401(k) Research Process
Like complex machines, 401(k) plans have many, different, moving parts that must be coordinated to run smoothly and meet the needs of the organization sponsoring the plan. At Sound Investment Services, we help companies choose and implement the most appropriate plan for their needs. There are several factors to consider: benefit to the employer, benefit to the employees, investment options and expenses, and a structure that meets the needs of the group while meeting all regulatory requirements. Delivery of these services in a format consistent with your organization’s expectations is critical.
In general, all 401(k) plans have the same basic objective to serve as a retirement savings plan for employees. Yet there are many different 401(k) plan models that suit a wide range of specific company needs. The 401(k) advisors role is to help you set reasonable expectations; select the most appropriate plan, then manage all the components on an ongoing basis to help ensure a successful plan.Sound Investment Services financial advisors are objective and fully independent in making their recommendations to clients and their employees. Because we do not offer a proprietary in-house 401k) plan, we have no incentive to offer any specific product.
We work with virtually all the different service providers in the 401(k) market which enables us to find, or build, one that meets each company’s specifications. We offer a wide range of options from pre-bundled plans to build-your-own plans and everything in between. For large plans, or in combination with other corporate benefits, we are able to lower costs and/or fund expenses. Lower fund expenses results in greater investment return for all participants, and over a person is working life the compounding effect can be enormous.
We not only help with the selection, implementation, and monitoring, we also take the risks associated with the 404(c) requirements out of the employers hands by educating and advising the employees on their investments. Employers should be responsible for running their company, not investment advice.
For certain businesses, a 401(k) may not be the best option for the desired benefit; for these companies there are several other options that may meet their needs. At Sound Investment Services, we help you determine what benefit plan best fits your company has needs to help maximize the benefits and minimize the cost, when possible.