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Benefits May 13, 2008
Medical Firms Most Frequent Cash Balance Users
May 13, 2008 (PLANSPONSOR.com) - Medical firms make
up more than a quarter of employers offering cash balance
plans, according to a new plan census by an Encino,
California-based cash balance consultant.
Reported by Fred Schneyer
A news release from Kravitz said that among the other biggest users of the cash balance plan design are manufacturing firms, 14%; dental firms, 9%; legal services firms, 9%; and scientific and technical industries, 7%. Kravitz classified 16% of the cash balance employers in the “other” category.
According to the Kravitz data, there were 1,755 new cash balance plans created in the past five years versus 571 for the prior five-year period.
California had the most cash balance plan employers with 462 plans or 13% of the nation’s total, followed by New York at 405/11%, Ohio at 293/8%, Illinois 253/7%, and New Jersey at 237/7%.
The Kravitz data also showed 228/6% of the plans had more than 10,000 active participants, 510/14% had 9,999 to 1,000 participants, 444/12% had 999 to 100, and 560/16% had 99 to 25 participants.
More information is available at www.cashbalancedesign.com .