Administrative Retirement Services, Inc. (ARS) provides all necessary services to retirement plans. From plan inception to plan termination we can perform any needed services. We guarantee quality work at all levels of service, and ensure it through qualified staff. For our staff credentials, see About Us.
New Client Setup
New Plan Setup
Setting up a new retirement plan begins with a discussion about the company and its objectives. ARS will then provide a comprehensive demonstration of contributions in the prospective retirement plan for prospective client review. The demonstration will present design ideas beneficial to the specific company, such as Cross-Testing, Roth and Safe Harbor. After the demonstration is reviewed, discussed, and modified as needed, ARS will then provide a summary called a Plan Highlights, which details the discussed plan provisions in layman terms. Once the provisions are finalized, we then prepare a service agreement, the plan documents, any required notices and help establish the investment product.
Takeover Plan Setup
For existing retirement plans that transition to ARS, we assist in preparing a transfer letter and black out notice for the third party administration and plan assets with the investment company. As part of this, we assist the new investment company in getting account balances and loans established on their system. We then take a fresh look at the retirement plan design by discussing the objectives of the plan and needs of the company with the client. Just as with a new plan set-up, we will provide a comprehensive demonstration of contributions in the prospective retirement plan for client review. The demonstration will present design ideas beneficial to the specific company, such as Cross-Testing, Roth and Safe Harbor. After the demonstration is reviewed, discussed, and modified as needed, ARS will then provide a summary called a Plan Highlights, which details the discussed plan provisions in layman terms. Once the provisions are finalized, we then prepare a service agreement, the plan documents, and any required notices.
Plan Design and Documents
Administrative Retirement Services, Inc. (ARS) sponsors all necessary plan documents conforming to all current IRS law. ARS will establish your plan on an approved prototype. The design of the plan will be specific to the client’s objectives and demographics. ARS will request a company census and discuss the client’s objectives as part of this process. ARS will carefully explain plan provisions and ramifications, from choosing the requirements for employees to enter the plan, selecting provisions for contributions made to the plan, defining compensation within the plan, specifying how employer contributions vesting, and choosing what withdrawal options to offer in the plan. When the plan document is complete, the client may chose to submit it to the IRS for an individual letter of determination. ARS does recommend this and will prepare the submission if chosen. The end result is that ARS provides all the necessary plan documents.
If an owner, or owners, of a company also have ownership in other entities, the companies may or may not be a controlled group of businesses. If the companies are a controlled group, this will impact the retirement plan and should be addressed. If there are concerns about whether this relationship exists, ARS can provide an opinion on controlled group and/or affiliated service group relationship.
Annual Compliance and Government Reporting
Our professional administrators have the knowledge, expertise and experience to help keep your retirement plan in compliance with federal laws and regulations.
We provide the following services if applicable:
Annual Compliance Testing
• ADP/ACP testing (applicable to 401(k) plans)
• Minimum Participation and Coverage testing (§410)
• Annual addition of benefits and allocations testing (§415)
• Top heavy testing (§416)
Contribution Calculations
• Contribution deductibility calculations (§404)
• Preparation of comprehensive contribution reports.
Government Reporting
• Preparation of Form 5500 and related schedules.
• Preparation of Summary Annual Report for participants.
• Preparation of appropriate PBGC form (for defined benefit plans only)
Administration Compliance
• Calculate employee eligibility and plan entry.
• Monitoring of Qualification requirements (§401).
• Monitoring of Minimum Vesting Standards (§411).
• Monitor compliance with Definitions and Special Rules (§414)
Defined Contribution Plan Recordkeeping and Administration
Many retirement plans have the plan assets with an investment product that offers daily recordkeeping services. Some retirement plans may chose an investment product that does not offer a daily recordkeeping platform. If this is selected, ARS offers recordkeeping services for that need, which includes:
• Maintain all participant records, including employee and employer contributions, forfeitures, investment gains and losses, and vested percentage.
• Determine eligibility for and allocation of employer contributions and forfeitures.
• Preparation of all administrative forms.
• Monitor compliance and testing as required under IRS Regulations (see below)
• Allocate forfeitures, if applicable.
• Distribution processing: Calculation of distribution amount, preparation of required distribution notices, release forms and IRS Form 1099-R.
• Loan processing: Set up of loan accounts, preparation of promissory note and amortization schedule and tracking loan repayments.
• Reconcile trust accounts.
• Prepare customized participant statements.
Some investment products provide partial services, but not all services. Some services that may not be included, and that ARS can provide, are:
• Monitor participants who are required to receive age 70½ distributions.
• Hardship withdrawal processing: Determination of hardship distribution amount and preparation of application forms.
• Loan processing: Set up of loan accounts, preparation of promissory note and amortization schedule and tracking loan repayments.
• Allocate forfeitures, if applicable.
• Assist employers in processing each payroll, allocating contributions and loan payments according to the participant's investment elections.
Defined Benefit Plan Actuarial Services and Administration
Our professional staff has the expertise and up-to-date technology to provide the necessary actuarial and administrative assistance to manage your defined benefit plan:
• Calculate employee eligibility and plan entry.
• Maintain all participant records, including benefit and vested percentage.
• Determine eligibility to receive benefit accrual.
• Prepare comprehensive Employer/Trustee annual actuarial report and certification.
• Actuarial determination of required employer contributions.
• Preparation of individual benefit statements.
• Distribution processing: Calculation of distribution amount, preparation of required distribution notices, release forms and IRS Form 1099-R.
Additional Services
Plan Amendments - As law changes are passed, or the company’s needs change, the plan document may need to be updated. ARS will prepare any amendments needed to the plan document.
Plan Termination - If the company needs to shut down the plan, ARS will assist with all steps needed to terminate, from consulting, to preparing and providing required amendments and notices.
Plan Mergers - If ownership changes create a situation where plans need to merge, ARS can advise on the impact and prepare any needed documents for the situation.
IRS and DOL audits - ARS represents clients on IRS and DOL audit.
Consulting - ARS will consult and advise on plan design changes that are beneficial as the company changes and objectives change.
Controlled Group Determination - If an owner, or owners, of a company also have ownership in other entities, the companies may or may not be a controlled group of businesses. If the companies are a controlled group, this will impact the retirement plan and should be addressed. If there are concerns about whether this relationship exists, ARS can provide an opinion on controlled group and/or affiliated service group relationship.
Corrections - ARS will consult on and prepare corrections if needed as they arise.