A Simplified Deferred Compensation Plan with No-Cost Administration
September 17, 2013 (Des Moines, Iowa) — Only 30 percent of business owners believe their employees are saving enough for a comfortable retirement, leaving a significant number of employees who likely need to be saving more. A simple, yet flexible solution, Principal SERP SelectSM, from the Principal Financial Group® gives owners of growing-businesses a new way to help their key employees better prepare for retirement.
"This employer-financed deferred compensation plan is one more way owners can offer a valuable benefit to their key employees," said Mark West, assistant vice president, advanced solutions, The Principal®. "This plan fills a small gap we've had in our nonqualified supplemental retirement platform offering."
Principal SERP Select, a simplified defined contribution deferred compensation plan, is designed specifically for key employees and owners of C corporations, as well as key employees of S corporations, limited liability companies (LLC), and partnerships. Benefitting up to five plan participants, total annual plan deposits can range from $25,000 to $150,000. The no-cost administrative services are a value-add feature that really make the offering shine. Several key service features include:
- Dedicated executive benefits administrator
- Consolidated annual plan level reports
- Individualized participant annual statements
- Consolidated billing services
- Economic benefit amounts (if applicable)
"Our support does not end with the sale," adds West. "Our team is there before, during and after the sale to consult with advisors to ensure holistic support is provided to the business owner."
Advisors can learn more about the Principal SERP Select retirement plan at Principal eFinancial Professional.
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About the Principal Financial Group
The Principal Financial Group (The Principal®) is a global investment management leader offering retirement services, insurance solutions and asset management. The Principal offers businesses, individuals and institutional clients a wide range of financial products and services through its diverse family of companies. Founded in 1879 and a member of the FORTUNE 500®, the Principal Financial Group has $450.6 billion in assets under management and serves some 19.8 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. For more information, visit www.principal.com.