RSI In The News

RolloverSystems Reduces Fees to Minimize Retirement Plan Account Balance Erosion.

RolloverSystems, LLC. (RolloverSystems), an independent provider of rollover services for third party administrators (TPAs), advisors, plan sponsors, and their terminated participants, is cutting the annual fee it charges for IRA’s in response to continued economic pressures on working Americans. High fees can quickly erode retirement plan accounts which typically have very low balances. Low fees can help preserve savings.

Retirement plan participants who rollover a retirement account to RolloverSystems will only pay $24 annually for personalized investment support from licensed retirement counselors, access to FundFinderTM, and account administration – all part of the RolloverSystems standard service for IRA accounts.

RolloverSystems is able to charge a low annual fee because of its leading IRA rollover technology and process efficiencies and, unlike some providers, it does not compensate third parties as an inducement to acquire their safe harbor participant accounts.

Despite the low fee participants pay and regardless of the size of their account balances, each participant in RolloverSystems’ IRAs has access to The Retirement Center , which is staffed with licensed professionals who provide personalized objective guidance, help participants to understand their investment options, and facilitate transactions.

“This reduction is one more important way in which we are working with key players in the retirement market to help participants stay invested in retirement and maximize their retirement readiness,” said RolloverSystems CEO Spencer Williams. “In addition to lowering our already competitive fees for participants, we’ll continue to help TPAs and advisors efficiently roll over the low-balance, terminated participant accounts in their plans.”

The Economic Growth and Tax Relief Reconciliation Act (EGTRRA) allows plan sponsors to automatically roll mandatory distributions greater than $1,000 into a safe harbor IRA (RolloverSystems works with all balances, even those below $1,000) to be automatically rolled into a safe harbor IRA, instead of being paid out in cash, unless the participant elects otherwise. Moving eligible rollover distributions into safe harbor IRAs can reduce the backlog of small accounts that build up on retirement plans and drive up costs, create administrative difficulties, and increase the risk of fiduciary liability.

RolloverSystems’ Automatic Rollover Program enables plan service providers and plan sponsors to choose from a list of pre-approved providers on its safe harbor IRA Provider Network. RolloverSystems also:

• Facilitates safe harbor provider agreements using electronic signature
• Delivers required participant notifications and disclosures
• Adheres strictly to regulatory guidelines
• Transfers balances directly to pre-approved retirement accounts
• Complies with plan sponsor and trustee fiduciary responsibilities under ERISA

For more information, visit www.RolloverSystems.com.