In today’s streamlined business world, everyone is doing more with less. This leaves us with fewer staff members, smaller budgets, critical initiatives that get shortchanged or dropped because of limited time and money.
The necessity to take shortcuts to meet deadlines along with significant cuts to balance budgets results in increased anxiety about what may be missed or forgotten and always guarantees longer days in the office.
Retirement Plan Environment
For those of you managing or helping manage a retirement benefit plan, there are increased operation and administration compliance requirements along with concerns about retirement readiness initiatives for plan participants
When we look at operational and administrative requirements, the Willis Towers Watson’s 2016 Retirement Plan Governance Study reports that over the past two years 31% of DC plan sponsors have faced an IRS or Department of Labor audit of their retirement plans.
Also, regulatory compliance ranks at the top of the list with 58% of DC plan sponsors conducting reviews of operational compliance for retirement plans. Where does that leave the remaining 42% of Plan Sponsors.
So, How Do YOU Manage Your Risk?
I’m sure I’m not telling you anything new; but what may be new to you is how I can help with all of the above. I refer to it as smart sourcing.
Of course, you’re familiar with outsourcing – moving your internal functions and processes to an outside organization primarily to achieve cost-savings. With my definition of Smart Sourcing, you’re adding key people to your team to address capacity issues, to add expertise you may be lacking internally, and to add a critical layer of experience that you don’t have the time to accrue internally.
Smart Sourcing Advantages
Here’s the advantage that I’ve found in applying a smart sourcing approach with my clients:
- Cost Reduction – Plan sponsors find that a short- or long-term assignment is more affordable than maintaining either an employee on the payroll or fully outsourcing a function or process. You essentially have a flexible “in-house” solution that directly responds to your priorities.
- Quick Resolution – Smart Source subject matter experts can quickly identify and help resolve problems, saving you valuable time and energy. They can act as your representative with service providers, consultants, advisors, or with legal counsel; keeping you informed, and presenting options and recommendations for your approval and next steps. All that leaves you feeling confident that your plan is tended to and deliverables are being met.
- Risk Mitigation – As noted earlier, retirement plan audits are happening far more frequently. Smart Source expertise can evaluate your plan governance and operational activities to help reduce your risk, document where necessary, helping you avoid unpleasant surprises.
Who Are You Going to Call?
Abacus Retirement Plan Consulting can make it happen for you and your organization. We are a consulting firm that provides highly touch and cost-effective retirement benefits support to plan sponsors. We serve as your dedicated resource, relieving you of the immediate administrative burden and freeing you to focus on other, more pressing matters that need your dedicated attention.
With over 20 years of experience in retirement plan industry, we bring a thorough understanding of today’s requirements and how the industry arrived here.
We can tackle your most urgent issues, working alongside your staff as well as collaborating with your plan providers and consultants. We’re detail oriented and love to solve problems and ensure that your plan is operating at a peak level and that critical processes are in place.
Abacus Smart Sourcing Services
We provide retirement plan consulting services in five key areas:
- Special Projects / Project Management – We can handle your special business projects such as remedial measures, mergers and acquisitions, or due diligence activities.
- Annual Compliance Support – These include all the plan management responsibilities that occur each and every year. We’ve got it covered.
- Administrative and Operations Review – We analyze and audit all details of your entire plan administration, helping you avoid costly noncompliance surprises.
- Retirement Plan Oversight – Once your plan is running smoothly, we focus on keeping it that way through oversight. Plus, our experience provides insight into the key items that need periodic updates.
- Internal Operations Support – We can manage or provide guidance on all facets of daily administration, including contributions, hardship withdrawals, and loan oversight.
Let’s Talk
Give me a call or send an email to learn more about how we can help you smart source your retirement plan functions or take on special projects that need our extensive expertise and experience.
You can reach me at 817-690-5430 or erika.chavez@abacusrpc.com.
Erika M. Chavez, Principal
Abacus Retirement Plan Consulting LLC