K2 Solutions, Inc. ESOP & 401(k) Plan Julie Isom Swerdlin & Company December 12, 2012.
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Transcript of K2 Solutions, Inc. ESOP & 401(k) Plan Julie Isom Swerdlin & Company December 12, 2012.
K2 Solutions, Inc.ESOP & 401(k) Plan
Julie IsomSwerdlin & CompanyDecember 12, 2012
AgendaTODAY WE WILL COVER: Introduce Swerdlin and learn ‘Who Is
Swerdlin & Company’? An overview of K2 Solutions retirement
plan. What is Daypak.net and how do I use it? Questions?
Overview of Swerdlin Trustees Hired Swerdlin Swerdlin selected
− Pension Actuaries and Employee Benefits Consultants
− Can handle combined recordkeeping for 401(k) deferral and employer stock
− 32 years in business with 67 employees
− Independent of plan assets
− Established service standards
− Administer 600+ plans in 36 states
− Administer over 100 ESOPs
Overview of Swerdlin We are the administrator of the new KSOP Major role as “Recordkeeper”
− Records account activity− Performs compliance testing− Produces employee statements− Prepares governmental reporting
Overview of Benefits Plans K2 Solutions had 1 benefit plan
− 401(k) Plan - funded by you, invested by you.
Effective January 1, 2012, K2 Solutions has added an Employee Stock Ownership Plan – funded by K2 Solutions, invested by Trustees.
Effective December 31, 2012, the two plans will be combined into one, K2 Solutions Employee Stock Ownership and 401(k) Plan.
Overview of Benefits Plans The plan is the responsibility of the Board of
Trustees− Acts in the best interest of participants (Fiduciary
Duty)
− Funds employer company contributions
− Approves annual valuation of stock after reviewing valuation company’s opinion
Overview of Benefits Plans401(k) Basics−You elect to contribute a portion of your salary
−You direct the investments
Benefit to You−Investment grows tax-free
−Traditional 401(k) - You do not pay taxes on your contributions until you elect to receive a payout
−Roth 401(k) – You are taxed on the contribution dollars but are not taxed when you receive a payout
Overview of Benefits PlansESOP Basics−No contribution is required from you in order to share in the ESOP contribution (Company pays 100%)
−An ESOP is the only type of qualified retirement plan that gives the employee an opportunity to share in company growth
−You do not pay taxes on your ESOP account until you elect to receive a payout
−You get cash equal to the current value of your stock when you receive your distribution
What is Daypak.net?
Your Participant
Portal
What is Daypak.net?
Knowledge
Center
What is Daypak.net?
Participant HelpYour retirement account is easily accessible: 24 Hour access to the DayPak Website
By Internet at www.daypak.net
In house Participant Call Center available 8:00 am to 6:00 pm EST, Monday through Friday
Speak to a live representative: Call 1-866-687-4015
Participant HelpYou have the ability to do the following with both
options: Obtain your current account balance Change your PIN Review current investment elections Change your current investment elections Transfer existing 401(k) account balances Model or review plan loans Review 401(k) fund performance
Questions?
14
Summary