Retirement Services Case Study
Case in Point: ADP Small Market 401(k)
Client: |
Mason Interactive* |
Business:
Employees:
Plan Assets:
Ownership: |
Design firm, now specializing in Web-based projects
10 full-time, 2 part-time, various free-lancers
$350,000
5 years, by new partners Tucker Smith, Hallie Mason |
Situation: |
Established 20 years earlier by Hallie's uncle in a resort playground for urbanites, the firm is now under new strategic direction by Hallie and Tucker. They plan to seize the exploding business opportunities of Web-based design by luring highly talented designers, fed up with the frenetic pace of nearby city living. The partners have found that designers can rationalize a pay cut, but the benefits package must be as attractive as a big-city design firm. Tucker and Hallie can’t afford to have their time taken up in administrative or fiduciary worries, though – they need to be on the road pitching their business, but they want to provide their employees with a competitive retirement plan. |
Solution: |
ADP 401(k) Plan
Fully bundled services with ADP as single point of contact, bringing together: - ADP's administrative, compliance and recordkeeping experience, saving time and money.
- A third-party trustee, providing fiduciary protections.
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Value Added: |
- Support fiduciary role with a Sample Investment Policy Statement and objectively screened, high-caliber investment choices.**
- Increase participation rates and contribution levels with motivational behavior-based communication, customized workshops and ADP’s highly ranked participant Web site.
- Employer can proactively manage plan needs and changes, as the business changes, with ADP ERISA support.
| * This case study is presented for illustrative purposes only. The hypothetical situation above represents a composite of the typical challenges that face many of ADP’s clients for this product. All client and company names are fictitious and any relation to actual names is coincidental and is not intentional. **Neither ADP, Inc. nor any of its affiliates provide investment recommendations or advice, or serve as plan fiduciary. |
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