Frequently
Asked
Questions

What is a 401(k) plan and how does it work?

A 401(k) plan is an employer-sponsored qualified retirement plan that allows employees to save a portion of their wages on a pre-tax or Roth basis. Employers can also make matching or profit-sharing contributions. Funds grow tax-deferred until withdrawn.

What is a Cash Balance plan and how is it different from a 401(k)?

A Cash Balance plan is a type of defined benefit pension plan that provides participants with an account balance that grows annually based on pay credits and interest credits. Unlike a 401(k), the employer bears the investment risk and can often contribute much higher amounts.

How do I know which retirement plan is best for my business?

The right plan depends on your goals, employee demographics, and budget. We compare 401(k), Safe Harbor, Profit Sharing, and Cash Balance options to design a plan that maximizes tax savings and meets compliance requirements.

How do I start a retirement plan for my business?

We handle the entire process: plan design, document preparation, payroll integration, and employee education — so your plan is ready to launch with minimal effort on your part.

How long does it take to set up a new plan?

A new plan can typically be set up in 1–6 weeks, depending on complexity, recordkeeper selection, and how quickly required information is provided.

Which recordkeepers and financial institutions do you work with?

We work with all major retirement plan recordkeepers and investment platforms, including Lincoln Financial, Voya, American Funds, Ascensus, Nationwide, Empower, and many others. Our flexible approach means we can partner with your preferred financial institution while providing comprehensive plan administration and compliance oversight.

Can I switch my Third Party Administrator (TPA) without changing my recordkeeper?

Yes. We can take over administration while you keep your current recordkeeper, making the transition simple and seamless.

What’s involved in switching from my current TPA to SS Pension Consultants?

We coordinate directly with your financial advisor and recordkeeper to gather information and documents. We manage everything for you, making it a seamless process with no disruption to payroll or plan operations.

What if my plan is using a recordkeeping platform’s bundled service?

If your plan is currently with a recordkeeper’s bundled service - where the recordkeeper handles both investments and administration - we can still help. Many employers choose to “unbundle” by keeping their existing recordkeeper for investments while moving administration to SS Pension Consultants. This approach often lowers costs, improves service responsiveness, and ensures you have a dedicated compliance partner focused solely on your plan’s best interests.

How much does 401(k) plan administration cost?

Our flat-fee pricing starts at $780/year for small plans, with no hidden fees. We also offer payroll integration and 3(16) fiduciary service add-ons.

What does flat-fee retirement plan administration mean?

It means you pay a set amount that covers all agreed services: plan design, contribution calculations, compliance testing, 5500 and related filings, etc. We offer comprehensive administration services with unmatched service and lower pricing.

Can switching my plan save my business money?

Yes. Many of our clients save thousands per year with our cost-effective fees. We also review your plan annually to determine if there could be additional fee savings by transferring your plan to another recordkeeping platform/financial institution.

How does payroll integration work for 401(k) plans?

We link your payroll system directly to your retirement plan recordkeeper so employee deferrals and employer contributions are automatically transmitted each pay period.

Which payroll providers can you integrate with?

We work with most major payroll companies, including ADP, Paychex, QuickBooks, Gusto, Paylocity, and more.

Will payroll integration reduce errors in my plan?

Yes. Automated contribution uploads reduce manual entry, improve accuracy, and help avoid late deposits or incorrect amounts.

What is a 3(16) fiduciary and do I need one?

A 3(16) fiduciary is a plan administrator who assumes certain legal responsibilities for operating your retirement plan in compliance with IRS and DOL rules. Our 3(16) fiduciary services reduce your liability and workload.

Who is responsible for retirement plan compliance?

As the plan sponsor, your business is ultimately responsible, but partnering with a knowledgeable TPA can shift many compliance duties and reduce your risk.

How do you help with IRS and DOL audits?

We prepare required documents, respond to agency inquiries, and guide you through each step to ensure the audit is completed efficiently and favorably.

What are the 2025 401(k) contribution limits?

For 2025, employees can defer up to $23,500. Those age 50 or older may contribute an additional $7,500 in standard catch-up contributions. Under SECURE 2.0, employees ages 60–63 may be eligible for a special “super” catch-up limit of $11,250, which must be made as Roth contributions if prior-year wages exceed $145,000. Employer contributions are subject to the overall IRS 415 limit, which caps the combined total of employee and employer contributions at $70,000 (or $77,500 including standard catch-up contributions).

