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Fiduciary Responsibility

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Fiduciary Responsibility . What is a Fiduciary?. Has control of retirement funds and/or investment options in a 401(k) Plan; Gives investment advice; or Has responsibility over administration of the retirement plan. ACCE Benefit Trust is the Named Fiduciary in the 401(k) plan documents. - PowerPoint PPT Presentation

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Fiduciary Responsibility

1What is a Fiduciary?Has control of retirement funds and/or investment options in a 401(k) Plan;Gives investment advice; orHas responsibility over administration of the retirement plan.ACCE Benefit Trust is the Named Fiduciary in the 401(k) plan documents. You are also a fiduciary as Participating Employer!2Fiduciary DutiesOperate the plan in the sole interest of the participants.Act with care and diligence.Diversify plan investments to reduce risk and satisfy 404(c) requirements.Operate the plan in compliance with federal regulations.Submit contributions as per DOL guidelines.3How is Benefit Trust a Fiduciary?Selects and monitors the plan investment options on a quarterly basis; utilizes an outside, unbiased investment consultant.Reviews regulatory updates to ensure plan is maintaining compliance with federal legislation; utilizes top ERISA firm in the country as plan council.Maintains Fiduciary Liability Insurance policy for the selection and ongoing monitoring of investments.Oversees annual independent audit. 4What is your role as Fiduciary?Educate your participants about the benefits of the plan.Do not engage in any investment related discussions! This could be construed as providing financial advice.Submit contributions as per DOL guidelines.Administer the plan according to the procedures outlined in the ACCE Plan Administration Manual.Retain records as required by law.5Ways to Limit Fiduciary LiabilityOffer diverse investment options and let participants control how their money is invested Comply with 404(c) Provide proper annual notices to participants (i.e. QDIA, SMM and Safe Harbor) Appoint investment manager Fidelity bond

6What is a Bond? Do we Need One?All employers must have a Fidelity Bond that covers at least 10% of plan assets or $500,000 (whichever is less.) Can be referred to as a fidelity insurance policy or ERISA bondProtects the employer against the loss of plan assets due to fraud or dishonesty.Fiduciary liability insurance is optional, but ACCE recommends for all employers. Refer to the ACCE Plan Administrator Manual for additional information. 7Questions?The ACCE Benefits Team Shonda Norris -10 years experienceSusan Aura - 5 years experienceColleen Logan - 11 years experienceStacey Breslin - 16 years experienceAvailable Monday through Friday from 8:30 am 5:00 pm ET8

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