Client Guidance in Difficult Times

I am curious how others are assisting their clients during these difficult times.

Are you providing them with advice related to Partial Plan Terms or other topics?

Thanks!

49 minutes ago, katie58 said:

I am curious how others are assisting their clients during these difficult times.

Are you providing them with advice related to Partial Plan Terms or other topics?

Thanks!

 

Of course; anything and everything we can provide we are trying to do.  My own background is deep in business "stuff" beyond just retirement, so clients also discuss those things with us. In these difficult times for some clients, we want to help as much as we can.

So far it hasn't come up with any of our clients. Hoping it stays that way. 

Last week I had several clients ask about discontinuing their safe harbor match. My conference call yesterday was to discuss the technical details / options of a SH discontinuance with a sponsor. We serve plans all over the country and I was the only one on the call not under a shelter in place order. The two plan contacts, plus the advisor, called in from their homes. 

Our staff is prepared to have a number of similar conversations with plan sponsors during the coming weeks and months. 

I hope everyone is able to stay safe and healthy wherever you are!

2 hours ago, ratherbereading said:

So far it hasn't come up with any of our clients. Hoping it stays that way. 

Sad.

13 minutes ago, david rigby said:

Sad.

It's sad that it hasn't come up?  That's a good thing--it means my clients are hanging in there .  I honestly think people are panicking.  They need to ride it out. Eventually, everything will get back to normal.

We have had some of these conversations, mostly with doctor and dental offices.  Another question that is being asked is about loan payments for laid off employees.  These next few months are going to be a roller coaster ride, that is for sure!

1 hour ago, justanotheradmin said:

Last week I had several clients ask about discontinuing their safe harbor match. My conference call yesterday was to discuss the technical details / options of a SH discontinuance with a sponsor. We serve plans all over the country and I was the only one on the call not under a shelter in place order. The two plan contacts, plus the advisor, called in from their homes. 

Our staff is prepared to have a number of similar conversations with plan sponsors during the coming weeks and months. 

I hope everyone is able to stay safe and healthy wherever you are!

I have been getting the same calls about stopping the safe harbor match.  It is very difficult to tell a client that once the safe harbor match is stopped, the top heavy provisions kick in.  It may be less expensive to keep the match in some cases.  Business owners want to back out deferrals already contributed in 2020, now they have losses on those deferrals, it is just a snowballing of events. 

Do you think ARA would consider asking for a waiver or exemption of top heavy minimum requirements for safe harbor match plans that need to stop their match  in 2020 and become tested employee deferral only plans?