PlanPremier-TPA® | American Funds

American Funds Offers Investment Flexibility and Reliable Ongoing Service — at a Competitive Price.

Choose PlanPremier-TPA, which is designed for larger 401(k) plans and provides access to a wide range of investments from a number of well-known investment managers.

PlanPremier-TPA

A third-party administrator (TPA) assists the plan sponsor with plan document design, compliance testing, eligibility tracking and Form 5500 preparation.

 

Save Your Clients Money

The American Funds fixed-dollar approach to plan pricing is designed to be low-cost and transparent and to provide better overall value. Our investment and recordkeeping pricing can help you win and retain plans on the basis of our low all-in plan cost.

We also offer a variety of compensation options for TPAs and fee-based and commission-based advisors. Recapture accounts for TPA and advisor compensation are available for share classes R-2, R-2E, R-3 and R-4.

A Closer Look at PlanPremier-TPA Pricing

With the American Funds approach to plan pricing, plan assets – depending on the share class – generate a plan credit that can offset plan expenses. Over time, net plan expenses, as a percentage of assets, will decrease as assets grow.

Step 1: Determine the annual recordkeeping fees based on the number of plan participants.

Step 2: Choose a share class depending on (1) how the plan sponsor wishes to pay for the recordkeeping fees (with or without expense ratio revenue generated by plan credits) and (2) what level of compensation is necessary to meet the plan’s service requirements.

table-tpa-recorkeeping-fees-base-fee
table-tpa-aproximate-plan-credit

Plan credit and advisor and TPA compensation, if any, are included in the average expense ratio.

An example of how plan credits can offset recordkeeping expenses:

  • PlanPremier-TPA solution, Class R-3 shares
  • $2.5 million plan assets

Gross annual recordkeeping fees

$5,200

 

 —

Plan credit/Expense offset (annual credit rate times plan assets)

$6,625

 

=

Net annual recordkeeping fees (credit)

($1,425)

Average expense ratios shown are provided only as examples. The actual average expense ratio depends on the investments selected for the plan and participant allocations. Expense ratios reflect applicable fee waivers and expense reimbursements, without which expenses would be higher. The average expense ratio shown for each PlanPremier-TPA share class is for all funded investments and is weighted, based on average daily net assets in the program as of 12/31/2016; however, the weighted average expense ratio for the R-5E share class, which was first offered in PlanPremier on May 1, 2017, is based on program assets invested in the American Funds investment options in all share classes. Accordingly, more weight is given to funds with more assets. Actual expense ratios, as reported in each fund’s prospectus available at the time of publication, range from 0.25% to 2.66% for R-2; 0.53% to 2.08% for R-2E; 0.20% to 2.23% for R-3; 0.05% to 2.00% for R-4; 0.05% to 2.15% for R-5E; 0.05% to 1.99% for R-5; and 0.05% to 1.93% for R-6.


Build a Stronger Plan Menu

With PlanPremier-TPA your clients can develop a diversified menu intended to improve retirement outcomes.

  • Your clients can start with a target date series advisors have voted “best-in-class.”1
    • They can distinguish themselves by choosing the American Funds Target Date Retirement Series®, which leverages a distinct approach designed to promote better retirement investment outcomes.
    • Better still: Even though the American Funds Target Date Retirement Series is available on many other providers’ platforms, it may be less expensive in an American Funds retirement plan solution.
  • Then they can build a diversified menu using an expansive choice of investments.
    • Sponsors can then choose powerful funds from American Funds, an investment leader that is the most widely used provider in DC plans, spanning all AUM segments.2
    • Additionally, sponsors can complete the plan's core fund lineup from among 1,000 funds offered by more than 40 well-respected investment managers.*

Learn more about our target date series and our portfolio series:

 American Funds Target Date Retirement Series

 American Funds Portfolio Series

The American Funds Target Date Retirement Series and other highly regarded American Funds are also available on many other DC platforms.

Not all of the American Funds are available in our retirement plan solutions.

TPA Assistance and Information

(800) 421-9900


Trust a Proven Leader

The true test of any long-term retirement plan solution is the level of service and support the provider offers to you as the TPA as well as to your plan sponsor clients and their plan’s participants.

Retirement plan solutions that can benefit you and your clients.


Advisor Benefits
Personalized Sales Support

Plan Sponsor Benefits
Reliable Ongoing Service

Participant Benefits
Improved Participant Outcomes
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Get personalized sales support to build their retirement plan business

  • An experienced sales team, comprising specialists who’ve taken the time to understand their business needs, can help them win and retain more plans.
  • Highly effective webinars, videos and literature can help advisors enroll employees and educate plan participants.
  • Learn more about the capabilities, reports and information PartnerLink® provides to help you support your retirement plan business on the advisor demo site.
  • A comprehensive advisor website makes it easier to offer more value-added services to clients.
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Rely on ongoing service to help retain satisfied clients

