Most profit sharing/401(k) plan sponsors have a basic understanding of how profit sharing works: that under the tax code, their contributions to the plan must not discriminate in favor of the owners and other highly paid participants. Many business owners interpret this to mean, “I can’t contribute... READ MORE

Responding to an inquiry from a reader, Michael Kitces details the reasons why there will never be websites that review advisors like there are for restaurants. Advisors are always looking for third-party endorsements, whether from the press or even lists of the “top advisors,” but even those lists... READ MORE

Recent research in the U.K. by Aon Hewitt has unveiled the top five lessons learned by organizations that have already undergone the initial implementation process for auto-enrollment. Sophia Singleton, head of Aon Hewitt’s auto-enrollment specialist team, reports that, “it's clear from our clients... READ MORE

As if the news is not bad enough for record keepers (especially regarding several recent court decisions), one legal expert at Drinker Biddle questions whether these service providers may need to register with the SEC if they are receiving payments from mutual fund companies.The SEC stated that it... READ MORE

Getting quoted in the press can be a powerful marketing tool, especially press that prospects read. Even better, it’s free marketing. While the hard part is forming relationships with the right journalists and getting them to call you, once they do, you want to make sure your quote gets published.... READ MORE

Ready, or not?A phrase that’s heard with increasing frequency in both the defined contribution and HR worlds is “retirement readiness.” In the 2012 Defined Contribution Participant (DCP) Plan Sponsor survey of 2,800 comp and benefits directors, for example, 82% said they feel it is their “... READ MORE

Chris Carosa of Fiduciary News raises interesting and disturbing questions about the risk tolerance questionnaires used not only by many major DC providers but also by many advisors — especially those looking to comply with FINRA’s suitability standard. Citing academic research as well as anecdotal... READ MORE

In about a month my eldest will be setting up a new home in a different state. It won’t be her first time living in another state, and it won’t be her first apartment. It will, however, be her first apartment as an entrant into the full-time career workforce, and so the criteria — and budget — are... READ MORE

Last week’s top five most-read posts on NAPA Net reflected keen interest in determining the appropriate fees for an employer to pay for its 401(k) plan, Marcia Wagner’s guidelines for a plan sponsor to properly conduct a plan cost review, Former Los Angeles Mayor Richard Riordan’s proposition to... READ MORE

In what could be a watershed decision, the 7th Circuit U.S. Court of Appeals reversed a lower court decision denying plaintiffs in the Abbott v. Lockheed Martin case class action status. The plaintiffs, who were represented by Jerome Schlichter, were able to win class action status by splitting the... READ MORE

Morningstar recently released their 2013 Q2 “Target-Date Fund Series Rating and Research Reports,” which are one-page analyses of the 22 most widely held TDFs. The reports review the glide paths, sub-asset classes and nature and quality of the underlying investments, along with other factors such... READ MORE

Speaking at a U.S. Chamber of Commerce/AARP conference July 26, Putnam CEO Robert Reynolds offered a three-step plan to improve retirement readiness:1. Go “full-auto.” Make the best practices set forth in the Pension Protection Act the norm — auto-enrollment, re-enrollment annually, auto escalation... READ MORE