The Fiduciary Fitness Program^TM

Our Fiduciary Fitness Programä is an independent compliance tool to measure the health of a retirement plan, and ability of the plan's fiduciaries to operate in accordance with ERISA and the plan document. Our program provides resources as a means to identifying potential weaknesses in your plan and remedy through education, diligence and process.

The Fiduciary Fitness Programä helps fiduciaries and plan sponsors:

• Identify plan fiduciaries and their specific responsibilities
• Understand the extent of their fiduciary responsibilities
• Attempt to comply with ERISA §404(a) and §404(c)
• Document the hiring process for service providers and other vendors
• Identify parties in interest to the plan and take steps to monitor transactions with them
• Understand major exemptions under ERISA that permit transactions with parties in interest, especially those key for plan operations (e.g., hiring service providers and making plan loans to participants)
• Review plan documents in light of current plan operations and make necessary updates
• Comply with reporting and disclosure requirements
• Ensure that individuals are properly bonded and covered by liability insurance

The Fiduciary Fitness Programä components include:

• Program report: a complete fiduciary audit focusing on the major responsibilities and liabilities plans sponsors must manage. The report helps demonstrate the procedural prudence required under ERISA.
• Reference guide: a reference guide with flow charts, sample checklists, notifications and disclosure calendars supporting the information to be obtained and documented in the Program Report. 
• Education presentations: twelve presentations educating fiduciaries on their responsibilities, liabilities and how to implement prudent processes managing their retirement plan
• ERISA compliance manual: the legal supporting document for the program.

Retirement Plans require prudent governance by plan sponsors and fiduciaries. It is in the best interests, and legal duty pursuant to ERISA, of those responsible for the plan and plan participants to adopt prudent processes for all areas of plan management. Procedural prudence requires that plan sponsors become educated in each area of responsibility, take actions which are prudent and taken exclusively in the best interest of participants and beneficiaries, and to document the all actions taken.

The Fiduciary Fitness Programä  is a well-designed decision-making process to confirm and document proper roles and execution of responsibilities in a prudent manner. To learn more, please contact us today.

• Select plan providers, recordkeepers, etc.
• Acquire or dispose of plan assets
• Make discretionary decisions under the plan (e.g., authorize benefit payments)
• Have decision-making authority in the selection and retention of plan fiduciaries
• Select plan investment vehicles
• Give investment advice with respect to plan assets for compensation
• Select plan consultants

• Act soley in the interest of participants and beneficiaries
• Carry out duties in a prudent manner
• Follow the plan documents
• Diversify the plan investments
• Pay only reasonable plan expenses

• All plan fiduciaries are jointly and severely liable.
• All plan fiduciaries are personally liable.
• Fiduciaries are liable for 100 percent of investment losses, measured against what assets would have otherwise grown to; fiduciaries are also liable for the legal expenses and professional fees for the defense.