Balance Forward Accounting is the traditional method of participant accounting. It might also be called the accrual method of participant accounting. The balance forward method looks back over an accounting period (usually three, six or 12 months) and tallies up total contributions, investment income, withdrawals, transfers and forfeitures. These total amounts must then be attributed to individual participants by type of contribution and investment category. Individual amounts are recombined to develop individual participant account balances. Participant balances must add up to total plan assets.

The Balance Forward method is useful for plans which are based solely on employer contributions and plans that do not permit participant investment selection. It is also appropriate for many new plans while participant balances are still small. This method may also be used by employers who wish to keep plans simple, inexpensive and flexible.

McCready and Keene is one of the leaders in the country when it comes to handling Traditional Balance Forward Defined Contribution Plans. As one of the largest and most experienced retirement plan specialists, we tend to get the complex cases that our competitors simply can't handle, such as plans for companies with complex ownership structures that require multiple tests to determine compliance with regulations. Clients also turn to us for our flexibility and our creativity in designing plans and participant statements to meet unique needs.

As a new Balance Forward client your company will be assigned to a dedicated team that includes a Consultant, an Attorney or Paralegal who will oversee compliance issues, an Allocator, and an Allocation Manager who will supervise the establishment of the plan before participants are assigned to their permanent Allocator. By having a dedicated team assigned to you, you are able to talk to the same few people every time you call, rather than always being bounced around to a different person who doesn't always know the specifics of your plan, as happens at most retirement plan companies.

To learn more about specific services available to Traditional Accounting clients, click on a link below:

Consulting
Plan Design And Interpretation
Plan Drafting
Employee Communication
Plan Mergers, Acquisitions and Spin-offs
DC Record Keeping - Traditional
Compliance Testing
Form 5500 Completion with Schedules
Coordination With Other Advisors