Significant burden is placed on employers to maintain and administer employer sponsored retirement plans that are increasingly being relied upon to advance the retirement wellbeing of those in the plan. The Employee Retirement Income Security Act of 1974 (ERISA) sets minimum standards for private pension plans to provide protection for individuals in these plans. Over the past few years, regulations have been changing and multiplying partially in response to abuses but also to encourage a better outcome for the average retiree.
A Plan Sponsor must act with the care, skill, and diligence of a prudent expert in carrying out its duties for the sole benefit of the Plan Participants in pursuing the exclusive purpose of the plan. This is the highest legal fiduciary standard, and most Plan Sponsors are not aware of practices that are expected of them in meeting this principle-based standard.
Regardless if the retirement plan is a frozen defined benefit plan, a cash balance plan, or an account-based self-directed 401(k) defined contribution plan, each fiduciary is held to the same standard of care. It is under this heavy responsibility and the new regulatory environment that Chao & Company's advice is most needed.
Chao & Company Retirement Plan & Fiduciary Consulting Services - Brochure
We provide consulting services in the following areas:
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