Defined Benefit Plans vs. Defined Contribution Plans

by Kimberly DeAngelis on

Qualified retirement plans fall into two broad categories based on the formula that defines them. The first is the Defined Benefit (DB) Pension Plan. These plans specify the amount the plan will pay to participants upon retirement. The second category is the Defined Contribution (DC) plan. DC plans...

The Lessons of an Exceptionally Instructive Year

by Kimberly DeAngelis on

Dear Clients, Colleagues and Friends:

Once in a very great while, there comes a year in the economy and the markets that may serve as a tutorial—in effect, a master class in the principles of successful long-term, goal-focused investing. Two thousand twenty was just such a year.

On December 31...

Cash Balance Plans

by Kimberly DeAngelis on
Categories

You are likely familiar with 401(k) plans and profit-sharing plans, and may have even established such a plan for your employees. The maximum contribution that can be made for owners and targeted individuals under these kinds of plans is $57,000 in 2020 ($63,500 if the individual is age 50 or over...

90 – 10 – 90 RULE

by Kimberly DeAngelis on
If you, your plan or your participants suffer from poor participation, low deferral rates or shortsighted investment decisions, you are not alone. Here are three major obstacles that sponsors need to overcome to help produce better retirement plan outcomes!

2020 Year-End Tax Tips

by Kimberly DeAngelis on

Here are some things to consider as you weigh potential tax moves between now and the end of the year.

1. Defer income to next year

Consider opportunities to defer income to 2021, particularly if you think you may be in a lower tax bracket then. For example, you may be able to defer a year-end...

Mitigate Risk with 3(38) Fiduciary Investment Management

by Kimberly DeAngelis on
Categories

When an employer decides to sponsor a qualified retirement plan, they accept certain fiduciary
responsibilities. One critical responsibility is the management and control of the plan assets.
Discretionary authority over qualified plan investments is a heavily regulated function.
Adherence to the...

The use of auto features in 401(k) plans has continued to climb in popularity over the past decade. In fact, auto features such as automatic enrollment and auto escalation are considered best practices in 401(k) plan design as ways to help boost participation and employee savings rates.1

Many...

New IRS Indexed Limits Announced for 2021

by Kimberly DeAngelis on

The 2021 IRS indexed dollar limits for qualified retirement plans have been released and they are mostly unchanged.  The updates are summarized below:

Your 401(k) Plan During the Pandemic

by Kimberly DeAngelis on
Categories
Retirement plan sponsors are dealing with tremendous complexity, confusion and uncertainty. COVID-19 has changed every facet of society as we know it — including how you manage your 401(k) plan. If you're having difficulty wrapping your head around all of the changes and to-dos, you're not alone.

Long-Term Care Insurance: When and What Kind?

by Kimberly DeAngelis on

Long-Term Care Insurance: When and What Kind?

Although the current and future costs of long-term care are a chief concern for many, especially as we age, long-term care planning remains one of those less-than-desirable topics to raise with your advisor.

Incapacitation can be a very difficult...