Hicks Pension Services
Streamlining Benefits Distribution and Improving Participant Support
Hicks Pension Services is a full benefits advisory firm that manages distributions for their over 1500 benefit plan clients. As the business grew, founder Dave Hicks realized that administrative burdens for cash balance and defined contribution plans not managed by a record keeper would eat up a lot of staff time.
In 2005, Hicks made the decision that he wanted to outsource these services to an expert with the goal of becoming more operationally efficient and saving his client’s money.
The PenChecks Solution
PenChecks provided a turnkey payments distribution solution that reduced client costs and made Hicks’ pension administrators more efficient. PenChecks processes retirement plan distributions for over 130 plans with 5,500 participants, makes federal and state withholding payments and distributes 1099R reports. PenChecks also helps Hicks Pension Services comply with electronic filing of IRS payments requirements. All administrators use PenChecks and are trained to use the P3 technology platform where it is easy to set up a plan and add participants.
Plan administrators have access to live support to address questions or issues. PenChecks handles filling out the annual 945 forms and DE6 quarterly forms. Hicks also uses PenChecks missing participant IRA services, when plans terminate. This streamlines administration and improves compliance.
Working with PenChecks has reduced the costs of pass through fees to clients by 60%. Hicks has made PenChecks part of the basic service offering for non-record keepers. Additionally, each administrative team saves 2-4 days in clerical time a year by working with PenChecks.
Importantly, Hicks is sending out 1099R’s in early January and is not rushed. The P3 technology system allows Hicks plan administrators to view distributions and deposits online and PenChecks sends regular communications on the status of accounts.
The Hicks team benefits from always speaking to a live customer service expert if there are any questions or problems and often resolves issues in the same day.