Plan Sponsors: Employers

The Plan Sponsor section is designed for and contains information that may be helpful to business owners, fiduciaries or other persons associated with the administration of a 401(k) plan or similar qualified retirement plan.

Whether you sponsor a 401 defined contribution plan, 457 deferred compensation plan or 403(b) tax deferred annuity plan, 401(k) Guidance and its affiliated Registered Investment Advisory Firm, Gary Goldberg Planning Services, Inc. offers financial solutions that work.

As a retirement plan sponsor, you want to provide the best benefits to your employees. You also want to partner with a company that can assist you in managing the complexities of plan administration as well helping you meet your fiduciary responsibilities. Through our affiliation with Gary Goldberg Planning Services, Inc. a SEC Registered Investment Advisory Firm, we are committed to exceeding expectations in the delivery of outstanding education, services, products and investments to our retirement plan sponsors and participants.

Our existing retirement plan sponsors benefit from having access to a Plan Sponsor Web site to help you better manage your retirement plan. This site provides you with access to plan-specific information, investment information, an education library, fiduciary information, legislative/industry updates and more.

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Principal Financial Plan Breakdown info

401k-Guidance.com provides you with choices, guidance, and solutions to fit your personal and plan-level needs.

Choices: There is no "one-size-fits-all" retirement plan. 401k-Guidance.com offers a wide array of plan types, and offers what is widely referred to as "Open Architecture" as the basis for plan investments. Through open architecture, plan sponsors have access to an almost unlimited number of mutual fund families from which to select the plan's investment options.

Guidance: Other service providers will claim to offer "Single Point of Contact" servicing. However, their service model requires the relationship manager to rely on other departments for retirement plan expertise and assistance. At 401k-Guidance.com, each plan is assigned an experienced Plan Consultant. This individual is responsible not only for the day-to-day contact with you and your client, but also for the administration and record keeping of the plan, as well as consultative services.

Solutions: Sponsoring a retirement plan is only half of the equation. Maintaining the plan, educating participants, and making sure that plan design consistently meets your organization's goals are all critical components of a successful retirement program. 401k-Guidance.com offers plan sponsors, through our affiliated Registered Investment Advisory Firm, the resources necessary to address these items, including enrollment and educational materials, legislative updates, timely notifications, a comprehensive website, and much more.

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Fiduciary Liability

What is Fiduciary Liability Insurance?
Fiduciary Liability Insurance pays, on behalf of the insured, the legal liability arising from claims for alleged failure to prudently act within the meaning of the Pension Reform Act of 1974. “Insured” is variously defined as a trust or employee benefit plan, any trustee, officer or employee of the trust or employee benefit plan, employer who is sole sponsor of a plan and any other individual or organization designated as a fiduciary. Group life and medical expense plans, as well as pension and retirement plans, are within the scope of the law.

When do I need Fiduciary Liability Insurance? And what is ERISA act 1974?
Are you a fiduciary? Are your personal assets at risk? Are you subject to lawsuits, fines, and penalties? Many people are and don't know it.If you are an owner or officer who makes decisions about your company's 401(k) plan or other qualified employee benefit plan(s), odds are, your personal assets are at risk! Under the ERISA act of 1974 (Employee Retirement Income Security Act), fiduciaries can be held personally liable for losses to a benefit plan incurred as a result of their alleged errors, omissions, or breach of their fiduciary duties.

Employment Liability Insurance does not cover all situations of fiduciary responsibility, especially those regarding imprudent investment of funds.

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Employee Education

Are you and your employees getting the attention you deserve?

If your current 401(k) Plan sponsor is not holding Investor Education sessions at least twice per year, and you want to make sure that your employees are well served in their 401(k), contact us to discuss a variety of services we offer.

• Quarterly, semi-annual or annual in person employee education
• Quarterly market and economic updates via newsletters
• One-on-One personal financial planning consultations for departing employees
• Portfolio construction and portfolio administration services

Just call us at 1-877 401K Guide (5484) to discuss options available to you.

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How to choose an advisor for your company

As an employer and sponsor of a 401(k) plan, your company shoulders a major responsibility. You must listen to the needs of your employees and then select the appropriate service provider(s) at a reasonable cost, determine the optimal plan design provisions, choose and monitor investments, keep up with legislative changes, ensure your plan is administered properly, and educate and inform plan participants. All of this hopefully results in a plan that inspires employees to reach their retirement dreams, while helping you recruit and retain valuable associates.

How do you know if your company is meeting these challenges? How do you select service providers or investments – what are the criteria? How do you know if your plan is working? Does your company have the resources to handle these responsibilities alone?

Unless your company has individuals with 401(k) expertise who are solely dedicated to managing your employee retirement plan, you should consider hiring a financial advisor who specializes in 401(k) plans and is as dedicated to your needs as you are to your employees’.

Like complex machines, 401(k) plans have many different moving parts that must be coordinated to run smoothly and meet the needs of the organization sponsoring the plan. These moving components – people, firms and systems – represent the delivery structure of the various service areas such as administration, investment management and employee communications. Delivery of these services in a format consistent with your organization’s expectations is critical. If the different components don’t fit well together or match your needs, the results may include incorrect depositing of funds, inaccurate and untimely participant information or IRS reporting, and/or employees who don’t understand, appreciate or participate in the plan.

 In general, all 401(k) plans have the same basic objective – to serve as a retirement savings plan for employees. Yet there are many different 401(k) plan models that suit a wide range of specific company needs. The 401(k) advisor’s role is to help you set reasonable expectations, select the most appropriate plan, then manage all the components on an ongoing basis to help ensure a successful plan.

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Roth 401(k)

Opening up a 401(k)
The Roth 401(k) is a type of retirement savings plan. It was authorized by the United States Congress under the Internal Revenue Code, section 402A [1], and represents a unique combination of features of the Roth IRA and a traditional 401(k) plan. As of January 1, 2006 U.S. employers have been free to amend their 401(k) plan document to allow employees to elect Roth IRA type tax treatment for a portion or all of their retirement plan contributions.

Just call us at 877 401K Guide to discuss options available to you. We are affiliated with Gary Goldberg Planning Services, a registered Investment Advisory firm with the SEC. Gary Goldberg Planning Services works on a fee basis. You may select to work with any advisor you chose, including Gary Goldberg Planning Services.

The same change in law allowed Roth IRA type contributions to 403(b) retirement plans. The Roth retirement plan provision was enacted as a provision of the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA 2001),

Making the appropriate investment selections in your 401(k)

Selecting appropriate investments in your 401(k) account is likely to have a decisive impact on your long-term investment returns and your ability to meet your retirement objectives.

It is important to remember that few if any of the investment choices you have in your 401(k) are FDIC Insured or guaranteed. In fact, if you carefully read the prospectus of the various investment choices available to you, most will include some sort of language that states that this investment is not guaranteed and may lose money. So here are a few helpful hints to help you select appropriate investments for your 401(k).

1. We firmly believe that it is prudent to work with a Financial Advisor or other financial professional that can help you understand the various risks associated with any of the investment choices you have.
   
   
2. We believe that your investments in your 401(k) should follow the same basic investment principal as any other investment plan

• Be diversified – don’t invest more than 25% in any one fund or asset class
  
  
• Pay attention to investment costs – try to select funds with lower expense ratios
  
  
• Understand that past performance is no indication of future results. Often, last years winners may end up this years losers
  
  
• Develop a long-term strategy and stick to it. Reacting to newspaper or TV headlines may create more harm than good

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