  • A robust plan sponsor website saves time and effort, helping sponsors monitor the health of the plan and manage day-to-day tasks with ease.
  • Plan sponsors can automatically track employee eligibility, conduct paperless enrollment and schedule periodic deferral increases3.
  • A Payroll Bridge feature processes contributions electronically, cutting sponsors’ work in half as it connects their payroll provider and American Funds4.
  • A knowledgeable in-house support service team addresses and resolves issues quickly.
  • Fiduciary support is available for plan sponsors who want help selecting and monitoring investments with optional ERISA 3(21) and 3(38) investment services through Wilshire Associates Incorporated (Wilshire®)5.
  • Learn more about the online features that will help plan sponsors manage their plans on the plan sponsor demo site for PlanPremier-TPA.
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Help improve participant outcomes with enrollment and education support

  • An engaging suite of materials encourages employees to enroll and stay invested in the plan.
  • A comprehensive ongoing educational program — including our Investing for Life suite and Lunch ‘n Learn seminars — helps guide participants through every stage of retirement planning and investing. Many of these materials are also available in Spanish.
  • A customized progress report brochure helps participants determine how successful they are in pursuing their retirement income goals.
  • Learn about the online tools and resources available to plan participants on the participant demo site.
Advisor Benefits
Personalized Sales Support

Get personalized sales support to build their retirement plan business

  • An experienced sales team, comprising specialists who’ve taken the time to understand their business needs, can help them win and retain more plans.
  • Highly effective webinars, videos and literature can help advisors enroll employees and educate plan participants.
  • Learn more about the capabilities, reports and information PartnerLink® provides to help you support your retirement plan business on the advisor demo site.
  • A comprehensive advisor website makes it easier to offer more value-added services to clients.
Plan Sponsor Benefits
Reliable Ongoing Service

Rely on ongoing service to help retain satisfied clients

  • A robust plan sponsor website saves time and effort, helping sponsors monitor the health of the plan and manage day-to-day tasks with ease.
  • Plan sponsors can automatically track employee eligibility, conduct paperless enrollment and schedule periodic deferral increases3.
  • A Payroll Bridge feature processes contributions electronically, cutting sponsors’ work in half as it connects their payroll provider and American Funds4.
  • A knowledgeable in-house support service team addresses and resolves issues quickly.
  • Fiduciary support is available for plan sponsors who want help selecting and monitoring investments with optional ERISA 3(21) and 3(38) investment services through Wilshire Associates Incorporated (Wilshire®)5.
  • Learn more about the online features that will help plan sponsors manage their plans on the plan sponsor demo site for PlanPremier-TPA.
Participant Benefits
Improved Participant Outcomes

Help improve participant outcomes with enrollment and education support

  • An engaging suite of materials encourages employees to enroll and stay invested in the plan.
  • A comprehensive ongoing educational program — including our Investing for Life suite and Lunch ‘n Learn seminars — helps guide participants through every stage of retirement planning and investing. Many of these materials are also available in Spanish.
  • A customized progress report brochure helps participants determine how successful they are in pursuing their retirement income goals.
  • Learn about the online tools and resources available to plan participants on the participant demo site.

What’s Next

Get a Preliminary Fee Quote

Use Price-It Tool℠ to get an estimate of plan costs.

 

1 Market Strategies International, Cogent Wealth Reports, Retirement Plan Advisor Trends™, September 2016. Methodology: There were 508 respondents to a web survey conducted from August 16 to August 24, 2016. The respondents consisted of financial advisors managing defined contribution plans.
2 Pensions & Investments, “Largest DC Managers By Total Assets: 2016,” August 2016
3 This feature’s availability is dependent on information provided in the payroll file.
4 A wide range of payroll providers are approved to work with American Funds.
5 Wilshire’s recommendations are subject to any generally applicable limitation on the investment options available, including limitations imposed by the plan’s recordkeeper or financial professional. Plans that elect target-date mapping at plan conversion may only choose coverage under the 3(21) Select List. Wilshire® is a registered service mark of Wilshire Associates Incorporated, Santa Monica, California. All other trade names, trademarks and/ or service marks are the property of their respective holders. Wilshire is not an affiliate of any member company of American Funds. Wilshire is solely responsible for the program material and its investment recommendations. The complete terms and limitations of Wilshire’s 3(21) Investment Adviser and 3(38) Investment Manager programs may be found in the applicable agreement between the plan sponsor and Wilshire.


Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing. 

Although the target date funds are managed for investors on a projected retirement date time frame, the funds' allocation strategy does not guarantee that investors' retirement goals will be met. The target date is the year in which an investor is assumed to retire and begin taking withdrawals. American Funds investment professionals manage the target date fund's portfolio, moving it from a more growth-oriented strategy to a more income-oriented focus as the fund gets closer to its target date. Investment professionals continue to manage each fund for 30 years after it reaches its target date. 

Content contained herein is not intended to serve as impartial investment or fiduciary advice. The content has been developed by Capital Group, which receives fees for managing, distributing and/or servicing its investments.

Information provided on this website is intended for use by financial advisors with persons who are eligible to purchase U.S.-registered mutual funds.