Plan Administration

PENSION TRUST SOLUTIONS provides complete administrative services. Our highly trained staff of account administrators offer personalized service and are organized into teams to ensure quality and consistency. Our team managers are educated in all areas of plan administration. They understand the many facets of the plan document and its relationship to the trust.

Our consultants and plan administrators spend many hours researching new federal and state legislation, interpreting the impact of various legislation and IRS regulations. We scrutinize all available information and client data, such as salary levels, the average age of the client’s workforce, which employees are considered favored, and individual ownership structure, for example, so that we can provide the optimal design and ongoing administration for the benefit our plan sponsors. Our experienced administrators keep clients and their advisors informed of the most current issues affecting their plans.

Listed below are the major services provided by our administrative staff:

1) Complete actuarial valuation to determine deductions for defined benefit pension plans.

2) Determine actuarial assumptions, equivalents and methods used in the annual administration of a qualified plan to maximize pension for owners and key employees and minimize costs for other employees. Compare plan assets to merging liabilities.

3) Determine annual contribution to discretionary profit sharing plans, money purchase plans and 401(k) plans. Certain profit sharing plans may take into account the current age of the owner(s) and employees, some may utilize an approach that “integrates” with the annual Social Security Taxable Wage Base. The formula for allocating employer contributions will be discussed with each client and included in the plan document.

4) Prepare annual statement of market value of plan assets and provide a reconciliation of net worth, allocate contributions, forfeitures and trust fund investment income for each participant. Based on the desires of each client, some plans may call for a pooled, or pro-rata, allocation of fund earnings while some may permit individual employee investment. We will assist in the annual update of each Participant’s account balance and vested account balance.

5) Prepare annual benefit statements and/or account balance statements for distribution to participants and provide copies for trust records.

6) Calculate participant’s vested entitlements, provide a notice of tax consequences and prepare required distribution forms, i.e., Forms 1099R, for tax reporting, in the case of termination of employees or a terminated plan.

7) Administer the distribution of benefits for retired employees.

8) Timely prepare the annual plan filings, Forms 5500-Series, for submission to the Department of Labor based on annually updated information received from the plan sponsor or related professionals, such as certified public accountants.

9) Timely prepare the annual Summary Annual Report for distribution to participants.

10) Provide ongoing consulting services to each client and its advisors.

11) Stay abreast of all impending legislation that may affect the qualified status of any of our client’s retirement plans and provide regular updates when necessary.