RETIREMENT PLAN SERVICES

The Co-op 401(k) Plan is a unique program consisting of many employers who all have individual needs, wants, and desires. Furthermore, the clients under this program range from the very small to the very large and from western grange supply stores to eastern dairy businesses to southern cotton gin operations. As such, the work on the Plan can be challenging. We at Milliman understand these challenges and are fully equipped to meet the needs and desires of our clients.

Background and Philosophy

In the early 1970s, Farmers Union Central Exchange (which was later to become part of Cenex Harvest States), developed a thrift savings plan for its affiliated local cooperatives. Today, that savings plan has matured into the Co-op 401(k) Plan administered by Milliman. 

The Co-op 401(k) Plan is a unique program in many respects. It transcends regional affiliation and involves cooperatives with just a few employees to cooperatives with several hundred employees. It has been designed to create a seamless benefit program for the employees of agricultural cooperatives nationwide.

However, the most important differences between this plan and other 401(k) plans being used by local cooperatives are the result of Milliman's philosophy towards the program.

• We believe that the plan participants are our ultimate customers.
  As a result, the program is designed with the plan participants in mind. Quality education materials, personal service, and timely accurate recordkeeping ensure that participants feel comfortable with their plan and understand their responsibility to participate in their own retirement planning. Portability features and the wide coverage area of the plan allow participants to follow a career path through the cooperative system without a discontinuity in retirement benefits.
• We understand that cooperative managers have a business to run.
  As a result, the administrative procedures under the plan are designed to minimize paperwork for office managers, bookkeepers and other staff at the local co-op.
• We believe that plan participants should be a partner in our success.
  As a result, Milliman fully and fairly discloses all fees associated with the plan and continually renegotiates the fee schedule under the program. There are no "special deals" for any cooperatives and growth of the program results in fee reductions for our customers.

The Co-op 401(k) Plan is the largest plan of its type in the United States. The growth that this program has achieved is a direct result of Milliman's commitment to quality and support from cooperatives across the country.