AGC of California Retirement Plan

The AGC of California and The Contractors Plan have built a Multiple Employer Plan exclusively for AGC of California members. Members can take advantage of fl exible retirement plans that use economies of scale to offer better plan costs, reduced risk, and simplifi ed administration.

Member Benefi ts: • Flexible and tailored plan design features including 401(k),

safe-harbor or profi t sharing

• Reduced fi duciary liability

• Lower plan costs

• No annual audit

• No individual Form 5500 reporting

• Davis-Bacon and state-related prevailing wage compliance support

Strength in numbers With hundreds of members, we bring a large and powerful group to one unifi ed plan. When you utilize the AGC of California Retirement Plan, you have all the advantages and fl exibility of a stand-alone plan sponsor, but avoid the higher expenses and administrative headache associated with sponsoring a stand-alone plan.

TABlE oF ConTEnTSAGC of California Retirement Plan . . . . . . . . . . . 2

Plan Design and Consulting . . . . . . . . . . . . . . . 3

Reduced Fiduciary Risk . . . . . . . . . . . . . . . . . . 4

Retirement Investments. . . . . . . . . . . . . . . . . . 5

Participant Services and Support . . . . . . . . . . . . 6

The Retirement Loan Program . . . . . . . . . . . . . . 9

Comprehensive Benefi ts Enrollment and Account Management . . . . . . . . . . . . . . 10

Compliance and Audit Support . . . . . . . . . . . . 11

AgC oF CAlIFornIA rETIrEMEnT PlAn

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The AGC of California Retirement Plan doesn’t try to make your business fi t our plan — we tailor The Contractors Plan to fi t your business. We use our years of experience to ensure you get the most from your plan with our fl exible, highly specialized design capabilities.

retirement Plan options• 401(k) – These plans allow for pre-tax employee elective

deferrals.

• Optional Roth 401(k) – Contributions are taxed now, but can be withdrawn tax-free at retirement.

• Safe Harbor 401(k) – Owners and highly compensated employees can defer the maximum elective deferrals.

• Discretionary Match – Allows for a discretionary match as determined by the company.

• Profi t Sharing – Allows for profi t sharing contributions at the discretion of the company.

• New Comparability – Allows companies to designate higher employer contributions to select classes of employees, which enables owners and highly compensated employees to contribute the maximum allowed under law to their own retirement accounts.

• Basic Prevailing Wage Plan – These plans contain only prevailing wage contributions and do not allow for employee elective deferrals or other types of employer contributions.

The Contractors Plan has plan design experts in-house who design your benefi t plan to maximize its potential for both owners and employees. This enables you to provide quality benefi ts for your employees, while increasing your own ability to save for retirement.

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ALREADY HAVE A 401(K) PLAN?

If you already have a 401(k) plan, as an AGC of California member you might consider the benefi ts of the AGC plan instead. With reduced fi duciary exposure, lower expenses, and excellent investment options, the AGC of California Retirement Plan is a powerful benefi t – and if your existing plan is subject to the cost and hassle of an annual audit, you'll gain even more benefi t as this plan eliminates that requirement! With the advantages of scale and expertise, you should consider transferring your current retirement plan into the AGC of California Retirement Plan.

The AGC of California Retirement Plan utilizes Nationwide insurance company for investment options. The specifi c investment funds made available are professionally selected and monitored by the corporate trustee, American National Bank of Texas (ANBTX). ANBTX was established in 1875 and has provided trust services since 1927. As a national bank, it is subject to the U.S. Offi ce of the Comptroller of the Currency for oversight and standards. ANBTX serves as a discretionary trustee, whereas most corporate trustees only provide “directed” trust services. With the AGC of California Retirement Plan you have reduced fi duciary risk versus traditional retirement plans.

The AGC of California Retirement Plan offers both a participant-directed or trustee-directed investment approach. You choose the one that is right for your employees and for the company.

