Company 401k Plans

Top 40. Jan 16, 1999 9:49 AM

» JenL_3 - Company 401K Plan Question

I copied this question over from the BB thread:

Author: geezard
Date: January 16, 1999 8:21 AM
Subject: Company 401(k) plans

Can anyone tell me where I can get some feedback as to company sponsored 401(k) plans. I believe mine may need a bit of polishing up and wanted to get others' input. Can't seem to find it on the discussions link?

Geezard - Go back to the beginning of this thread and read all the messages, particularly the posts by Timothy Younkin. And check out the link to Tim's web site; there is a lot of information on company 401K plans there, plus links to further information. You need to ask a more specific question in order to get a more specific answer.
Also check out the "Small Company 401K Plans" thread. Hope this helps.

Geezard - Welcome to Suite 101.....J.L.

-- posted by JenL_3

Top 41. Jan 16, 1999 9:54 AM

» JenL_3 - Company 401K Plan Question

Just bringing this thread up to the top, because Geezard has a 401K plan question, and am not sure which thread has the answer, this one or the "Company 401K Plans" thread......J.L.

-- posted by JenL_3

Top 42. Jan 16, 1999 2:03 PM

» TimYounkin - where's the problem?

Geezard, why do you think your current 401(k) plan needs polishing?

-- posted by TimYounkin

Top 43. Jan 16, 1999 5:21 PM

» geezard - My new 401(k) retirement trust

Need some expertise from the peanut gallery guys. My company (Company A) just recruited a new fund manager, also is the record keeper and trustee of our 401(k) plan. Higher paid employees are in another plan with different options and a different record keeper. Our plan has inferior funds and lots of people are unhappy with the fund options. What can I do about this? Also, if this plan is now in a "pooled equity trust" is this different than a normal 401(k) plan? Our company stock fund is a part of this and now the pricing is in units as opposed to shares which I understand is for valuation purposes. My problem is a lack of disclosure as to what arrangement we may be in as being exposed to risk and higher admin. costs since the choices are below par and they just admitted field personnel into the plan and 2) the poor choice of mutual funds. Do I have a valid complaint? The big guys are in a non-qualifying plan wherein they can tax defer their compensation bonuses and have a pretty good selection of funds. Ours are all institutional class y and even the profile and history are misrepresented in our handout material? Thanks to whoever can help me out here!

-- posted by geezard

Top 44. Jan 16, 1999 5:51 PM

» geezard - 401(k)

Tim, I'm sorry I didn't read your message before posting my last. As you can see, my main problem is with the fund selections but also past record keeping. Strangely enough, I received a notice from my company today regarding application to IRS being filed as to whether our plan meets qualification requirements of Sections 401(a), 501(a) or 403(a) of the IRS Code and requesting employees (at least 10 in #) to respond if they have valid reason. I'm not sure if I should respond or what. But it looks as if my co. may be concerned as to whether they are in compliance here what do you think of this?

-- posted by geezard

Top 45. Jan 17, 1999 12:42 PM

» huizie - ESPP VS. 410(k)

I have been putting 10% of my income,after tax, in an ESPP for over 8 years. The company I work for "changed" this to a "401(k)" plan about a year ago . I am still on an after tax status so I can withdraw funds if I need them and my contributions are still marked ESPP on my paystubs. The company was matching 100% Thank you!!! but is trading our site to another company. We are told we can't get the matching funds because of an IRS "Same desk Rule" What is it and why would the IRS stop the company from giving out the matching funds?

-- posted by huizie

Top 46. Jan 17, 1999 1:48 PM

» MichaelC_AU - CFO-uneducated investor

I was reading every message on this thread today, when I read back to the last two messages and Kirk's proposing that the CFO discussed could be an uneducated investor, a chill went up my spine. -

"If, oth, he is just an uneducated investor, then you "just" have to educate him"

Why, because at that moment I could imagine someone becoming CFO, a CPA perhaps, having always spent money as they made it, knowing nothing about investing(scary). I think back to when I was in college and when I asked my friend a senior in accounting about my EE savings bonds, drawing a blank answer. Investing is just is not taught to accountants, that is for finance majors (and as I found out working at a bank, finance jobs are for marketing majors or those without degrees.)

-- posted by MichaelC_AU

Top 47. Jan 17, 1999 2:12 PM

» RandeS - Many CPAs have training in finance and investment and many don'

Many CPAs have training in finance and investment and many don't. While it may be more common for the average Controller to primarily have an accounting background, one would hope that a CFO would have some finance background.

As a CPA financial planner with a Big 5 Firm, I can tell you that our personal financial planning partners are expected to have at least a CFA, PFS, and or CFP in addition to the CPA credential. Additional traning and licensing (Series 7, 65, etc.) is required to give investment advice. A CPA who is trained, educated, and certified in finance and investment is, in my opinion, far superior to an advisor who may simply have a CFP, insurance, or broker's license. When it comes down to it, most investment analyses rely heavily on a fundamental understanding of accounting. The CPA, with the proper background, is uniquely equipped to provide a comprehensive approach to investment and other financial planning.

-- posted by RandeS

Top 48. Jan 17, 1999 2:29 PM

» MichaelC_AU - Excellent post Rande, I agree.

Excellent post Rande, I agree. I was thinking about the majority of CPA's that don't get into investing.

I believe that Bob Brinker once recommended CPA's with some sort of AICPA certification in financial planning. I would be interested in any knowledge you have about this certification as well as information about CFA's, as I am at the beginning of my career and would be open to those directions. I have started a thread called "related careers."

-- posted by MichaelC_AU