PLANSPONSOR - February/March 2019 - 58

RUNNING THE FUND
Plan Defense
Delegating tasks to a 3(16) administrator can keep a plan 'clean'
O
ver the past several years, many
third-party administrators (TPAs)
have marketed themselves as willing
to be 3(16) fiduciary plan administrators
for plan sponsors. According to Kasey
Price, head of institutional sales for TPA
Solutions at Ascensus in Augusta, Georgia,
a 3(16) plan administrator takes on fiduciary
responsibility for the administrative
tasks for an Employee Retirement Income
Security Act (ERISA) plan.
Brian Furgala, director of ERISA
Services at Wolters Kluwer Legal &
Regulatory U.S. in Orlando, Florida,
says some TPAs that take on 3(16) fiduciary
duties will perform all administrative
tasks, including but not limited to
directing contributions and participants'
plan loan repayments; providing enrollment
materials and enrolling new hires
into the plan upon eligibility; doing
nondiscrimination testing; preparing and
signing the Form 5500; handling hardship
and loan approvals and distributions;
and supplying distribution information
for terminated and retired employees, as
well as processing those distributions.
(See accompanying chart.)
According to Price, TPAs that assume
the role of a 3(16) administrator take on
all administrative tasks in accordance
with the plan document. " Tasks would
also include determining participant
eligibility, issuing all required notices to
participants and regulators, and calculating
matching contributions, " she says.
Still, Furgala says, it is rare that a
TPA will take on all administration. It is
more common, he says, for a designated
3(16) plan administrator to shoulder a
portion of those tasks. For example, a
TPA may direct money coming into and
exiting the plan, and it may prepare the
Form 5500 but not sign off on it-still
expecting the plan sponsor to absorb
58 PLANSPONSOR.com February - March 2019 Art by Simone Virgini
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PLANSPONSOR - February/March 2019

Table of Contents for the Digital Edition of PLANSPONSOR - February/March 2019

Asset Consolidation
2019 Plan Sponsor of the Year Finalists
2019 Best in Class 401(k) Plans
Systematic Income
The Best of Both Worlds
Plan Defense
Picture Yourself
PLANSPONSOR - February/March 2019 - C1
PLANSPONSOR - February/March 2019 - FC1
PLANSPONSOR - February/March 2019 - FC2
PLANSPONSOR - February/March 2019 - C2
PLANSPONSOR - February/March 2019 - 1
PLANSPONSOR - February/March 2019 - 2
PLANSPONSOR - February/March 2019 - 3
PLANSPONSOR - February/March 2019 - 4
PLANSPONSOR - February/March 2019 - 5
PLANSPONSOR - February/March 2019 - 6
PLANSPONSOR - February/March 2019 - 7
PLANSPONSOR - February/March 2019 - 8
PLANSPONSOR - February/March 2019 - 9
PLANSPONSOR - February/March 2019 - 10
PLANSPONSOR - February/March 2019 - 11
PLANSPONSOR - February/March 2019 - 12
PLANSPONSOR - February/March 2019 - 13
PLANSPONSOR - February/March 2019 - 14
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PLANSPONSOR - February/March 2019 - 18
PLANSPONSOR - February/March 2019 - 19
PLANSPONSOR - February/March 2019 - 20
PLANSPONSOR - February/March 2019 - 21
PLANSPONSOR - February/March 2019 - Asset Consolidation
PLANSPONSOR - February/March 2019 - 23
PLANSPONSOR - February/March 2019 - 24
PLANSPONSOR - February/March 2019 - 25
PLANSPONSOR - February/March 2019 - 2019 Plan Sponsor of the Year Finalists
PLANSPONSOR - February/March 2019 - 27
PLANSPONSOR - February/March 2019 - 28
PLANSPONSOR - February/March 2019 - 29
PLANSPONSOR - February/March 2019 - 30
PLANSPONSOR - February/March 2019 - 31
PLANSPONSOR - February/March 2019 - 32
PLANSPONSOR - February/March 2019 - 33
PLANSPONSOR - February/March 2019 - 34
PLANSPONSOR - February/March 2019 - 35
PLANSPONSOR - February/March 2019 - 36
PLANSPONSOR - February/March 2019 - 37
PLANSPONSOR - February/March 2019 - 38
PLANSPONSOR - February/March 2019 - 39
PLANSPONSOR - February/March 2019 - 40
PLANSPONSOR - February/March 2019 - 41
PLANSPONSOR - February/March 2019 - 2019 Best in Class 401(k) Plans
PLANSPONSOR - February/March 2019 - 43
PLANSPONSOR - February/March 2019 - 44
PLANSPONSOR - February/March 2019 - 45
PLANSPONSOR - February/March 2019 - 46
PLANSPONSOR - February/March 2019 - 47
PLANSPONSOR - February/March 2019 - 48
PLANSPONSOR - February/March 2019 - 49
PLANSPONSOR - February/March 2019 - 50
PLANSPONSOR - February/March 2019 - 51
PLANSPONSOR - February/March 2019 - 52
PLANSPONSOR - February/March 2019 - 53
PLANSPONSOR - February/March 2019 - Systematic Income
PLANSPONSOR - February/March 2019 - 55
PLANSPONSOR - February/March 2019 - The Best of Both Worlds
PLANSPONSOR - February/March 2019 - 57
PLANSPONSOR - February/March 2019 - Plan Defense
PLANSPONSOR - February/March 2019 - 59
PLANSPONSOR - February/March 2019 - Picture Yourself
PLANSPONSOR - February/March 2019 - 61
PLANSPONSOR - February/March 2019 - 62
PLANSPONSOR - February/March 2019 - 63
PLANSPONSOR - February/March 2019 - 64
PLANSPONSOR - February/March 2019 - C3
PLANSPONSOR - February/March 2019 - C4
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