, which can also impact your retirement savings.

Before deciding to roll over your 401k to an IRA, it is crucial to review the investment options, fees, and potential tax implications of the IRA. Additionally, it is essential to consider your retirement goals and investment strategy before making any decisions about your retirement savings.

Cash out the 401k

While cashing out your 401k may seem like a tempting option when leaving a job, it is generally not recommended. Cashing out your 401k means you will receive the funds as a lump sum payment, but you will also be subject to taxes and penalties.

Firstly, any funds you withdraw from your 401k account will be subject to ordinary income taxes. This means that you will have to pay taxes on the full amount of your withdrawal, which could be a significant tax bill.

Additionally, if you are under the age of 59 ½, you will also be subject to a 10% early withdrawal penalty on the amount you withdraw. This penalty is in addition to any taxes you may owe and can significantly reduce the amount of money you receive from your 401k account.

Cashing out your 401k also means you will be losing out on potential future growth of your retirement savings. If you withdraw your funds now, you will no longer have the opportunity to earn investment returns on that money in the future.

Finally, cashing out your 401k may also have long-term consequences for your retirement savings. Withdrawing a large sum of money from your retirement savings early can significantly impact the amount of money you have available for retirement in the future.

Overall, cashing out your 401k should be a last resort option when leaving a job. It is essential to consider the potential tax implications, penalties, and long-term consequences before making any decisions about your retirement savings.

How Long Do You Have to Move Your 401k after Leaving a Job?

If you decide to roll over the money, you typically have 60 days to complete the rollover. However, it’s usually best to complete the rollover as soon as possible to avoid potential tax implications or penalties.

Learn More About RWM

Contact RWM today to review your existing 401k or talk through a plan of action to offer retirement savings to your employees. 

This information was developed as a general guide to educate plan sponsors but is not intended as authoritative guidance or tax or legal advice.  Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation.  In no way does the advisor assure that, by using the information provided, the plan sponsor will be in compliance with ERISA regulations. 

Tribal Council Retirement Plans: What You Need to Know

Tribal council retirement plans are a crucial aspect of the compensation and benefits package that tribal governments offer their employees. These retirement plans help ensure that employees are financially confident after they retire and provide a sense of stability to both the employee and the tribe.

Tribal governments, as sovereign nations, have a unique relationship with the federal government, which has implications for the types of retirement plans they can offer their employees. 

In this blog, we will discuss the importance of tribal council retirement plans, the impact of the Pension Protection Act of 2006 on these plans, and how tribal governments navigate federal regulations to provide their employees with comprehensive retirement benefits. Let’s dive in!

Tribal Retirement Plans vs Non-tribal Retirement Plans: What is the Difference?

When it comes to retirement plans, tribal governments have unique considerations and challenges that differ from those faced by non-tribal employers. Tribal governments, as sovereign nations, have a special relationship with the federal government, which impacts the types of retirement plans they can offer their employees.

Let’s discuss some of these differences between tribal and non-tribal retirement plans and how these differences can prove advantageous to providers.

Compliance with the Employee Retirement Income Security Act (ERISA)

One notable difference is that tribal governments are not required to comply with the Employee Retirement Income Security Act (ERISA), a federal law that sets minimum standards for most voluntarily established retirement and health plans in private industry to provide protection for individuals in these plans. Instead, they may choose to offer their employees non-ERISA plans that are subject to less stringent regulations. 

However, the tribal retirement plans must be government plans in order to not be subject to the requirements of ERISA. 

According to the IRS, “A tribe may be eligible for a 401(k) or 403(b) governmental plan…. Whether the plan qualifies will depend on the facts and circumstances at hand. If a plan does not qualify as a governmental plan, then it would be presumably non-governmental and subject to the requirements of ERISA.”

What Does the Term “Government Plan” Mean Exactly?

The IRS states, “Prior to 2006, a ‘governmental plan,’ as defined in IRC Section 414(d), included a plan established and maintained for its employees by the U.S. Government, a State government or political subdivision thereof, or by any agency or instrumentality of the foregoing but did not include plans established and maintained by an Indian tribe or a tribal subdivision.

As amended by the Pension Protection Act of 2006 (PPA), the definition of ‘governmental plan’ in IRC Section 414(d) now includes a plan established and maintained by an Indian tribal government, a tribal subdivision, or an agency or instrumentality of either, and all of the participants of which are employees of such entity substantially all of whose services are in the performance of essential governmental functions but not in the performance of commercial activities (whether or not an essential government function).”

