Choosing a third-party administrator (TPA) is an important decision that can significantly impact the success of your employee benefit plan. TPAs are third par:es that are hired to handle compliance of employee benefit programs such as 401ks or insurance plans. Here are some things to consider when selecting the right third-party administrator:
Identify Your Needs: Determine the specific services or func:ons you want the third-party administrator to handle. Common areas where third-party administrator are often utlilzed include 401k (k) plans and health insurance. They normally handle claims processing, and compliance services for these types of programs. The Pension department can handle all third-party administrator services.
Check Credentials and Experience: Evaluate the third-party administrator based on their credentials and experience. The President of The Pension Department has been seen on/in CNN, Fox Business, Forbes, Chicago Tribune, Accounting Today, MSNBC, NPR and many more.
Reviews: Reach out to third-party administrators to gather feedback on their performance and reliability. You can read all of our reviews HERE.
Data Security: Third-party administrators often handle sensitive information such as social security numbers, banking information, and driver’s license. Choose a third-party administrator and ask about their security measures, and data protection policies.
Cost and Fees: Third-party administrators often charge a flat fee and then a per head charge. For the majority of the plans we work with, we don’t charge a per head fee only a flat fee. Use one of our investment platorms and we may waive the flat fee.