CPD can design a Cash Balance Plan in which:

An owner, age 55, could possibly have an additional tax deduction of over $160,000 for 2011.  That’s in addition to the amount contributed to a Profit Sharing Plan and a potential tax savings of over $72,000 (see below).

*Tax savings based on an estimated 44% tax bracket.  Amounts above are intended to be illustrative. Each plan differs
based on the demographics of the plan sponsor.

Please feel free to email/call our office to discuss how a Cash Balance Plan can work for your clients.

We look forward to speaking with you.

Every year, Susan Vollmer of CPD participates in the Making Strides Against Breast Cancer Walk at Jones Beach in memory of her sister, Joanne Piccinnini who passed away from breast cancer at the age of 31.  Susan and her mother were the first to participate; now, a few years later, Susan and her mother are joined by many friends and family to raise money for Breast Cancer research and to honor the memory of Joanne. This year, on October 16, 2011 CPD will join Susan and her team by matching the donations.
If you wish to make a donation to Susan’s team, click on the link below, then click “donate on my behalf”.

http://main.acsevents.org/goto/susanvollmerpage

For more information about National Breast Cancer Awareness Month, visit http://en.wikipedia.org/wiki/National_Breast_Cancer_Awareness_Month.

®Registered to Lee
National Denim Day.

You’ve decided to hire someone to handle your retirement plan insofar as compliance and reporting. . You’ve looked at your options and decided which kind of paid professional fits your needs.

Now the next step: Thoroughly vetting the professional.

Remember, regardless of who fills out your 5500 and sends it on to the IRS, when you sign your tax return, you are legally responsible for everything on it. So it’s crucial to hire a pro who’s not only knowledgeable, but also ethical.

Most tax preparers are honest and provide quality service. But as with any consumer transaction, it’s up to you, the buyer of the services, to make sure you’re hiring a true professional.

Here are some things to keep in mind when someone else prepares your return.

Check on IRS registration

This was going to be the rule this year, but too many fir ms that have NO accreditation and in some cases no employees with a single pension credential, raised such a stink, the government backed off. Having said that, do you really want someone with no depth of training and knowledge messing with your retirement? Make sure the person you hire is credentialed, and that doesn’t mean some sales recognition. (CLU, ChFC, …….)

Complaints count

Look into whether the preparer has any questionable history with the Better Business Bureau. Also check your state’s board of accountancy for CPAs, your state’s bar association for attorneys or the IRS Office of Professional Responsibility for Enrolled Agents, Enrolled
Actuaries and Enrolled Retirement Plan Agents. In addition look at the American Society of Pension Professionals and Actuaries (ASPPA) and the National Institute of Pension Administrators (NIPA).

Do they belong?

Check your advisors professional affiliations. Membership in such groups requires that a preparer follow a code of ethics and participate in continuing education programs.

Office hours are important

Make sure your professional will be around after the July filing deadline. Some offices ramp up just during filing season and then disappear as soon as returns are filed. Many aren’t really there at all as some major players in the field, outsource this work to foreign
entities.  But the IRS can come asking questions about a return months later. The person who helped you file it should be around so you can get the answers to any possible IRS questions.

Who does the actual work?

If your tax preparer is part of larger firm,
determine whether he or she will be the person actually doing your tax work or
whether your plan will be delegated to someone else in the office, perhaps a
person with less  training.

Also find out if your preparer exports returns for preparation. Foreign countries do not have the same security and privacy laws as the United States, nor is there any recourse should your information be compromised as a result of lax or nonexistent privacy procedures.

How do they charge?

Don’t hire a firm whose fee is based on asset size of the plan. The work is the work. It is just as involved to provide services to a plan with $200,000 as it is if the plan has $500,000. That’s usually an indication that they are more involved in “asset gathering” that in providing proper oversight to your plan.  In this environment, the preparer simply gets paid way more that the administration is worth; you just don’t see it.

Find someone who wants to know

Be wary of consultants  who aren’t concerned about documentation. Reputable
advisors will request to see your prior history and will ask you detailed questions to determine your qualifications for prior  deductions, credits and the like. It’s always
better that these questions are asked by your preparer and answered before filing,
rather than later by an IRS examiner.

Avoid blank return requests

Remember that warning about being responsible for the return you sign? If a tax preparer asks you to sign a blank tax return, find a new tax pro. Never sign a tax document before it’s finished and then only after you’ve read it carefully and understand the entries.

If you’re unsure about an entry and your  professional can’t explain it to your satisfaction, then don’t sign the return. A preparer who won’t or can’t explain the items on your 5500s and associated schedules is either incompetent or unscrupulous.

Sure, thoroughly checking out your pension professional  takes some time. But it’s
time well spent when it ensures that your retirement plan is truly in compliance.

http://www.benefitspro.com/2011/05/05/401k-fee-disclosures-what-they-mean-and-whats-at-s

Understanding Retirement Plan Fees and Expenses

 http://www.visualwebcaster.com/IRS/76865/reg.asp?id=76865