How Can Non-ERISA Plans be Advantageous for Employers?

Non-ERISA plans can be advantageous for employers because they are subject to fewer regulatory requirements than ERISA plans. This can lead to lower administrative costs and greater flexibility in plan design.

Non-ERISA plans can also provide greater autonomy for the employer in terms of plan management and decision-making. Additionally, non-ERISA plans may be exempt from certain taxes and fees that are associated with ERISA plans. 

Qualifying Governmental Plans for Indian Tribal Governments

Tribes may be eligible for a 401(k) or 403(b) governmental plan, subject to certain requirements and limitations. To qualify as a governmental plan, the plan must meet specific criteria outlined in Section 414(d) of the Internal Revenue Code.

 A tribe may decide to maintain two separate plans.

Separate Retirement Plans

Another difference is that tribal governments may offer separate retirement plans for their commercial and government employees, while non-tribal employers are typically required to offer the same retirement plan to all eligible employees. This is due to the fact that tribal commercial entities are often separate from the government and have their own unique legal considerations.

However, it’s important to note that tribal governments are still subject to federal regulations, such as the Pension Protection Act of 2006, which has implications for the types of retirement plans they can offer their employees. Additionally, tribal governments are encouraged to file Form 5500 for their retirement plans to ensure compliance and avoid potential penalties.

Multiple Plans

One unique aspect of tribal council retirement plans is the defined benefit (DB) plan for elected officials. Elected tribal council members do not earn Social Security benefits during their term of service, and the DB plan was created to address this issue. Tribes want to ensure that their plans are well-funded and promote the social and financial well-being of their members.

Challenges and Variations

Tribes face challenges in complying with IRS regulations, including the complexity of tribal governance and the unique functions of tribal governments. Each tribe does business differently, with some doing business by consensus while others delegate decisions to a select few members. To address these challenges, tribes need a team that understands federal law, state law, and tribal law.

Summary

Understanding tribal council retirement plans is essential for both tribal governments and employees. The Pension Protection Act of 2006 and ERISA regulations have a significant impact on the design and administration of tribal employee benefit plans. 

Tribal governments must balance compliance with federal law with their inherent sovereignty to govern themselves and their affairs. Providing retirement benefits to tribal council members and other government employees presents unique challenges, but tribes can overcome these challenges with the right team and expertise.

Learn More About Our Tribal Services

At RWM Financial Group, we are committed to upholding independence, excellence, and supporting tribal sovereignty to help achieve your tribe’s financial goals. Our extensive range of services include but are not limited to:

  •  Tribal Council Retirement Plans, 401(k) Investment Management (both ERISA and Non-ERISA)
  • Children’s Trust Investment Management
  •  Fiduciary Investment Management, Discretionary and Non-Discretionary Investment Management
  • Investment Monitoring
  •  And,  Detailed Reporting

We also provide services such as Investment Committee Education, Tribal Member Financial Education, Third-Party Administrator and Provider Liaison, 401(k) Provider Request for Proposal, Participant Education, and Financial Wellness Program, Onsite Meetings, and Retirement Plan Enrollment Assistance. Our team is dedicated to providing exceptional service and building long-lasting relationships with our clients.
The purpose of RWM Financial Group is to promote plan success via our knowledgeable team and a robust set of tools. By working with us, you can help put your employees on the path working toward a confident retirement. Learn more about our services, here.

This information was developed as a general guide to educate plan sponsors, but is not intended as authoritative guidance or tax or legal advice. Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation. In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.

Administering a 401(k) Plan: Who Does What?

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Managing a workplace retirement plan is a team effort. Everyone needs to understand their roles and responsibilities to ensure the retirement goals of all employees.

The key players in administering a 401(k) or similar employer-sponsored plan include:

  • The plan sponsor, who appoints an officer or employee of the company as the named fiduciary (plan administrator).
  • The plan administrator, who may outsource certain tasks to service providers, but still retains ultimate responsibility for any outsourced activities.
  • The plan participants, who play a key role in the administration of the plan.
  • Service providers and regulators, who have specific responsibilities related to the plan.

Read on to learn more about how this team functions and how each member plays an important role in ensuring the success of the 401(k) plan.

The Plan Sponsor (The Employer)

The plan sponsor has a legal obligation to act as a fiduciary. This means they must act in the best interest of the plan’s participants, and make informed decisions. 

