Cambridge’s retirement practice offers an all-inclusive range of services for defined benefit, defined contribution and other post-retirement medical plans.
Our team of actuaries, economists and other retirement experts has a breadth of experience with all aspects of retirement strategy and plan design and can provide comprehensive actuarial, technical, and strategic consulting for both qualified and non-qualified plans.
Besides the customary actuarial work for funding and expense valuations, we offer a broad range of administrative support, outsourcing assistance, and data services consulting to our clients. We review a client’s entire retirement benefits program and provide advice on risk management strategies for cost savings and compliance. We are experienced in the benefits due diligence process for mergers, acquisitions, and divestitures.
Our retirement team distinguishes itself by exceeding market and industry standards in its approach to establishment and documentation of appropriate actuarial assumptions for defined benefit, retiree medical and non-qualified plans. Our knowledge is unsurpassed regarding defined contribution plan transparency considerations, cost benchmarks, design alterations and specific vendor capabilities.
Retirement Strategy and Plan Design
We provide comprehensive actuarial, technical and strategic consulting for Qualified and Nonqualified Defined Benefit and Defined Contribution Retirement Plans, as well as other Post-Retirement Benefit Plans on issues including, but not limited to the following:
- Plan Design Studies (provide benefit /cost analysis, comparative industry data, benefit adequacy analysis)
- Plan Interpretations
- Plan Administration
- Plan Investment Policies
- Frozen pension plans management, i.e. developing the appropriate process for funding, planning, and implementing a plan termination.
- Search and selection of investment managers, manager of managers and investment advisors
- Forecasting of contribution and expense results based on varying key economic assumptions
- Retiree medical and life insurance funding in a VEBA under Code Sections 419A and 512.
- Non-qualified plans including plan design, 409A compliance, FICA calculations and SEC proxy disclosure.
Actuarial Services and Related Support
We perform annual funding and expense actuarial valuations and work with the plan sponsor to define the best approach to all phases of the valuation process. This includes:
- Gathering participant data and reconciling data between years
- Providing data edits, questions and corrections
- Gathering asset information and performing reconciliation
- Discussing actuarial assumptions for contribution purposes
- Developing funding contribution results
- Preparing Adjusted Funding Target Attainment Percentage (AFTAP) certification
- Calculating FAS #35, FAS #87, FAS #106, FAS #158, and IAS 19 results
- Claims Analysis and benchmarking for retiree medical programs
- Consulting on Health Care Reform Issues and compliance including Medicare Part D prescription drug coverage as it relates to retiree medical
- Discussing appropriate assumptions with the plan sponsor and its auditors for expense purposes
- Preparing financial statement disclosure information based on agreed assumptions
- Preparing expense based on agreed assumptions for prior year and new participant information.
- Comprehensive final actuarial valuation report
- Presentation of results
We provide consulting on every facet of the 401(k) plan including:
- Request for Proposal for Vendor Search
- Assistance in Vendor Selection and Management
- Detailed analysis of defined contribution vendor fees for transparency, investment, record keeping, and other components and consulting related thereto.
- Benchmarking and evaluation of Best Practices and Performance Guarantees
- Specialized studies of transitions from defined benefit to defined contribution programs
- Form 5558 request for extension
- Form 5500 for both the defined benefit and defined contribution plans with schedules A, SB, C, D, H, R, and T and IRS Form 8955-SSA, if applicable.
- PBGC premium filings
- ERISA 4010 filings
- ERISA 4062(e) filings
- Reportable event filings and other necessary filings with the PBGC
We conduct and assist with all audits and review to ensure all plans are being properly administered and are in compliance. This includes:
- Assisting auditor with written confirmation of all needed information for annual audit.
- Auditing all needed and appropriate consulting, vendor and other (e.g. Social Security Administration) information, for accuracy, reasonableness and consistency.
- Conduct or review all needed Discrimination testing as outlined under 401(a)(4), 410(b), 401(k) and 401(m).
- Prepare or review applicable determination filings as preformed on Form 5300.
- Voluntary Compliance Audits
- Independent actuarial audits of current actuarial work
- Review and update plan documents, plan amendments, board resolutions and Summary Plan Descriptions
- Quantifying costs and risks
- Evaluation of long-term costs and future contributions through projections and future planning
- A comprehensive review of all retirement programs
- Evaluation of strategies that support business goals, organizational goals, and employee retention
- Assess your current HR benefit structure, processes, underlying technology, and service providers
- Assist and review non-standard benefit calculations for technical and actuarial issues.
- Data Clean-up
- Data Validation
- Research and review of all data sources
- Reconciliation of data between multiple sources and vendors
- Conversion and Consolidation of data
- Review of outsourcing relationships with recommendations for improvements
- Death Audits
- Auditing of benefit calculation systems for accuracy and compliance
- Consulting with respect to data analysis, interpretation, and correction