Service Description
We assist clients in determining how much they actually pay for plan administration and investments. We analyze original vendor contracts, then compare actual charges to those indicated in the contract.

When or Why Might I Need This?
ERISA fiduciaries have a duty to monitor plan providers. An objective fee analysis can uncover undisclosed revenue sharing arrangements or contractual violations. Armed with this information, a plan fiduciary can demand a reconciliation and, in some cases, a refund of overpayments. Your plan is primarily designed to provide participants the opportunity to build replacement income for retirement. Ensuring that actual plan costs are reasonable can be a pivotal component in achieving this goal.

What is The Process?
Plan sponsors who are confused, concerned or uncertain about plan charges contract with us to evaluate current costs. We evaluate provider contract terms for reasonableness and then analyze all aspects of actual expenses to ensure they comply with contractual terms. Finally, we compare client plan expenses to established public benchmarks.

Experience
With 100+ years of collective experience, our staff has fully developed skills in evaluating plan expenses. As a plan provider, our firm believes that providers deserve reasonable fees for services provided. We also believe full disclosure of direct and indirect revenue sources must be made so that plan fiduciaries can make objective and educated decisions. Our Accredited Investment Fiduciary Auditor (AIFA®) designees have also been specifically trained in deconstructing and identifying all investment charges.

Who Needs It?
All retirement plan fiduciaries have a duty to monitor provider performance. Simply issuing an RFP and selecting a vendor isn’t sufficient. Ensuring that actual payments are limited to what was promised and that actual services provided are what was promised is necessary. Participants expect this and regulators demand it. In today’s environment, organizations of all sizes need to continually scrutinize plan costs.

Essential Components of Vendor Fee Analysis

Contract Analysis:

• Services covered
• Contract rates
• Specific charges for extra services
• Terms and conditions
• Contract termination charges

Performance vs. Contract:

• Analyze actual direct costs
• Identify vendor revenue sharing agreements (disclosed and undisclosed)
• Compare total costs to contract terms

Benchmarking:

• Compare contracted services to established benchmarks
• Compare client costs to established benchmarks

Why Benefit Plans Plus?
We Make a Measurable Difference. The combined resources and experience of our Fiduciary Consulting team enables Benefit Plans Plus, LLC to deliver the services required by companies of all sizes in today's marketplace.

If you would like to receive more information, contact Patrick Shelton, GBA at 314.983.1212.

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