RETIREMENT

Defined Benefit Plans
Defined benefit plans have long been an important part of the retirement plan landscape. Recent events, however, have shaken the foundation of most defined benefit plans. Sharp declines in plan assets have only been partially recovered, accounting rules have altered balance sheets and P&L statements, and the latest in a long series of major legislative changes will likely mean higher funding levels for employers.

Many plan sponsors have reached a critical juncture where fundamental decisions have to be made regarding the future of their defined benefit plans. Should they:

• Continue the plan as is?
• Make changes to the plan design?
• Freeze the plan (for new hires or for some or all of their current participants)?
• Terminate the plan and "settle up" all benefits?

Cammack LaRhette can help clients reach a decision that is right for their organization, taking into account competitive requirements and the long-term effects on employees, the finances and administrative capabilities of the organization.

We offer independent, unbiased advice encompassing:

• Forecasting of the funding and expense effects of design alternatives
• Identification of employees most affected by any changes
• Comparison of peer organizations
• Evaluation of alternative investment strategies
• Communication of changes to employees

In addition, Cammack LaRhette offers ongoing plan services, including:

• Annual valuations
• Administrative services, including benefit calculations
• Regulatory/compliance advice
• Asset performance review
• Investment Policy Statements