At PracticeCFO, we help setup and maintain qualified retirement plans, including, but not limited to, Individual Retirement Accounts (IRAs), Defined Contribution Plans (401(k) Profit Sharing), and Defined Benefit (Pension) Plans. We specialize in low-cost, low maintenance, tax efficient plans. We realize that fees, which erode the value of your account over time, and taxes are big obstacles in the way of your financial independence.

PracticeCFO is an independent Registered Investment Advisor (RIA) acting in a fiduciary capacity, the highest standard of care in the advisor-client relationship. We always act in our client’s best interest and provide objective, independent advice and recommendations. We don’t receive commission or other payouts from investment companies for the recommendations we make or from placing trades.



New Retirement Plans

PracticeCFO can help design a 401(k) Profit Sharing plan or 401(k)/Defined Benefit combo plan that is right for your practice. Once your plan is set up, we help maintain the plan throughout the year, working directly with the Third-Party Administrator to keep the plan in compliance and process distributions. We do all the heavy lifting during year-end administration in conjunction with the Third-Party Administrator so that you can focus on what you do best, running your business.


Retirement Plan Transfers

If you already have a retirement plan in place, we will evaluate your plan at no charge. Our focus will be on simplifying the plan (for ease of administration) and reducing costs. The money that you save in costs will be retained in the plan to compound and grow over time. If you hire PracticeCFO as your 3(38)-investment manager, we will help you transfer your plan under our management. Then we will work with the Third-Party Administrator to make the amendments necessary to optimize your contributions and maximize your tax benefits.


3(38) vs. 3(21) Investment Fiduciary Services

PracticeCFO provides two types of investment fiduciary services, in accordance with the Employee Retirement Income Security Act (ERISA): 3(38) services and 3(21) services. As a 3(38) Advisor, PracticeCFO has a higher fiduciary responsibility to plan participants and bears greater responsibility for the management of plan assets. As a 3(21) Advisor, PracticeCFO serves in a co-fiduciary role with respect to investment advice. This means that we make recommendations to the plan sponsor (i.e. you), and you have the ultimate discretion as to whether you accept or reject the advice.

PracticeCFO typically recommends 3(38) services. The structure is particularly well suited for small businesses and allows you to fully outsource the investment management so that you can focus on running the business. By hiring PracticeCFO as a 3(38) advisor, you fully offload the risk for investments to us and reduce your fiduciary responsibility to monitoring our management of the plan.


Full Service 3(38) – Investment Management

Under the ERISA, you (as trustee) are required to carry out your fiduciary duties to plan participants with the care, skill and diligence of a prudent “expert”. Since many practice owners lack the investment knowledge needed to meet their fiduciary obligation regarding retirement program investment management, PracticeCFO takes on this risk for you. Under ERISA law, as a 3(38)-investment manager, we become a fiduciary with respect to the plan and take on full discretionary responsibility for selecting, monitoring, and changing investments. The scope of our services includes:

  • Conducting a risk assessment
  • Developing a diversified asset allocation model
  • Developing an Investment Policy Statement (IPS)
  • Delivering participant education through an initial group seminar
  • Investing plan assets in accordance with the IPS
  • Be available to employees for all questions related to the retirement plan
  • Adjusting your payroll deferrals (if you use our recommended payroll provider)
  • Determine the most beneficial funding scenario each year and discuss with trustee


Integrated Retirement Planning

When PracticeCFO manages your retirement plan, we have full visibility into your retirement finances. This allows your CFO advisor to integrate retirement planning with business and tax planning, which is essential for reducing your tax liability and long-term planning. Your CFO advisor will be in a better position to help you budget responsible amounts for saving and spending to ensure your accumulated assets are enough to meet your financial goals. Armed with more information, we can help you achieve financial independence quicker.

Your CFO Advisor will work with you to develop and execute a consistent funding strategy for your plan throughout the year, so that you can avoid surprises at year-end. Consistent funding leads to better investment performance because it allows us to dollar-cost average purchases during periods of volatility (i.e. buy the dips). Your advisor will work with the Third-Party Administrator to optimize your contributions and maximize your benefit.

When you are ready to retire, PracticeCFO will help close your retirement plan. We will ensure the plan complies with applicable laws and regulations prior to shutting it down and transferring assets out of the plan. Our in-house broker can assist with selling your practice, working closely with your CFO advisor to consolidate your retirement assets. From there, your CFO advisor will work with you to develop a distribution strategy that fits your needs.

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