Identify the retirement plan solution that meets your clients’ needs

Understand the needs and preferences of potential retirement plan sponsors to find a plan that’s right for them. Follow these steps to gather the information you need to deliver the best retirement solution.

1. Gather the information

How to do it:

  • Prior to meeting, put together a list of key questions to ask, such as:
    • How many employees do you have?
    • What are the assets in the plan?
    • How much is being contributed to the plan every year (by employer and employee)?
    • If you have an existing plan, who is the provider?
    • What’s working/not working with the plan?

  • During the meeting, document the responses to your questions. Let prospects know that you will use the information to create a customized proposal.

  • Close the meeting by:
    • Thanking prospective clients for their time
    • Letting them know that you will follow up within two weeks to present your proposal

2. Choose a plan and recordkeeping solution

How to do it:

  • Use the Small-Business Plan Selector Tool to determine the type of plan that is most appropriate for the business you’re working with.

    Options include:

    • 401(k) plans are open to all types of businesses and offer the most flexibility (in terms of contributions, loans and vesting, for example).
    • Solo 401(k) plans offer many of the advantages of a regular 401(k) for a company that does not have employees.
    • 403(b) plans are available to certain nonprofit organizations (for example, public schools and churches).
    • Money purchase and profit-sharing plans allow employer contributions only.
    • SIMPLE IRAs and SEP plans may be best for smaller businesses (those with 100 or fewer employees) that require an easy-to-use plan.
    • Payroll deduction IRAs allow employee contributions only.

  • If you have selected a 401(k), 403(b), money purchase or profit-sharing plan, choose one of the following recordkeeping solutions:

    • RecordkeeperDirect® — Designed especially for smaller plans and simple to operate and maintain, RecordkeeperDirect offers low-cost recordkeeping, a full complement of the American Funds, and customized plan administration by a third-party administrator.
    • PlanPremier®-TPA — Designed especially for larger plans, PlanPremier-TPA offers robust, yet low-cost plan services; access to hundreds of funds from many well-respected investment managers, including Capital Group; and customized plan administration by a TPA.
    • PlanPremier®-Bundled — Designed especially for larger plans, PlanPremier-Bundled offers robust, yet low-cost plan services; access to hundreds of funds from many well-respected investment managers, including Capital Group; and plan administration by Capital Group.

Resources to use:

Comparing Retirement Plans (Brochure) — Explain plan features, learn contribution limits and obtain a glossary of terms.

Compare Recordkeeping Solutions — Determine which solution best meets the needs of the plan.

Compare SEP and SIMPLE IRAs — Demonstrate key features and differences between SEP plans and SIMPLE IRAs.

3. Choose a share class

How to do it:

  • Determine which of our share classes best meet the plan’s service needs. Each offers different fees and expenses and advisor compensation.
  • Review the costs associated with the retirement plan share class and recordkeeping solution you’re recommending and create a report using our Retirement Plan Cost Comparison Tool.

Resources to use:

Share Class Pricing & Details — Compare the expense ratios and advisor compensation for each share class.

Price-It Tool — Get a preliminary estimate of the total cost associated with PlanPremier and RecordkeeperDirect plans.

4. Get customized sales presentations to use in sponsor meetings.

How to do it:

  • Use the convenient, comprehensive Retirement Planalyzer® to get client-ready presentations. With the tool, you can:
     

- Compare solutions and share classes with a quick fee quote, with first-year plan costs, or a detailed presentation, which also highlights plan features and costs over time.

- Create a fund lineup to propose or review in a report with returns, expenses and other details.

- Order a formal retirement plan proposal, which you'll receive in a day.

- Customize all presentations with your information on the cover page.

Supporting products & solutions

401(k) and 403(b) Plans

Fiduciary Services

American Funds Target Date Retirement Series

Other resources

Create a Clear Value Proposition for Your Retirement Plan Practice

Deliver a Winning Retirement Plan Finalist Presentation

Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing.
Although target date portfolios are managed for investors on a projected retirement date time frame, the allocation strategy does not guarantee that investors' retirement goals will be met.
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This content, developed by Capital Group, home of American Funds, should not be used as a primary basis for investment decisions and is not intended to serve as impartial investment or fiduciary advice.