OUR DIFFERENCE. YOUR ADVANTAGE.

SAVE TIME, MONEY, HEADACHES, AND RISK

Pete Swisher, CFP©, CPC, TGPCSenior Vice President,Pentegra Retirement Services

A New Way to Look at your Retirement Plan

THE BIG PICTURE

THE ENTRY DATE STORY

THE SOURCES AND SIGNATURES STORY

THE BACK ALLEY LIVER TRANSPLANT STORY

THE CONSCIENTIOUS FIDUCIARY STORY

50 CHORES• Overall operational compliance• Document compliance, mandatory interim

amendments, restatements• Form 5500• Audit• New hire processing• ERISA bond• ACA (automatic enrollment) administration• ACI (automatic contribution increases)

administration• Default investment administration• Determination of vesting and amount of

distribution• ERISA section 105 employee benefit

statements• Reasonableness of fees• Prudent selection and monitoring of service

providers• Benefit determinations and disputes• Administration of beneficiary rules• Worker classification• Nondiscrimination testing• Summary Annual Report (SAR)• Definition of compensation• Allocation of unallocated monies by plan year-

end• IRC section 72(p) loan administration• Contribution calculations and limitations• Protected benefits• Acceptance or rejection of rollovers or

transfers• Annual notices

• Segregation of assets by source• Coverage testing and corrections• Involuntary distributions• Episodic notices• Distributions• Hardship distributions• Qualified Domestic Relations Orders (QDRO)• Lost/missing participants and unclaimed benefits• Grandfathered plan provisions• Plan termination and partial termination• Spousal consents• QJSA and QPSA• Summary Plan Descriptions and Summaries of

Material Modifications (SPD and SMM)• Timely remission of deferrals and loan repayments• Timeliness of other required contributions• Diversification requirements for plans with employer

securities• Blackout procedures• Defined benefit plan duties• Annual and quarterly fee disclosure (404a-5)• Fiduciary fee disclosure (408b-2)• Records retention under ERISA Sections 107 and 209• Responding to participant inquiries• Top-heavy minimum benefit• Overpayments• Personal liability under ERISA Section 409

STATISTICS AND SURPRISES

Over 25,000 DVFCP filings

10,002 Forms 5500 audited

5,973 VCP agreements

3,472 DOL civil investigations closed

75% resulted in payment

Average $397,000

255 cases referred for litigation by DOL, 75 convictions

8,860 ERISA lawsuits

Sources: 2011 data from IRS, DOL, and federal court system websites

THE IRS TOP TEN LIST

Failure to amend for tax law changes

Incorrect definition of compensation

Failure to include eligible employees or exclude ineligibles

Loan errors

Impermissible in-service withdrawals

Required Minimum Distribution errors

Employer eligibility failure

ADP/ACP failure not timely corrected

Failure to provide minimum top heavy benefit

Exceeding maximum contribution limits

From the IRS Website

THE NATURE OF THE BURDEN

FIDUCIARY OUTSOURCING

HOW IT WORKS

WHAT IT COSTS

WHO PAYS FOR IT

WHERE DO YOU GET IT?

OUR DIFFERENCE. YOUR ADVANTAGE.

THANK YOU!

Pete Swisher, CFP©, CPC, TGPCSenior Vice President,Pentegra Retirement Servicespswisher@pentegra.com