For frequently asked questions about fiduciary responsibilities and fiduciary types, please see the fiduciary information section of our website. The below frequently asked questions concern our service offerings.
Will AFS serve as the sole 3(16) administrator? No. Our business model is to serve as a delegated 3(16) administrator. We acknowledge our co-fiduciary status as a delegated 3(16) administrator in our engagement agreement.
Will AFS serve as an investment fiduciary? No. We are only available to serve as an administrative fiduciary.
What are the employer’s responsibility during the implementation process? During the implementation process, the employer will need to supply important plan records including a completed and fully executed plan document.
Does the employer remit employer contributions through the AFS website? No, the employer continues to remit employer contributions through the record-keeper website.
Some record-keepers offer revenue sharing programs. Does AFS participate in those programs? How is that reflected in your fees? AFS does not receive any indirect compensation from any record-keeper. We direct bill employers for our services.
May an employer choose to pay AFS fees from the plan? We believe that our services are consistent with DOL guidance regarding fees that may be paid from a plan. However, this determination must be made by the plan, and if necessary the plan’s ERISA counsel.
We need a specific administrative fiduciary service that is not listed on your website. Can you assist with that? We do offer custom fiduciary services, we invite you to contact us to discuss your need and we will see if we can assist you.