“Reducing the fees on your corporate retirement fund could mean as much as 30% more income in retirement for members,” says Cedrick Pila, Business Development Manager at 10X Investments. “Moving your corporate fund to a low-cost provider is an efficient and inexpensive way to reward your staff.”
The average fee charged by the 10X corporate retirement fund is 0.6%, less than a third of the industry average of 2%.
“A difference of 1.4% might not sound like a lot but consider 1.4% of the total value of the whole company’s retirement savings compounding every year, and you realise what a difference that would make,” says Pila.
Bosses who think this couldn’t apply to their fund might be interested to hear that 10X Investments has done more than 100 cost comparisons for corporate pension funds, and the 10X option was cheaper in virtually every case.
Whether the cost saving gained by bringing a corporate fund across to 10X manifests in some extra cash for every employee every month or, for people who kept their contribution steady, up to an extra 30% in retirement income, this really is “the bonus of bonuses”, and it will cost the business nothing, says Pila.
In fact, it will most likely save the business in money and in headaches since 10X’s single low fee includes a full suite of services: all the admin, the employee benefits consulting, and payroll and human resources training. Most providers charge separately for all these services.
Pila adds that this is a bonus for employees that business owners can proudly tell their shareholders about since it will most likely free up cash by reducing the admin and creating added efficiencies across the HR and finance teams.
For members, there is more to celebrate than extra cash every month, or a much healthier pension when they retire, they will also be able to access My10X, a sophisticated-yet-simple, high tech member portal, to manage their retirement savings.
In these lean times, when every penny must work harder and harder, revisiting your employees’ retirement fund or, in fact, moving your umbrella fund to 10X really is a no-brainer.
“Either way,” concludes Pila, “what have you got to lose by getting 10X to do a fee analysis and comparison with your current fund. It is completely free and there is no obligation at all, kind of like giving your business a bonus too.”