TRUSTEE-DIRECTED: With a trustee-directed plan, ANBTX chooses the investments, not the participant. This reduces the “overhead” associated with employee education and the company’s compliance with an extensive set of regulations that comes with participant directed plans. Rather than expecting employees in the plan to be investment savvy or to try to educate them on the best approach to investing for retirement, this is taken care of by the trustee.

PARTICIPANT DIRECTED: While there are advantages for trustee-directed plans, participant directed plans are very popular. The investment lineup is established by ANBTX, but the fi nal choice of specifi c investment funds is made by the employees.

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Nationwide is one of the largest insurance and fi nancial services companies in the world, focusing on domestic property and casualty insurance, life insurance and retirement savings, asset management and strategic investments.

American National Bank of Texas, established in 1875, is one of the oldest independently owned banks in Texas, with assets exceeding $2.2 billion.

About Our Partners:

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The investment funds available in the program from Nationwide are primarily managed by Vanguard Group. Vanguard is well known nationally for high quality investment management services. Vanguard is also a leader in providing low-cost funds, with low investment expense ratios.

Investment Fund optionsThe funds in the plan can be used by employees who have little investment experience by selecting a Target Retirement Date fund, or for those with more experience who want to build their own diversifi ed retirement portfolio of funds. There are a number of investment options from various asset classes from which to choose.

Target Date FundsFor those employees who would rather leave the management of their retirement investments to the pro’s, seven funds are available depending upon their expected retirement date. These funds, referred to as “Target Date” funds are ideal for inexperienced investors and for those who want their investment risk to automatically go down as they get older without further involvement. Target date funds are very popular in retirement plans because they are professionally managed on a “glide path” that generally reduces stock market risk, and increases bond and cash equivalent balances within the fund as time goes by. These funds are also used for those employees who don’t make an investment choice, based upon their date of birth as in the table to the right.

Strategic Asset Class FundsFor those employees who want to build their own retirement portfolios, the plan has eight stock and bond funds to choose from as well as a stable value fund. These are intended to provide a broad mix of investment alternatives for employees to be able to diversify their retirement account to meet their long-term objectives, and have varying risk and return characteristics.

Type of Fund Investment Fund

Large Cap Equity Vanguard 500 Index

Mid Cap Equity Vanguard Mid-Cap Value Index

Small Cap Equity Vanguard Small Cap Index

Large Blend Vanguard Total Stock Market Index

Foreign Large Cap Equity Vanguard International Growth

Foreign Large Cap Equity Vanguard International Value

Blended Term Bond Vanguard Total Bond Market Index

Intermediate Term Bond Vanguard Intermediate Investment Grade

Capital Preservation Columbia Trust Stable Value Government

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Year of Birth Investment Fund

1945 or earlier Vanguard Target Retirement Income

1946-1953 Vanguard Target Retirement 2010

1954-1964 Vanguard Target Retirement 2020

1965-1974 Vanguard Target Retirement 2030

1975-1984 Vanguard Target Retirement 2040

1985-1994 Vanguard Target Retirement 2050

1995 or later Vanguard Target Retirement 2060

get online thecontractorsplan.com1) Click on “New Users: Register Here” at the upper

right hand corner of the page.

2) Under “New User?” click the “Social Security #” button.

3) Type your Username (The fi rst time use your Social Security number.)

4) Type your Password (The fi rst time use your date of birth MM/DD/YYYY.)

5) If you are a new user, complete your email and security questions.

6) Click Continue.

7) Select the “Retirement” Icon

New Users - The fi rst time you log on to the website it will guide you through several questions to set up the account.

Summary TabThis is a snapshot of your account balance at a glance. From this page you can select details of your account, current investment fund balances, see a chart of your current investments and more.

Investments TabOn the Left Tabs you may select:

Account Balance: View your investment funds. Click on the icon next to the fund name for a detailed report about the fund.

Investment Elections: Review or change your investments.

Investment Profi les: See all the investments available in your plan including detailed reports.

Investment Returns: View the latest investment returns for the available funds.

Rate of Return: See how your account has done - Reports your personal rate of return percentage.

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SUMMARY TAB

LOG IN SCREEN

INVESTMENTS TAB

RETIREMENT ICON

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Available on MobileUse your smartphone to get online. Check or update your account anywhere.