One of the key responsibilities of the plan sponsor is to conduct regular audits of the plan. This includes reviewing the plan’s financial statements, ensuring compliance with legal and regulatory requirements, and monitoring the performance of the plan’s service providers.

The plan sponsor should also have a process in place for selecting and monitoring service providers, such as investment advisers or recordkeepers. This includes conducting due diligence, reviewing contracts, and monitoring performance on an ongoing basis.

In addition, the plan sponsor should verify the plan has adequate insurance coverage and that all necessary documents, such as the summary plan description and trust agreement, are up to date and in compliance with applicable laws.

It’s important for the plan sponsor to keep themselves informed about the current laws and regulations and make sure that the plan is in compliance. They should also take steps to educate their employees about the plan and the responsibilities of all parties involved.

Named Fiduciary/Plan Administrator

The Named Fiduciary/Plan Administrator is the person chosen by the employer to manage and run the 401(k) plan. 

As a fiduciary, they have a legal duty to act in the best interest of the plan’s participants and make informed decisions. This includes choosing and monitoring service providers like investment advisers or recordkeepers and making sure the plan is following all laws and regulations.

The Named Fiduciary/Plan Administrator’s duties may also include:

  • Filing annual reports and other paperwork
  • Communicating with plan participants and giving them information about the plan
  • Approving transactions and investments
  • Checking financial statements and other reports
  • Keeping the plan’s records and documents
  • Working with service providers to make sure the plan is being run correctly
  • Communicating With the employer, service providers, and participants to make sure the plan is working in their best interest.

Plan Participants

401(k) plan participants have certain rights and responsibilities related to the plan, including the right to contribute, receive information, and direct the investment of their contributions.

Participants can choose how much to contribute, subject to any limitations established by the plan sponsor. They also have the right to change their contribution amount at any time and to direct the investment of their contributions among the options offered under the plan.

401(k) plan participants also have the right to receive certain information about the plan, including the summary plan description,  financial statements, and information about investment options. They also have the right to file a complaint or appeal if they believe their rights under the plan have been violated.

It’s important for 401(k) plan participants to communicate with the plan sponsor and administrator to stay informed about their rights and responsibilities.

Service Providers and Regulators

Service providers and regulators play an important role in the administration of a 401(k) plan. Service providers are companies or organizations that provide various services to the plan, such as investment management, recordkeeping, and trustee services. Regulators are government agencies that oversee and enforce compliance with laws and regulations governing 401(k) plans.

Service providers may include:

  • Investment managers, who manage the plan’s investment options and provide investment advice to the plan sponsor and plan administrator;
  • Recordkeepers, who maintain records of the plan’s assets, transactions and participant account balances;
  • Trustees, who hold the plan’s assets in trust and are responsible for safekeeping the assets;

Learn More About 401(k)Plans

Employers should create an effective 401k communication plan that helps employees make informative decisions for retirement.

Contact RWM today to review your existing 401k or talk through a plan of action to offer retirement savings to your employees. 

This information was developed as a general guide to educate plan sponsors but is not intended as authoritative guidance or tax or legal advice.  Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation.  In no way does the advisor assure that, by using the information provided, the plan sponsor will be in compliance with ERISA regulations.

Retirement Plan Options for Agricultural Businesses

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Agricultural business owners have distinct financial characteristics compared to the general population, such as higher personal savings and less dependence on social security during retirement. They also have income from both farming and non-farming sources. Therefore, it’s crucial for them to have a well-defined and comprehensive retirement plan.

 In this article, we will explore different retirement plan options available to agricultural business owners. These include IRAs, SIMPLE plans, SEP plans, and 401(k) plans. We will also discuss the importance of estimating net worth, income, and expenses, and how to use that information to create a retirement plan that aligns with your goals. 

Planning for Retirement with an AG Business

Retirement planning for agricultural businesses can be a complex process due to the unique nature of the industry. Compared to typical business owners, farm and ranch households often have:

  • More personal savings
  • Diverse financial portfolios
  • Income from both farm and off-farm sources

Commercial farm operators are also less likely to have employer-sponsored pension plans and often have to rely on farm assets for retirement income.

It is important for farmers and ranchers to begin planning for retirement well in advance, ideally five to fifteen years before they plan to retire. This provides ample time to make necessary adjustments to their financial portfolio and informed decisions about their future.

Let’s take a look at some options.

