OK, so you want to adopt a pension plan!  A few important items first.

  • We are assuming that you have already received some consulting advice on the advantages of adopting a pension plan and that you have some idea of the magnitude of tax deductions you can achieve.  If you are unsure, read about Qualified Plans and review the information on Defined Benefit Pension Plans.

  • You will be asked to complete ALL of the items below and submit the information to us.   We will review it and contact you to confirm receipt and our understanding of your desired plan provisions.

  • After we contact you, we will need a non-refundable deposit of $995 to complete the adoption agreement, summary plan description, and all election forms.  If you wish, you may pay this deposit  by either credit or debit card using the Payments button above.  Or, you may mail us a check.

Mailing address for payment by check is:

ALI Actuarial & Retirement Plan Services    POB 860       Fletcher, NC  28732

  • YOU ARE UNDER NO OBLIGATION TO PAY ANYTHING UNTIL WE CONTACT YOU AND CONFIRM YOUR DESIRE TO START THE PLAN.  We will send the completed adoption agreement and supporting forms once we have received the $995 deposit.

  • You will be given a copy of adoption agreement for the ALI Actuarial & Retirement Plan Services Prototype Defined Benefit Plan.  You must sign and date the last page and return it to us by mail or fax, and mail us a check, or pay by credit or debit card, for the remaining $1,000 plan adoption fee.

  • You will also be given beneficiary election forms which must be filled out and either mailed or faxed back to us at your convenience.

  • Each year, you will need to provide us with data, in a form to be agreed upon, on all eligible employees of the employer, including names, Social Security numbers, dates of birth, dates of hire, compensation, and hours worked.  ALI Actuarial keeps all client information in strict confidence.   You may NOT adopt the plan through ALI Actuarial & Retirement Plan Services unless we are retained to perform the annual actuarial services for the plan.

  • Our fees for the annual actuarial services for the plan are described under Prices.  Annual fees depend upon the number of employees of the employer.   Minimum annual price for most plans is $1,200.

  • A defined benefit pension plan is a serious undertaking on the part of the employer.  You are committing to the establishment of a plan that has important financial, communication, reporting, and compliance requirements each year.  The most important requirement is that the plan be funded according to the instructions of the plan's actuary (ALI Actuarial & Retirement Plan Services).  Unlike a profit sharing plan, a pension plan is not allowed to just skip a required contribution.  If the employer encounters financial difficulties that make it impossible to make the required contribution, the plan has several options: (1) the employer can amend the plan's retirement age or the benefit formula to a less expensive level; (2) the employer can temporarily freeze the plan, possibly reducing the contribution to zero; or, in the extreme case, (3) the employer can terminate the plan.

  • By proceeding, you agree that you are acquainted with the requirements of an adopting employer in maintaining a qualified defined benefit plan.

If you do not agree with these items, or if you have any questions before you continue, read about Qualified Plans and, if need be, contact us here at ALI Actuarial & Retirement Plan Services,  919-357-2267, or email to bmarotta@aliactuary.com.


Employer Name:   

Address:             

City, State, Zip:    

Telephone:                  Fax:     

Email Address:      

Federal EIN:        Tax Year-End:    State of Domicile: 

Type of Entity: (corp., partnership, sole prop., etc.)   

Desired Effective Date of Plan:    (Must be signed by last day of plan year.)

Name of Person to Contact:   

Magnitude of Contribution (Tax Deduction) Desired:      

Important:  Include a list of employee data including name, date of birth, date of hire, compensation for the year, and hours worked for the year.  Either fax to us at 978-246-8475, or email to bmarotta@aliactuary.com.