Transactions TabOn the Left Tabs you may select:

Investment Elections: Choose where future contribution deposits are invested.

Transfer Funds: To change where your existing money is invested.

Transaction History: Customize your search for account activity and see detailed reports.

New Loan: If available in your plan, this is the portal to view or establish a loan line.

Web/VRU Requests: See a complete history of all requests you have made through the website or the telephone system (VRU) and click to see the details.

Tools TabOn the Left Tabs you may select:

eStatements: Sign up for eStatements and receive automatic email delivery of your account statements and view your statements online from anywhere.

Reports: Create your own statement of account for any time period and save it to an Adobe PDF fi le on your computer or send it to your printer.

Forms: Select a copy of forms available for your plan.

Personal Profi le TabOn the Left Tabs you may select:

Personal Info: Keep your contact information up-to-date, including your mailing address, email and alternate email or security information.

Benefi ciaries: Shows the benefi ciary of your account in the event of your death. Designate who should receive your account or add additional or contingent benefi ciaries.

TRANSACTIONS TAB

AVAILABLE ON MOBILE

TOOLS TAB

PERSONAL PROFILE TAB

Customer Service help DeskAGC of California members can reach The Contractors Plan 24/7 by calling toll-free 800-933-3863.

Press 1: Automated retirement account telephone system

Press 3: Request a benefi t payment / distribution if you are over 59½

Press 7: Request a benefi t payment / distribution if you are under 59½

Press 4: Check the status of a benefit payment / distribution

Press 6: Get account balance, investment and contribution information

Press 0: To speak with a customer service representative during office hours

OUR DEDICATED CUSTOMER SERVICE TEAM IS HERE TO ASSIST YOU EACH WEEKDAY BETWEEN 7:00 A.M. AND 7:00 P.M. CENTRAL TIME. WE HAVE SPANISH-SPEAKING CAPABILITIES AS WELL.

Automated Telephone System 800-933-3863, Press 1Enter your Social Security number and PIN. If you are a fi rst time user, your default PIN is the last four digits of your Social Security number.

Press 1: For personal retirement account information

Press 1: For current account balance, your vested balance and any pending transactions

Press 1: For balances of each investment fund

Press 9: To return to the previous menu

Press 2: For investment information

Press 1: For your current investment election percentages

Press 2: To change your investment choices for future contributions (not available for all plans)

Press 9: To return to the previous menu

Press 3: For contribution information (not available for all plans)

Press 1: To change your 401(k) payroll withholding

Press 9: To return to the previous menu

Press 4: To change when your existing money is invested

Press 9: To return to the previous menu

Press 2: To change your PIN used to access the automated telephone system. For security purposes, we recommend you change your PIN after you access your account for the fi rst time. Do not share your PIN with anyone else.

Press 9: To end the call or hang up

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BETTEr For EMPloyErS: Taking you out of The loan BusinessNo employer wants to spend valuable work time serving as a mini loan department. The Contractors Plan Loan Program is a complete, proven solution that takes the hassle out of retirement loans. Loans are set up directly between The Contractors Plan and the employee, so employers don’t have to handle paperwork or set up payroll deductions. Most importantly, work stoppages and termination don’t mean the loan becomes due in full — the employee can continue to make payments to The Contractors Plan. Because contractors tend to have higher employee turnover than most companies, this is a big benefi t to both employers and employees.

PLAN SPONSORS APPRECIATE:• Lower company administration costs• No need for loan repayment through payroll

deduction• More assets stay in the plan• Employees are more likely to participate

in the program

BETTEr For EMPloyEES: Flexible, Easy Access To FundsTraditional retirement loans require that participants borrow a fi xed amount up front, with no options for multiple loans or early repayment. The Contractors Plan is much more fl exible, so employees don’t have to over-borrow on the front end to cover what they might need. Participants apply for a loan line (like a line of credit), and once approved, the funds move to a stable value or money market account held within the plan. The employee can then draw from the funds as needed, and unused amounts can easily be returned to core investments.