Retirement Plan Options for Farmers

As farmers and ranchers approach retirement, it’s important to have a plan in place to ensure financial security. There are several options available for retirement planning, including:

IRAs

There are regular (traditional) IRAs and Roth IRAs. Regular IRA contributions can get you a current-year tax deduction of up to $6,000 for 2022, or $7,000 if you’re over 50 years old. However, you will pay income tax on the distributions when you withdraw them in retirement. Roth IRA contributions, on the other hand, get you no tax deduction for the current year, but you will pay no income tax when you receive distributions after 59.5 years old.

SIMPLE PLAN

Simplified Employee Pension plans allow for tax-deductible contributions for the employer, with contribution limits of up to 25% of the employee’s compensation. This plan is a good option for agricultural businesses with a small number of employees.

401(K) PLAN

This plan allows for tax-deferred contributions from employees, with contribution limits of up to $20,500 for 2022 and up to $27,000 if you’re over 50 years old. Employers can also match contributions, but this plan can be more costly and complex to administer.

Farmers and ranchers can also consider investing in farm assets such as land, equipment, and livestock as a means of retirement income. However, it is important to consult with a financial advisor or CPA to determine the best plan for your situation.

Do Farmers Ever Really Retire? 

It ultimately depends on the individual. Some farmers choose to continue working, while others decide to retire for health reasons or to pursue other interests. Some farmers may sell their farm to a younger generation and continue to work on the farm in an advisory role. 

Others may lease their land to another farmer and continue to work on the farm in some capacity. It’s important for farmers to have a plan for retirement and to consider their options for income during retirement, whether that means continuing to work on the farm or finding alternative sources of income.

With all of these options available, many business owners in the agricultural sector may not know where to start. Let’s discuss how to begin developing a retirement plan. 

How Farmers Can Develop a Retirement Plan

Here are four steps for agribusiness owners can use to develop a financial or retirement plan:

Identify Your Goals:

Establishing your financial objectives in advance is the key to ensuring your investment strategy aligns with your goals. While your long-term goals may not change significantly over time (such as retirement planning and passing on your business to the next generation), your investment mix will evolve as you age. As you approach retirement, you may prefer less risky investments. Because markets fluctuate, it’s essential to reassess your goals and investments regularly to ensure that your financial strategy remains on track.

Calculate What You Can Invest

When creating your investment plan, subtract your monthly expenses from your monthly income to calculate your disposable income. This will determine the amount of money you have left over after covering necessary expenses and what you can afford to invest each month.

If you find that your expenses are greater than your income, consider ways to reduce or delay expenses or find ways to increase your income. If your income exceeds your expenses, it’s time to decide how to use the surplus income to achieve your financial goals.

Planning Retirement with a Professional 

Preparing for retirement can be a complex and overwhelming process. It is important to have a thorough understanding of how to make the most of your distributions and avoid potential pitfalls to ensure a comfortable and secure retirement. It can be beneficial to seek guidance from a team of financial experts to develop a personalized plan that aligns with your specific needs and goals.

Contact RWM today to learn more about retirement plan distributions and how we can help you get ready for retirement. 

This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material. 

Secure 2.0: What The New Legislation Could Mean For You

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The Setting Every Community Up for Retirement Enhancement (SECURE) Act 2.0 offers solutions for a range of issues, including Required Minimum Distributions and student loan debt.

The bill has the potential to strengthen the retirement system and improve your financial readiness for retirement. The law builds upon previous legislation that raised the age for required minimum distributions (RMDs) and permitted workplace savings plans to offer annuities, ultimately concluding a prolonged debate on enhancing retirement savings through employer plans and IRAs.

The key retirement provisions of the Secure 2.0 Act include:

  • Raising the age for retirees to begin taking RMDs from IRA and 401(k) accounts
  • Modifying the catch-up contribution limits for older workers with workplace plans
  • Matching for Roth Accounts
  • Assistance with student debt
  • Simplifying the process of transferring accounts from one employer to another
  • Saving for emergencies within retirement accounts. 

These new provisions will impact employees and employers alike. In this blog, we will discuss the key provisions of the Secure Act 2.0 and what these changes could mean for your retirement. 

Download Our Secure 2.0 Deck

Significant Changes For Retirement Accounts

Starting on January 1, 2023, the required age for taking money out of your retirement account (RMDs) will increase to 73, up from 72. However, if you turned 72 in 2022 or earlier, you will still need to take money out of your accounts as usual.

