BOSTON, Oct. 25 /PRNewswire-FirstCall/ -- John Hancock Retirement Plan Services (JHRPS) announced today the launch of the John Hancock Defined Benefit Program. A leader in the 401(k) industry, the addition of defined benefits to the John Hancock product roster expands its retirement plans offering. Both cash balance and traditional plans are available through the John Hancock program.
"The Defined Benefit Program broadens our retirement plan offering and is a good strategic fit. John Hancock defined benefit plans will be supported with same service and infrastructure excellence for which John Hancock Retirement Plan Service is known.* We can now provide our clients with defined benefit plans, 401(k) plans or both -- depending on the unique needs of that company," said Ed Eng, Senior Vice President, Product Development. "With the passage of the Pension Protection Act of 2006, we see an opportunity to grow this freshly invigorated market," he commented further.
Early experience suggests increasing interest in cash balance plans from a range of professional-dominated organizations and small businesses. These companies are looking for ways to maximize retirement contributions for their employees beyond the 401(k). Candidates typically include:
-- Professionals seeking to contribute more than $45,000 to their
-- Highly profitable companies of varying sizes,
-- Owners who are approaching retirement and are seeking ways to maximize
-- Professionals groups (doctors, CPAs, lawyers),
-- Family and closely-held businesses.
As with the 401(k)s that JHRPS provides, the defined benefit plans will
be offered exclusively through an unbundled model. Plan design and testing
and actuarial support will be provided by pension consultants or third
party administrators (TPAs) who constitute a key component of the JHRPS
value proposition. John Hancock's Lifestyle Portfolios are expected
|SOURCE John Hancock Retirement Plan Services|
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