How much does it cost to provide administration services for one DB plan member for one year? How many pension plan members can be serviced by one plan administrator? from our experience, great software helps reduce the cost per member while the number of members per administrator go up.

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Defined Benefit

Actuarial Tools, Advanced Processes

Defined Benefit (DB) plans are like ocean tides; when the water goes down in one part of the world it is rising somewhere else. Some countries have seen a sharp decline in DB plan participation in recent years, while in other parts of the world, DB plans are preferred by workers. In both cases, accurate administration is required to take care of the plan members; PX3000^TM /DB gives administrators the power to get the job done right.

One notable area of inefficiency in DB administration is the performing of pension calculations upon the termination, retirement, or death of a plan member. Many administrators outsource these calculations to an actuary, which drives up the average annual administration cost per plan member. PX3000^TM/DB reduces these administration costs because the software performs these vital calculations.

With PX3000^TM/DB, an administrator can set up and track any number of pension plan members for multiple employers in multiple divisions and locations and with any number of special benefit provisions, classes, and grand-fathered benefits. PX3000^TM/DB was built to take into account the fact that every DB pension plan is unique, so the system is rules-based and parameterized for fast configuration and utilizes a nimble architecture to enable cost-effective customization.

PX3000^TM accommodates all aspects of pension administration from plan set-up, to member enrolment, to production of membership certificates, and to all calculations and reports. PX3000^TM/DB guides the administrator through the entire administration process, such as communicating with the plan member at key moments, producing member statements and legislated reports, and even providing settlement instructions for plan member investment transactions. The software also includes modeling tools for "what if" pension computations.

The DB algorithms developed by Penad since 1983 have been used to administer hundreds of DB pension plans. PX3000^TM/DB is much more than "just software", it is a proven methodology for administration success, developed by Penad's team of DB specialists.