Penalties for not taking RMDs will decrease as well. Currently, if you don’t take an RMD, you will be charged a penalty of 50% of the amount you were supposed to take out. Starting in 2023, the penalty will decrease to 25% of the RMD amount not taken. If you take the missed RMD and file a corrected tax return in a timely manner, the penalty will be reduced to 10% for IRA accounts.

Additionally, starting in 2024, Roth accounts in employer retirement plans will be exempt from RMD requirements, and the Secure Act 2.0 pushes the age of RMD to 75 starting in 2033. And if you’re receiving annuity payments from your employer retirement plan that exceed the RMD amount, you can apply the excess payment to that year’s RMD.

Higher Catch-up Contributions

Starting January 1, 2025, people between 60 and 63 years old will be able to put an extra $10,000 per year into their workplace retirement accounts as catch-up contributions. This amount could increase each year based on inflation. Currently, the catch-up contribution limit for people 50 years or older is $7,500.

Keep in mind that if you make more than $145,000 in the previous calendar year, any catch-up contributions you make when you’re 50 or older will have to be put into a Roth account, meaning you’ll have to pay taxes on the money before it’s deposited. The income limit can also increase with inflation.

Starting in 2024, the catch-up contribution limit for IRAs for people aged 50 or older will be indexed to inflation, meaning it could increase each year based on cost-of-living adjustments.

Matching for Roth Accounts

Employers will be able to offer their employees the option of getting matching contributions for their Roth accounts. However, it may take some time for plan providers to offer this option and for payroll systems to be updated. Before, matching contributions in employer-sponsored plans were made before taxes were taken out. With Roth accounts, contributions are made after taxes, but the earnings can grow tax-free.

Unlike Roth IRAs, employer-sponsored Roth accounts will still require RMDs until the tax year 2024.

Qualified Charitable Distributions (QCDs)

Starting in 2023, if you’re at least 70 ½ years old you’ll be able to give up to $50,000 (adjusts annually for inflation) as a one-time gift to certain types of charities. This can include a charitable remainder unitrust, a charitable remainder annuity trust, or a charitable gift annuity as part of your Qualified charitable distributions (QCDs) limit. 

The Secure Act 2.0 expands the types of charities that can receive QCDs. This gift will count towards your annual RMD if you’re required to take one. It’s important to note that the gift must come directly from your IRA by the end of the calendar year and not all charities qualify for QCDs.

Retirement Plans for Employees with Student Debt

Starting in 2024, the SECURE 2.0 Act allows employers to make contributions to their employees’ workplace savings plans, even if the employees are still paying off student loans. 

 Workers will no longer have to choose between paying off their college loans or saving for retirement. Additionally, employers will be able to make contributions that match the amount of student loan debt repaid by the employee in a given year. This can be an effective way to attract and retain employees as they plan for retirement.

Emergency Savings

In 2024, defined contribution retirement plans will be able to include an emergency savings account as a designated Roth account that can accept participant contributions from non-highly compensated employees. Contributions will be limited to $2,500 per year, or lower if set by the employer. The first 4 withdrawals in a year will be tax and penalty-free. Depending on the plan’s rules, contributions may be eligible for an employer match. An emergency savings fund can help plan participants save for short-term and unexpected expenses, and also provides them with penalty-free access to funds.

Improved Legislation

The Secure Act 2.0 offers a variety of solutions to retirement-related issues, including raising the age for RMDs, modifying catch-up contributions, and allowing employers to match contributions for Roth accounts. These changes aim to strengthen the retirement system and improve Americans’ financial readiness for retirement.

Read the full SECURE Act 2.0 here.

Need Help Preparing for Retirement?

Preparing for retirement can be a complex and overwhelming process. You need to have a thorough understanding of how to make the most of your distributions and avoid potential pitfalls to ensure a comfortable and secure retirement. It can be beneficial to seek guidance from a team of financial experts to develop a personalized plan that aligns with your specific needs and goals.
Contact RWM today to learn more about retirement plan distributions and how we can help you get ready for retirement.

Retiring with a Spending Plan: How to Prepare Financially for Retirement

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Retirement is a major milestone in life and a time when you’ll have the freedom to enjoy your hard-earned leisure time. However, it’s also a time when you’ll be relying on your savings and investment income to support your lifestyle. 

Retiring with a spending plan starts with just that: planning. Let’s take a look at how you can begin planning for your retirement today. 

