Corporate Retirement Plans and Other Business Services
The Landscape of retirement plan management continues to change. Today Plan Sponsors are faced with numerous challenges when managing their retirement plans including ERISA compliance, legislative changes, investment due diligence, provider benchmarking and employee communication and education. Catalina Capital Group provides client specific consulting to plan sponsors to help them fulfill all their fiduciary responsibilities. Our areas of expertise include implementing best-in-class solutions for 401(k), 403(b), Profit Sharing, Defined Benefit, Cash Balance and Executive Comp plans.
Our Process
Discovery
|
Plan Design
|
Fiduciary Support
|
Plan Governance
|
Participant Education
|
Plan Review
|
Discovery
|
The first step in the process is to review your current plan design, investment options, participation rates and provider services and fees. Once we understand the current state of your plan we can begin to have discussions about your ideal plan outcomes and propose ideas to enhance the plan. We’ll review our progress on a regular basis and continually look for areas of improvement.
|
Plan Design
|
Plan design is the most crucial step in the overall process. We customize the plan design to ensure this core component of plan success remains compliant, relevant and matches your unique objectives. When appropriate we partner with trusted subject matter experts such as Third Party Administrators, ERISA Attorneys and CPAs to create the optimal plan design.
|
Fiduciary Support
|
Catalina Capital Group is proud to acknowledge it serves as an ERISA fiduciary for each of its clients. We follow an unbiased and conflict free approach to always doing what’s in the best interest of each client when recommending, monitoring and replacing investments. In addition to our investment advisory services we provide a full spectrum of fiduciary support services.
|
Plan Governance
|
As the advisor to the plan, Catalina Capital Group provides a wide range of fiduciary support services aimed at streamlining plan management and administrative duties. We’ll guide you in putting all the required prudent processes and documentation procedures in place. In short, we will do everything possible to mitigate your plan liability and minimize the time spent managing your plan.
|
Participant Education
|
Having a great plan in place means nothing unless we can help participants reach their retirement goals. We start by developing a targeted communication strategy based on your employee demographics. We then conduct investment education that addresses the needs of individuals with differing savings goals, life stage concerns and investment knowledge. The final step is to identify success metrics and document measurable results that help quantify program success.
|
Plan Review
|
Plan reviews are critical to ensure the desired goals of the plan are being met. There may be numerous changes to your business and employee needs throughout the year, so we take the time to review the plan on an ongoing basis. As part of our annual review we discuss participant success metrics, investment performance, new provider service offerings, plan fees and any legislative changes.
|
Executive Compensation Plans
|
Providing additional benefits to owners, executives and key employees can set your business apart by attracting and retaining top level talent. Catalina Capital Group works with several companies in this capacity and we recognize great opportunity in this space. From simple Cash Balance Plans to more complicated Non-qualified Deferred Compensation Plans, we have years of experience in both establishing and managing the assets within these plans. We typically bring together our team of retirement plan specialists, TPA's, CPA's and beyond when analyzing and building these plans.
Some of our services include:
|
Advanced Retirement Plan Design Alternatives
Plan design is highly customized to each unique situation. Often times, business owners and executives want to maximize their own personal benefit, while other times company's use these plans ot attract and retain employees. Below is an example with several design alternatives.
|
Name
|
Age
|
Plan Compensation
|
Defined Benefit Plan Only
|
Defined Benefit and 401(k)/PS
|
Cash Balance Plan Only
|
Cash Balance and 401(k)/PS
|
Cash Balance and 401(k)/PS- Carve Out
|
|
Owner 1
Owner 2 Non-owner Employee High Comp Employee Total Employee 1 Employee 2 Employee 3 Employee 4 Employee 5 Employee 6 Employee 7 Employee 8 Employee 9 Employee 10 Non Highly Comp Employee Total Total Company/ Owner Contributions Percentage of Contributions to Owners |
53
60 46 26 30 34 38 42 46 50 54 58 62 |
$270,000
$270,000 $140,000 $680,000 $28,000 $34,000 $36,000 $42,000 $48,000 $55,000 $59,000 $65,000 $90,000 $75,000 $532,000 |
$169,000
$241,000 $19,439 $429,439 $5,935 $8,626 $10,936 $15,273 $20,895 $30,260 $40,014 $53,335 $88,773 $67,146 $341,195 $770,634 53.2% |
$209,200
$281,200 $11,860 $502,260 $2,714 $3,064 $3,270 $3,724 $4,462 $5,512 $6,390 $7,623 $11,496 $9,149 $57,404 $559,664 87.6% |
$169,000
$241,000 $19,439 $429,439 $8,900 $8,900 $8,900 $8,900 $8,900 $8,900 $10,098 $13,460 $22,403 $16,945 $116,306 $545,745 75.1% |
$209,200
$281,200 $8,200 $498,600 $3,300 $3,686 $3,815 $4,201 $4,568 $5,037 $5,294 $5,680 $7,287 $6,323 $49,209 $547,809 89.5% |
$209,000
$281,200 - $490,400 $3,320 $3,710 $3,840 - $4,620 - $5,335 - $7,350 - $28,215 $518,575 94.6% |
Notes:
1- Plan compensation is gross W-2 wages. It excludes S-Corp K-1 income. For partners and sole proprietors, plan compensation is net earnings from self employment reduced by plan contributions, self employment and Section 179 tax deductions.
2- For shareholders/owners, this column includes all contributions to the plan, including 401(k) salary deferal and catch up contributions. For non-owners, this column illustrates only the company contributions, since any 401(k) contributions are paid by employees. Company-paid safe harbor contributions are required and are always 100% vested to the employees.
3- Employer contributions are mandatory to DB and Cash Balance Plans, subject to IRS penalties for failure to contribute. In combination plans, profit sharing and safe harbor 401(k) contributions are mandatory for non-highly compensated employees.
4- These are examples only, results will vary with each unique situation. Please contact us for a design tailored to the company's objectives.
Other Business Services
From small businesses to large corporations, Catalina Capital Group has extensive experience helping companies reach their full growth potential. A great year in sales can be flushed away by improper use of capital, lack of cash management and an under serviced group of employees. Not to mention, we have several tax saving strategies for business owners and key executives. We take the time to meet with business owners to learn about their business and identify areas where we see room for improvement.
Some of our most popular services include:
Our Corporate and Small Business Team is comprised of financial advisors, retirement plan specialists, CPA's and third party administrators. Every business has unique needs, and we have the tools and resources to help.
Some of our most popular services include:
- Corporate cash management
- Corporate investment management
- Debt analysis and restructuring
- Balance sheet analysis and general business consulting
- Employee benefit analysis and restructuring
Our Corporate and Small Business Team is comprised of financial advisors, retirement plan specialists, CPA's and third party administrators. Every business has unique needs, and we have the tools and resources to help.