While third-party administrators (TPAs) offer several advantages for retirement plan administration, there are also some common misconceptions associated with them.
Here are a few misconceptions you may come across:
Loss of Control: Some advisors fear that partnering with a TPA means relinquishing control over their clients' retirement plans. However, at Trinity, this is not the case. Working with Trinity is a collaborative process, where you maintain control over plan design, investment options, and client relationships. Our consultants acts as a knowledgeable partner, providing administrative support, and expertise while adhering to your guidelines.
Costly Expense: It's a common misconception that engaging a TPA is an expensive undertaking. While there are costs associated with TPA services, these expenses are often outweighed by the time saved, the expertise gained, and the potential reduction in fiduciary liability. Trinity offers competitive pricing, and the value we provide is in terms of efficiency, compliance, and support that makes us a cost-effective solution for retirement plan administration.
Limited Customization: Some advisors may believe that working with a TPA means adopting a one-size-fits-all approach to retirement plan administration. However, at Trinity, we are highly flexible and can customize our services to align with your clients' unique needs. We can assist in designing tailored retirement plans that suit your clients' goals, incorporating specific features and options as required. We understand that each client's situation is different and can accommodate those differences accordingly. Click here to view a list of customized administrative services. [standard/enhanced/complete services link to website]
Complexity and Inaccessibility: There's a perception that TPAs introduce additional complexity and bureaucracy to the retirement plan administration process. At Trinity, we have streamlined processes and user-friendly technology platforms that simplify plan management. We provide an online portal and resources that make it easy for plan sponsors and participants to access and manage their accounts. Furthermore, we have a dedicated Relationship Management team and Distribution department available to address any questions or concerns promptly.
Interference with Client Relationships: Advisors often worry that involving a TPA in retirement plan administration may weaken their client relationships. In reality, partnering with Trinity can enhance those relationships. By offloading administrative tasks to Trinity, advisors can devote more time to cultivating client relationships, providing personalized financial advice, and focusing on strategic wealth management. Our expertise can support the advisor's efforts and contribute to the overall client experience.
By leveraging Trinity’s specialized knowledge and resources, you can enhance your clients' retirement plan offerings and focus on delivering comprehensive financial advice and services.
Contact your Regional Vice President/Retirement Sales to learn more