Archive for ‘February, 2010’

Our clients don’t think this way..

datePosted on 08:13, February 18th, 2010 by lee

Starting a Business? Don’t Tap Your 401(k)

Many of our clients started with 5 or 6 employees and have grown to over a hundred and are now worth millions of dollars. I assure you they “tapped” their 401 (k) plans and every other source of cash they could get their hands on, but believe it or not they really don’t like taking unnecessary risk or certainly risk they can’t control.

My favorite Calendar

datePosted on 20:18, February 16th, 2010 by lee

Let me think about this.

I can give my client this calendar listing all the work his key people will have to do during the next 12 months to maintain a 401k plan, or I can tell my client that “I understand you have a business you are running and you are trying to make money, I have found an innovative solution that allows you to throw this calendar away.

I understand you need your CFO giving you valuable information as opposed to dealing with employee loans, hardships, 5500’s or year end plan audits. I understand you need your CFO to focus on your business. The management team at amsource running 401k Safe who have been in business for 20 years will actually put their names on all of the legal documents and take personal responsibility as plan Sponsor, Administrator and fiduciary. Hmm, let me think about it….

Partial Plan Terminations

datePosted on 10:15, February 1st, 2010 by lee

Given the economy we have seen a higher number of clients that have laid off part of their workforce. Each situation is different and the IRS rule is not clear. The IRS states, “Whether a partial termination occurs depends on the individual facts and circumstances of a given case.”

If you have clients that have downsized encourage them to execute on their process to comply. If you are calling on new prospect it might be an opportunity to add value if they down sized and failed to fully vest employees that were laid off.,,id=151798,00.html