New Tools Ease Burden of retired Major New Reporting Rules

 

Wednesday, Mar 25,2009, 11:50:32 AM   Click:

Employers who sponsor pension plans face stringent new requirements at the end of this calendar year. To comply, they need to launch an extensive collection of savings and additional data now.

The Principal Financial Group ® has unveiled new tools to help ease the administrative burden for plan sponsors that comes with the new form of retirement in 5500 and financial statements (FAS No. 157) requirements.

"These are radical changes in the reporting of retirement. For the first time, developers will formally document the information, they did not have to put in writing before, "said Aaron Friedman, national non-profit leader in practice The main ®. "This is not an easy task. Our new tools will help them collect and deposit the information they need and understand how to make the time."

Sponsors strike with the new requirements of two separate agencies:

1. The Department of Labor (DOL) now requires additional information on fees and expenses for the Annual Report Form 5500 and mandates that it be filed electronically for the year 2009.

2. The Financial Accounting Standards Board (FASB) now requires more information on pension plan financial statements on fair value measurements used in evaluation of plans of assets or investments.

"Plan sponsors have the ultimate responsibility for the accuracy and thoroughness of their 5500 form and financial statements of the plan. The new rules require a greater level of involvement of Trust," said Friedman. "Our educational materials will help sponsors to manage the fiduciary responsibilities has increased. "

The complete set of tools to support the main plan sponsors on a pitch meeting the new requirements. They include:

* A White Paper: The road to transparency: Form Annual Report 5500, 403 (b) plans and assessments of fair value (FAS 157)
* An easy to use Form 5500 Quick Reference Guide
* A thorough review of the value and the declaration of assets of retirement-FAS No. 157
* A simple trust guide: Understanding and fiduciary responsibility

Friedman adds, "Our equipment includes special information for ERISA 403 (b)-authors that they need. This is the first time that these plans must file Form 5500."

The Principal Financial Group ® (The Principal ®) 1 is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance, and banking through its diverse family of financial services companies. A member of the Fortune 500, the Principal Financial Group has $ 287.4 billion in assets under management2 and serves some 19.0 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG.