401(k) Specialist Issue 3 - 2022 - 25

OCTOBER
TONY POWERS, KerberRose Retirement Plan Services
3
Servicing 401(k)s for the
Right Reason
TONY POWERS TOLD US why he got into the 401(k) business. It sounded smart enough-a
wealthy, accredited investor was unlikely to give a 20-something advisor that's fresh out of
college a significant portion of their assets.
However, keeping them out of compliance trouble by identifying potential administrative
pitfalls was something else, so he studied up on all things ERISA, all the boring legalese and
minutiae no one else would touch. It worked, and business owners flocked.
" Many small business people don't have the time to know what they need to know, so they
pretty much put it all on me, " Powers explained.
Today, the Wisconsin-based KerberRose Retirement Plan Services team manages 180 plans
and $500 million as of July 31, 2022, as part of a larger CPA and wealth management firm.
It wasn't until further in the interview that Powers felt comfortable enough to reveal why
he really gravitated to 401(k)s so early in his career.
" You asked what makes me different, and we discussed my strategic entry into 401(k) out
of college, " he said. " It was much easier to show technical knowledge of 401(k) and ERISA
than to get a 50-year-old to trust me with their life savings. We didn't really touch on the fact
that my parents split when I was young. I was raised by a single mother with four children
that was just trying to make ends meet. A big reason I work with 401(k) plans is that it allows
me to help those that need it the most. "
He rightly noted that most wealth management firms won't work with a single mom with
four kids trying to put food on the table and pay bills.
" 401(k) plans give my team and me the ability to help those that wouldn't get the personalized
services anywhere else. "
He gave us a great example; a barbershop/hair stylist plan started in 2016. The average
annual wage is $24,000, and the storefront temporarily closed due to COVID.
Of the 140 employees, 127 are currently enrolled, which is a 91% participation rate. The
plan has $1,188,648.12 of assets and deferrals average 6.18%.
" I admit I have some work to do on the deferral rate to get to my goal of 10%, but I'm
proud of our success, " Powers humbly added.
With the mergers and acquisition activity currently happening in 401(k), we wondered
why he and the team hadn't yet been acquired.
" I think I'm staying off most people's radar, for the most part, sitting up here in northern
Wisconsin, " he initially concluded before, true to form, revealing the truth. " I got into 401(k)
because I think I can help a lot of people and that's why I've been focusing on bringing on
more advisors. Frankly, we still do a lot of startup plans because I think a lot of people need
help, and that's the best way to go about it. "
" A big reason I
work with 401(k)
plans is that it
allows me to help
those that need it
the most. "
Tony Powers, AIF/CFP/CRPS, is
with KerberRose Retirement Plan
Services, a division of KerberRose
Wealth Management.
ISSUE 3 2022 | 401kSpecialist.com
25

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401(k) Specialist Issue 3 - 2022

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