Plan Document
Four Years of Corrections
A client discovered that prior to partnering with RPCSI, they had incorrectly followed the legal plan document. RPCSI was quick to address what amounted to four years of corrections. These included: late deferrals, late matches, late loan payments, missed deferrals, missed match, and corrections to the profit-sharing allocation. Because of the timing and depth of these issues, RPCSI addressed them through VCP.
Suggesting Safe Harbor
A plan transitioned to RPCSI from a bundled provider. After reviewing their prior-year testing and seeing that it failed ADP, our consultant called them to discuss a Safe Harbor plan design. She discussed the benefits of changing to a Safe Harbor plan design, the requirements for that plan and provided some scenarios so the client could estimate the employer cost. The Plan Sponsor wondered why no one had ever told them about a Safe Harbor plan design before. Bundled providers are not proactive with plan design and often are not credentialed either.
Proactive Plan Design
We had a client with a cross-tested plan design with a 3% Safe Harbor non-elective contribution. The employer had never done any profit sharing in the plan. Our consultant called the employer to ask if he would like to use the cross-testing to get a 6% profit sharing for himself without giving any profit sharing to the rank and file employees. He was grateful for the information and decided to go ahead with the profit sharing for himself. By being proactive and educating him on his plan design, RPCSI was able to help him save more money towards his retirement.
Amending a Plan
We helped one of our clients amend their plan over a four-year period to reach their optimal design. The plan dynamics changed from when they initially started the plan, so the amendments allowed them to continue the plan while benefiting the intended employees. Our consultants have the plan knowledge necessary to offer guidance through a transition such as this one.