Determine Your Income Sources

Determining your income sources in retirement is an important first step towards creating a spending plan that will allow you to live comfortably during this new stage of your life. There are several different types of income that you may have in retirement, and it’s important to consider all of them when creating your plan.

Social Security is a government-run program that provides financial assistance to retired Americans. If you’ve paid into the system through payroll taxes during your working years, you’ll be eligible to receive Social Security benefits when you retire. These benefits are based on your earnings history, and the amount you’ll receive will depend on how much you’ve paid into the system and how long you’ve worked.

A pension is another type of income that you may receive in retirement. A pension is a regular payment that you receive from an employer or other organization in exchange for your past service. Pensions can be either defined benefit plans, which provide a set amount of income each month, or defined contribution plans, which provide a set amount of money that you can use to invest in a retirement account.

Retirement savings accounts, such as 401(k)s and IRAs, are another important source of income in retirement. These accounts allow you to save money for retirement on a tax-advantaged basis, and the money you save in them can be used to generate income in retirement through investments in stocks, bonds, and other assets.

Finally, you may also have other investments, such as stocks, bonds, or real estate, that can generate income in retirement. It’s important to consider all of these income sources when creating your spending plan, as they can all play a role in helping you to maintain your desired lifestyle during retirement.

Estimate Your Expenses

When creating a spending plan for your retirement, it’s important to make a comprehensive list of all of the expenses that you expect to have. This may include things like housing, healthcare, food, transportation, and entertainment. Be sure to include both fixed and variable expenses in your plan, as well as any one-time expenses that you may have. 

Fixed expenses are those that stay the same each month, such as a mortgage payment or car insurance premium, while variable expenses may vary from month to month, such as the cost of groceries or entertainment. One-time expenses are expenses that only occur occasionally, such as home repairs or travel. 

By considering all of these types of expenses, you can get a more accurate picture of your financial needs in retirement and create a spending plan that will allow you to live comfortably. It’s a good idea to review your expenses periodically to ensure that your spending plan is still on track and to make any necessary adjustments.

Determine Your Retirement Budget

Once you know your income sources and expenses, you can determine your retirement budget. This is the amount of money you have available to spend each month. If your income is less than your expenses, you’ll need to make adjustments to either your income or your expenses (or both). On the other hand, if your income is more than your expenses, you may be able to save the excess for future needs or splurge on a special treat.

Consider Inflation 

Inflation is the gradual increase in the cost of goods and services over time. It’s important to consider inflation in your spending plan because it can impact your budget over the course of your retirement. For example, if you’re planning to spend $50,000 per year in retirement, but inflation increases the cost of goods and services by 3% per year, your expenses will actually be closer to $58,000 after 10 years. To account for inflation, you may need to increase your income or make adjustments to your spending plan.

Review and Adjust Your Spending Plan

 It’s a good idea to review your spending plan regularly to ensure that it’s still on track. This may involve making adjustments to your income, expenses, or both. For example, if your investment portfolio isn’t performing as well as you’d hoped, you may need to reduce your spending or find ways to increase your income. On the other hand, if your investments are doing well, you may be able to increase your spending or save more for the future.

Final Thoughts

By creating a spending plan for your retirement, you can ensure that you have a solid financial foundation to support your desired lifestyle. This can help you relax and enjoy your golden years, knowing that you have a plan in place to support you financially.

The purpose of RWM Financial Group is to promote plan success via our knowledgeable team and a robust set of tools. 

RWM will lead the way toward retirement readiness for pre-retirees and new generations of employees—whose success comes from your plan’s success. Combining professional dedication, cutting-edge tools, and high-impact education with a commitment to service, RWM Financial Group’s process sets a clear direction toward retirement for your valued employees and balances their needs with yours. The RWM process uses features and services that strive to create value for the employee and the employer.

For a better understanding of retirement savings plans, read our article here.

Everything You Need to Know About Retirement Plan Distributions 

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Retirement brings you the opportunity to spend time on what matters most in life and finally relax as your career comes to an end. If you’ve taken the right steps throughout your career, then you may be in a position to receive Retirement Plan Distributions. These distributions can be crucial to living comfortably after you’ve stopped working. 

Retirement Plan Distributions allow you to receive payments or withdraw money from retirement plans such as 401(k)s and IRAs. They provide you with a consistent income or a lump sum of cash so you don’t need to worry about working as you get older. It’s vital that you understand Retirement Plan Distributions so you don’t incur penalties, maintain a healthy income when you’re no longer working, and save on taxes.