PLAN PARTICIPANTS APPRECIATE:• The option for multiple loans• Easy access with debit card option• If desired, loans can be repaid more quickly• Loan payments can continue after

termination, eliminating the possibility of a forced distribution

• It’s easier to borrow less and keep more money in the plan

ThE ConTrACTorS PlAn loAnS TrADITIonAl loAnSEmployee makes payments directly to plan provider.

Employer collects repayments and pays plan provider.

Participant receives monthly statements and makes payments themselves.

Employer must manage repayments through the payroll deduction process.

Participant chooses how much to borrow from the loan line.

Entire loan amount leaves the plan.

Participant borrows only what they need, when they need it.

Participant over-borrows due to uncertain need and infl exible process.

Supports accelerated repayment with 24/7 online account access and electronic payment.

Loan payback directly tied to payroll deduction with minimum set monthly payment amount.

Allows terminated employees to continue loan repayment.

Forces terminated employees to repay loan balance within 30 to 90 days.

Loan-line structure allows more fl exibility in what employee borrows.

Rigid structure typically forces employees to commit on the front end, causing them to borrow more than they need.

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If you have employees spread across several job sites, or working different shifts, you already know the logistics of enrolling employees in a benefi t plan can be a headache. Not with the Contractors Plan. We design a customized online benefi ts enrollment and management platform for each of our clients. You’ll be able to quickly implement and manage the benefi ts you’ve chosen anytime, anywhere you have online access, 24/7.

As an employer you can use the secure web portal created for your plan to easily and safely administer your benefi t plans. You can view, update, and upload information.

• Upload employee census and contribution fi les

• Authorize payments

• View and print employee statements

• View and print transaction history

• Access investment returns and fund sheets

Your employees will also use the online portal for easy, quick access to their benefi ts. Once their account has been created they’ll have access to information, helping to ensure their understanding and appreciation of the benefi ts you’ve provided. An employee has access to several aspects of their plan.

• View and print their current account statement

• Select a benefi ciary

• Choose their investments

• Review investment returns and fund sheets

• Download distribution forms

• Apply for a loan

• See their personal rate of return

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Laws pertaining to qualifi ed retirement plans and public works projects can be complex. Failure to comply-even inadvertently-can be costly. The U.S. DOL has increased the number of investigators who are reviewing retirement plans and prevailing wage projects. In an audit or inquiry situation, the burden of proof is on the contractors.

This heightened focus on compliance means it’s crucial for contractors to partner with an experienced company that provides full-service compliance support. When you partner with the AGC of California and The Contractors Plan, our team provides support at no additional cost. If you receive a DOL inquiry or notice of an IRS audit, simply contact us. We’ll work with you to design your response. And since we handle your recordkeeping, we can quickly and easily verify deposits and provide requested reports and documentation.

We’ve worked with government contractors and prevailing wage plans for over 30 years, and we’ve assisted many clients during audits and inquiries. We have established relationships with both the DOL and the IRS. And we have a representative in D.C. who can speak to the auditor on your behalf.

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ThAnKS To ThE PArTnErShIP oF ThE AgC oF CAlIFornIA AnD ThE ConTrACTorS PlAn, AUDIT QUESTIonS CAn BE rESolVED WITh lITTlE InTErrUPTIon To yoUr WorK. All ThESE SErVICES ArE ProVIDED AT no ADDITIonAl CoST. ShoUlD ThE SITUATIon ESCAlATE BEyonD oUr SCoPE, WE CAn rEFEr yoU To CoUnSEl WITh EXPErTISE In PrEVAIlIng WAgE ISSUES.

The Contractors Plan. The Prevailing Wage Experts. Davis-Bacon Act and Service Contract Act. Federal, State and Municipal.

Copyright © 2014 The Contractors Plan is provided by Fringe Benefit Group. 11910 Anderson Mill Rd. / Austin, TX / 78726.

ThEConTrACTorSPlAn.CoM / 1-855-481-9643 / AgC@ThEConTrACTorSPlAn.CoM

ConTACT US ToDAy!