Record Keeping is a Vital Part of your Retirement Plan

Where should we put our retirement money? 

You have a number of options when it comes to selecting a record keeper for your retirement plan assets.  Record keeping in the retirement plan industry can be confusing and a bit mysterious.  We are here to help you figure out your options, the costs involved and the benefits offered by the various providers that are out there.

We can work with you, your advisors and/or your plan administrator to figure out the best fit.  Some questions to consider when selecting your record keeper are:

  1.  Cost:  Are we paying flat fees or a percentage of assets?  Are those fees reasonable?  Do they adjust as the plan grows?
  2. Service:  Where is the service center located?  What kind of tenure do the employees have?  What is the average hold time?
  3. Do they offer support in Spanish?
  4. Are there proprietary investment requirements?
  5. What kind of payroll integration and support is offered?
  6. Are there field-based employees to help support my plan?
  7. Data and phone security:  how is this handled and how can I feel confident our information and conversations are secure?

These are only a few questions you may want to ask your potential record keeping partner.  At MRC we can work with you, or your advisor and administrator to help you decide on the right platform.

Who are some of the more popular record keepers out there?

There has been a lot of consolidation among record keepers in the past 10-15 years and one other thing you may want to ask any prospective record keeper is “will you be around in 10 years?”

Generally speaking you will find record keepers in the small plan space (under 500 employees) fall into 4 basic categories:

  1.  Insurance Companies
  2. Mutual Fund Companies
  3. Record Keeping Only Companies
  4. “One stop shop” online providers (investments, administration, record keeping)
  5. Payroll Companies

No one solution is a one-size-fits-all approach, and we can help you sort through the options to find the best fit.

Shouldn’t we just hire the cheapest record-keeper?

Cost is an important factor when deciding on a record keeper, but it shouldn’t be the only consideration.  If you have multiple locations with a large Spanish speaking population, perhaps it’s worth paying a bit more for better support and services.  On the flip side, if you are small company that is only interested in index funds perhaps cost is the most important factor.  In either case you should have a prudent process in place for selecting and monitoring your record keeper, and MRC can help with that.

Call us at (619) 942-4510  to learn more or set up a consultation.

Contact Us

Send us an email and we'll get back to you, asap.

Start typing and press Enter to search