The Value of an Annual Pension Plan Review

The Value of an Annual Pension Plan Review

Employers prepare budgets, complete information returns, and conduct employee reviews on a yearly basis, but it is equally important that time is set aside for an annual company pension plan review.

An annual review provides peace of mind that your plan is running smoothly; that it follows the best practices of the Capital Accumulation Plan (CAP) Guidelines, and is in line with the Pension Benefits Act. A review also helps to ensure that the plan remains effective for members, and useful in attracting and retaining talent.  It is also a good time to plan for any educational requirements for the year.

Cowan provides clients with a document that summarizes activity within the pension plan. We document all decisions, compliance requirements, legislative updates, plan design changes, investment fund changes, plan member communications, and education sessions.

Ultimately, the legal responsibility for the pension plan could lie with the Board of Directors or the Pension Committee, and the completed report may be forwarded to the board of directors, the pension committee, and/or the company auditors to illustrate the governance practices of the company plan.

For more information, please contact your Cowan Pension Consultant.