This article will look at how you can get the most out of your retirement plan and set yourself up for long-term financial freedom. 

Eligibility for Distributions 

The best way to avoid penalties when it comes to your distributions is to understand eligibility. 

In the United States, the retirement age is considered 59.5. If you withdraw any money from your retirement plan before retirement age you will incur a 10% penalty on the cash you withdrew. Unless you absolutely need the money, you should really think twice about any early withdrawals. You’ll be far better off in the long run if you stick to the practice of not touching your retirement plan before retirement age.

There are exceptions however to that 10% penalty. Some examples include:

  • First Time Homebuyers can withdraw up to 10,000 dollars
  • The death of the retirement plan participant 
  • Total and permanent disability 
  • Qualified medical expenses 

Most of the reasons for the penalty being waived are that something has gone really wrong in your life. It’s important to talk to a qualified financial planner if you’re ever in a position where you need to take money out of your plans so they can help with waiving the fee. 

Required Minimum Distributions

A Required Minimum Distribution (RMD) is the minimum amount of funds that you must withdraw from your traditional retirement plan once you reach the age of 72 (increased from 70 with the Secure Act). The government created legislation for RMDs to make sure people don’t use their retirement accounts as a way to avoid paying taxes indefinitely.

The IRS performs a mathematical calculation to inform you how much you need to take out. There will be no penalty if you take out the minimum or more, but it’s possible you’ll have to pay income tax. Some plans allow you to defer the RMD if you’re still employed at 72. 

Lump Sums or Installments?

Once you reach the age where you can start receiving distributions, you’ll have the choice of receiving cash in either a lump sum or installments. This is where a lot of people start to feel overwhelmed as there’s a lot of information about what’s the best step to take toward long-term financial freedom. 

From our own experience in retirement plans, we typically see clients choose  installments as their preferred choice for taking distributions. The two main reasons for this are:

  • Taxes: Getting paid in installments helps you spread out your taxes over time and avoid the higher tax rate that may come with a lump sum distribution.
  • Financial Stability: It’s difficult to make a sitting lump of cash last. Having installments allows you to have a predictable and stable source of income, providing you with peace of mind in retirement. 

There are some pros to choosing a lump sum, such as putting that money into other investments with the help of a qualified financial planner, but this decision should be carefully thought over by a professional as it can lead to greater financial risk. 

Rollovers

It’s possible, even likely, that you’ll change companies over your career. And you may be worried about what happens to all the money in the plan at your current place of work if you’re considering a job change. The good news is that you can take all of that money with you if the new plan accepts money from your previous plan with a rollover. 

A rollover is the process of transferring retirement assets from one plan to another while avoiding any possible penalties and maintaining your tax-deferred growth. 

But what if you want to rollover your retirement plan to an IRA?

Well, you can do that too. A direct rollover to an IRA means that income taxes are still not due. Your future earnings are still tax-deferred and you can now control your money as far as investments are concerned. A direct rollover is an optimal way of transferring assets from account to account. 

Planning Retirement with a Professional 

Planning for your retirement can be stressful. You want to do everything in your power to make it a period of life that’s as stress-free as possible. Having the knowledge of how to make the most out of your distributions and how to avoid potential pitfalls goes a long way toward making a pleasant retirement possible. 

The next step is talking with a team of professionals to find the best plan of action for your financial situation. You can contact RWM today to learn more about retirement plan distributions and how we can help you get ready for retirement. 

Five Things to Do Five Years Before You Retire

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Retiring can be an uncertain time, but with the right planning and preparation, it can also be an exciting and enjoyable new chapter in your life. Here are five things you should consider doing five years before you retire:

  1. Look at your income
  2. Think about your home
  3. Keep control of your debt and taxes
  4. Plan for healthcare expenses
  5. Imagine your ideal retirement

Let’s talk about each of these in detail. 

Look At Your Income 

Determine how much income you’ll need in retirement and consider moving some of your money into income-producing investments to provide a steady stream of income.

 It’s also important to consider inflation and the potential for rising costs of living in the future, as this could impact your overall income needs. Reviewing your income and expenses can help you create a retirement budget that is realistic and feasible for your needs. It may also be helpful to work with a financial professional who can help you create a retirement plan that is tailored to your specific financial situation and goals.

