BENETRENDS THE RAINMAKER PLAN

Transcription

1 BENETRENDS THE RAINMAKER PLAN Step One: Establishing a Fidelity IRA & Qualified Plan Rollover or IRA Transfer Step Two: Establishing a New Profit Sharing Plan Step Three: Funding a Business Account

2 STEP ONE ESTABLISHING A FIDELITY IRA AND QUALIFIED PLAN ROLLOVER /IRA TRANSFER After you receive our welcome , you will receive a pre-filled IRA application with Fidelity Investments. (If you plan on using an existing IRA account for the Benetrends Rainmaker Plan, we will send you a Transfer Assets form to complete.) Once you receive an account number for the new IRA ( from our office or by logging into you will need to request rollover of your qualified plan assets into the new Fidelity IRA. You must contact the administrator of your existing plan (401k, Pension, 403b, and other qualified plans) and request a direct rollover into the new fidelity IRA. Electronic transfer is the preferable method for moving your funds to the IRA. This will save at least 1 week in the overall timeframe.

3 STEP ONE ESTABLISHING A FIDELITY IRA AND QUALIFIED PLAN ROLLOVER /IRA TRANSFER WIRE INSTRUCTIONS ACH-Electronic funds transfer Wire to: JPMorganChase Processing Bank: United Missouri Bank Address: One Chase Manhattan Plz, New York, NY ABA number: ABA /Routing #: Acct # (followed by fidelity acct #) For Credit: National Financial Services Acct Number: For benefit of: Fidelity Investments FBO (YOUR NAME HERE) For further credit: (9 digit fidelity account number) If unable to complete an electronic transfer, checks can be made payable to: FIDELITY INVESTMENTS FBO (YOUR NAME HERE). Checks can be sent to: Fidelity Investments Fidelity Investments PO Box or 100 Crosby Parkway Cincinnati, OH Mail Zone KCLJ-8010 (regular mail) Covington, KY (Overnight Mail)

4 STEP ONE ADDITIONAL ITEMS OF IMPORTANCE 401k and qualified plan rollovers can take some time, depending on the location of funds. We request that you contact your plan administrator once you receive our welcome . After our initial phone conversation, you will receive the necessary paperwork from us. You must fill these out right away. If your funds are already held within a qualified plan at Fidelity, you can initiate an internal rollover via or by calling the customer service number on your statement. This will take 1-3 days. Annuities: Variable annuities held at insurance companies are known to be very difficult, so please be proactive and find out immediately what they require to release your funds. If you own an annuity within an IRA, we will submit the transfer asset form but we will still need you to contact the annuity/insurance company to see what else may be required on your behalf. Qualified plan administrators may request a letter of acceptance from Fidelity. If your plan administrator requires a letter of acceptance, please call ( ) or Traynor Capital Management and we will request this from Fidelity Investments for you. Once your check arrives within the Fidelity IRA, we are required to wait 4 business days prior to being able to move funds into a newly created profit sharing plan for your new business.

5 STEP TWO ESTABLISHING A NEW PROFIT SHARING PLAN AT FIDELITY INVESTMENTS FOR C-CORP BUSINESS Upon receiving a copy of your final documents from Benetrends, we will send you an containing forms for the next part of the process. Forms that you will receive include: 1) Profit sharing retirement plan application 2) IRA distribution/rollover form to move funds from IRA into a profit sharing plan 3) Check/EFT/wire request for eventual disbursement into your corporate account. 4) Standing instruction form establishes a link between profit sharing/401k account at Fidelity and your corporate bank account. This will be used for multiple wires and will help to bring funds back into the retirement account. Please include a copy of a voided check from your corporate bank account when you return this form. 5) Wire opt-out form (optional) allows you to bypass wire verification phone call from Fidelity. (We will also send you an attachment that contains only the signature pages for the above five forms so that it is simple for you.) At the time that you receive these forms, you will need to establish a corporate bank account with a local bank that is convenient to your place of business.

6 STEP THREE FUNDING YOUR BUSINESS ACCOUNT After IRA funds are rolled into a profit sharing plan, we will contact you to verify the amount that you wish to have sent into your corporate account at the bank that you selected. We will initiate either a fed funds wire ($15 fee- same day transaction) or electronic funds transfer (no fee- 1-2 days). The amount of the disbursement(s) into your corporate account will be used to calculate a stock purchase from Benetrends. Additional cash tranfer within 90 days will be combined into the initial stock valuation. For any transfer into the corporate account that occurs beyond 90-days from the initial transfer, a second stock appraisal/valuation will be required. Please contact Benetrends to discuss the fees for the second stock appraisal.

7 INVESTMENT ADVISORY SERVICES TRAYNOR CAPITAL MANAGEMENT Traynor Capital Management can manage all assets that you do not use within the Rainmaker Plan. As a fee-only adviser, we do not receive any compensation from any products or transactional commissions. For Benetrends clients, we will offer a flat 1% advisory fee. Exchange traded funds an ideal way to invest retirement funds not used for the Benetrends Rainmaker Plan. Our ETF strategy consists of low cost, index-based exchange traded funds (I-Shares). Stock portfolios large cap, mid cap and small cap equity portfolios (account minimums may apply) Fixed income portfolio conservative fixed income portfolio with investments in corporate bonds, preferred debt securities, fixed income exchange traded funds and closed end funds. The average yield on these portfolios will range between 4.0%-7.5%, depending on portfolio construction. Our fixed income strategy can be used to help offset the low interest rate offered by business checking accounts.

8 CONTACT US Phone (610) or (888) Fax (610) or (610) Keith Traynor Marissa Frye Heather Wise Courtney Mangano Mike Dequevedo Forms can be found at: