Plan Design

A good retirement plan should have features that are unique to the client company. Unfortunately, many plans tend to be uniform. They are easy to acquire but may make an awkward fit with the client’s demographics or objectives. There are various nicknames for these generics: ‘cookie-cutter’, or ‘turnkey’ (AKA ‘turkey’), to mention a few.

In the real world, it’s often necessary to meet more than one objective. The need to attract and retain young workers must be balanced with the desire to assure executives adequate compensation and a comfortable future. Each individual client company is unique. That’s why ‘turnkey’ is often not the best choice.

Flexibility is the watchword. When you start with a multitude of variables– demographics, Retirement Income Generators (RIGs), new tax laws . . . add trade-offs between conflicting goals; factor in the incidentals that are specific to an industry . . . . you are almost guaranteed to need a customized solution.

A sound retirement plan should keep all of these factors on the table:

  • funding options
  • employee demographics
  • retirement goals
  • income levels
  • costs constraints
  • tax implications
  • trust

We pay special attention to that last point– trust. In an era when unrealistic opportunities and unchallenged assumptions are available at any click of the mouse, it’s critical that clients know the depth and talent of the team, and know that the team will remain in their camp for the long haul. The need for unbiased, judicial guidance has never been greater.

At PSI, customized retirement planning is our forte. To be sure, a custom plan requires a higher level of talent and experience than off-the-shelf design. Our actuaries, accountants, attorneys and administrators have– in addition to 100-plus years of professional expertise among them– some formidable tools at their disposal:

  • Proprietary software, for instance, that enables us to maximize contributions, taking into account all the variables in the client company, the market, and the regulatory environment.
  • Professional savvy and experience to ensure compliance with various regulatory bodies such as the IRS, DOL, Pension Benefit Guaranty Corporation, and Departamento de Hacienda.
  • Continuing education seminars and training to keep our professional partners– as well as clients and participants– apprised of constantly changing laws and market factors.
  • Materials that are financially accurate and analytically sophisticated, yet easily understood by the non-investment professional.

At PSI, we are also experts at resolving non‐discrimination testing issues, accounting discrepancies, record-keeping oversights, and other related requests from the client.

The wisest manager knows that business world is loaded with the unexpected. Change may be daunting at times, but it can be harnessed to advantage. The best retirement plan uses compromise and change as engines of growth, with built-in safeguards and flexibility.

Call PSI and let’s discuss the client’s needs and expectations, and how these goals can be translated into a retirement plan that’s unique for their situation. We can help take it from wish-list to reality. No kidding; no cookies; no turnkey!