Think About Your Home

There are a few key things to consider when thinking about your home in the years leading up to retirement. First, consider your current and future needs. Do you need a larger home to accommodate your family, or would a smaller home be more suitable for your lifestyle in retirement? If you’re considering downsizing, think about the cost of selling your current home and the potential cost of purchasing a new home. You may also want to consider the location and any potential maintenance costs of a new home.

Additionally, it may be helpful to think about the potential tax implications of selling your home. Depending on your situation, you may be able to exclude some or all of the capital gain from the sale of your home from your taxable income. It’s a good idea to review your options with a tax advisor to see if selling your home could potentially benefit you tax-wise.

Finally, consider the cost of living in different areas. Moving to a location with a lower cost of living could help reduce your expenses in retirement, but it’s important to carefully weigh the pros and cons of a move before making a decision. You may want to visit potential new locations and consider factors like the availability of healthcare, access to amenities, and proximity to friends and family.

Keep Control of Your Debt and Taxes

Paying off as much debt as possible before retirement is a smart financial move because it can help reduce your expenses and increase your cash flow in retirement. This can be especially important if you’re relying on fixed income sources, such as Social Security or a pension, as these sources of income may not increase over time to keep up with inflation. It’s a good idea to prioritize paying off high-interest debt first, as this can save you the most money in the long run.

One way to lower your taxable income is to work with a tax advisor to see if converting a traditional IRA to a Roth IRA is a viable option for you. With a traditional IRA, you contribute pre-tax dollars, but you’ll pay taxes on the money when you withdraw it in retirement. A Roth IRA, on the other hand, is funded with after-tax dollars, so you won’t pay taxes on the money when you withdraw it in retirement. This can be a good option for people who expect to be in a higher tax bracket in retirement, as it allows you to pay taxes on the money at your current, potentially lower tax rate. However, it’s important to carefully consider the potential tax implications of a Roth IRA conversion, as it may not be the right choice for everyone. A tax advisor can help you weigh the pros and cons of a Roth IRA conversion and determine if it’s a good option for your specific financial situation.

Plan for Healthcare Expenses

Planning for healthcare expenses in retirement is an important consideration because healthcare costs can be a significant portion of your budget in retirement. Here are a few things to consider when planning for healthcare expenses:

Make sure you have the proper healthcare insurance. This may include enrolling in Medicare if you’re eligible and considering supplemental insurance policies to help cover out-of-pocket costs. It’s a good idea to review your options carefully and consider factors like your current and future healthcare needs, the cost of premiums, and the coverage offered by different plans.

Consider long-term care options. Long-term care costs, such as nursing home care or home healthcare, can be a major expense in retirement. It’s a good idea to consider your potential need for long-term care and explore options for paying for it. Options may include purchasing long-term care insurance, setting aside money in a dedicated savings account, or including long-term care provisions in your estate plan.

Think about how healthcare expenses will fit into your budget. It’s important to consider how healthcare expenses will fit into your overall retirement budget and make sure you have enough savings to cover these costs. This may involve setting aside money in a dedicated healthcare savings account or factoring in healthcare costs when creating a retirement budget.

It’s a good idea to review your healthcare options and plan for healthcare expenses well in advance of retirement to ensure that you have the coverage and resources you need to meet your healthcare needs in retirement.

Imagine Your Ideal Retirement

Here’s the fun part: paint the picture of your ideal retirement. You can do this by asking questions such as:

  • What do you want your retirement to look like? Do you want to travel the world, spend more time with your family and friends, or take up a new hobby? Do you want to stay in your current location or move somewhere new?
  • How will you spend your time? Do you want to be active and stay engaged with your community, or do you prefer a more laid-back lifestyle?

Take some time to think about your goals and aspirations for retirement and consider how you might continue to pursue your current interests and passions in your daily life.

Make sure your assets are structured in a way that will allow you to have the retirement you envision.

Final Thoughts

Retirement planning can be confusing but  can have many benefits for any individual. 

Not sure where to start? We got you covered. 

The purpose of RWM Financial Group is to promote plan goals via our knowledgeable team and a robust set of tools. 

RWM can help lead the way toward retirement readiness for pre-retirees and new generations of employees—whose success comes from your plan’s success. Combining professional dedication, cutting-edge tools, and high-impact education with a commitment to service, RWM Financial Group’s process sets a clear direction toward retirement for your valued employees and balances their needs with yours. The RWM process uses features and services that strive to create value for the employee and the employer.

For a better understanding of retirement savings plans, read our article here.