What are the 2025 Cash Balance plan limits?

The maximum contribution depends on age, income, and plan design — often exceeding 100% of pay for owners nearing retirement. We calculate the exact amount annually as part of the actuarial valuation report.

What is a Safe Harbor 401(k) plan?

A Safe Harbor plan automatically satisfies certain IRS nondiscrimination tests in exchange for mandatory employer contributions, allowing Key and Highly Compensated Employees (HCEs) to maximize their salary deferral contributions.

Can I exclude bonuses or commissions from plan contributions?

Yes, but it must be written into your plan document. We can structure your plan to include or exclude certain pay types for contribution purposes.

How often should my retirement plan be reviewed?

At least annually. We review plan performance, contributions, compliance, and design each year to ensure the plan continues to meet your business and employee needs.

What happens if my plan fails IRS compliance testing?

We identify the cause, calculate any required corrections, and help you take the necessary steps to bring the plan back into compliance with minimal disruption.

Can you coordinate with my financial advisor and CPA?

Of course! We regularly partner with financial advisor and CPA/accountants to align plan design, investment options, contribution strategy, and tax planning.

Will I have a main point of contact?

You’ll work directly with our founders – Valerie Sinicrope and Kaitlin Smith – 7x certified 401k Profit Sharing and Cash Balance experts who personally oversee and manage our clients’ plans. Our goal is to build a relationship with our clients and partner that will last for decades, providing consistent, proactive guidance as your business and retirement plan grow. No call centers, no waiting on hold, and no being passed from one department to another. You’ll get fast, accurate answers - always.

Will you talk to my employees or do I have to be the middleman?

Your employees get direct access to our founders, too, so you’ll never be stuck relaying technical information. Whether it’s helping with enrollment or answering questions about loans, distributions, or contribution changes, we communicate with participants promptly and clearly.

Do you work with new start-up companies offering a first-time plan?

Yes, we specialize in helping new businesses launch their first retirement plan. Our process is designed to make plan setup simple and stress-free, even if you’ve never sponsored a plan before. We’ll guide you through the plan design options, prepare all required documentation, and provide employee education from day one. Many start-up plans also qualify for valuable IRS tax credits that can offset plan setup and administration fees. We’ll help you take advantage of these incentives so you can start strong, stay compliant, and maximize benefits for you and your team.

What IRS tax credits are available for new 401(k) plans?

The IRS offers valuable tax incentives to encourage small businesses to start a retirement plan. Eligible employers can claim the Startup Plan Credit – up to 100% of qualified plan setup and administration costs, capped at $5,000 per year for the first three years – as well as the Auto-Enrollment Credit – an additional $500 per year for up to three years if your plan includes automatic enrollment. These credits can be applied to your company’s federal income tax return, significantly reducing or even eliminating your initial plan costs.

Does my plan need automatic enrollment?

Auto-enrollment isn’t required for every retirement plan, but it’s becoming more common due to new federal and state rules. Under SECURE 2.0, most new 401(k) plans must include auto-enroll feature, starting employees at a minimum deferral rate and automatically increasing contributions annually until they reach at least 10%. Even if your plan isn’t required to use auto-enrollment, many employers choose to add it voluntarily because it boosts employee participation, helps pass IRS nondiscrimination testing, and may qualify you for additional IRS tax credits. We’ll let you know whether auto-enrollment applies to your plan and help design the feature so it benefits both your business and your employees.

What are your turnaround times?

We pride ourselves on being the most responsive third party administration (TPA) firm in the industry. Our 24-Hour Response Guarantee means we get back to your calls and emails within one business day – often much sooner. This guarantee reflects our commitment to responsiveness, transparency, and proactive communication. With SS Pension Consultants, there’s no waiting on hold, no call centers, and no wondering when you’ll hear back – just fast, accurate answers from the experts who know your plan best.

I’m ready to get started – now what?

Setting up your plan with SS Pension Consultants is simple, and you reach out to us however you prefer: phone, email, or by completing our online Request a Proposal form. From there, we’ll learn about your business and goals, prepare your custom proposal, and work with you to design the best plan for your business.