Employee Stock Ownership Plan (ESOP)

An Employee Stock Ownership Plan (ESOP) is a defined contribution plan in which the employees are owners of the company. As owners, employees may be more motivated to improve corporate performance because they can benefit directly from company profitability. The primary investment of the ESOP must be company stock, although most plans will also include a cash fund for transactions.

In fact, Nyhart has been an ESOP for 30 years, so we know a little about this topic.

Nyhart provides the following consulting and administration services for ESOPs:

  • Initial feasibility study
  • Allocation and statement preparation
  • Actuarial repurchase study
  • Government compliance
  • Form preparation
  • Document preparation

Converting Your Company To An ESOP

ESOPs are an incredibly powerful retirement benefit approach and there are many issues to consider before committing to this plan type.

Nyhart is an ESOP, which uniquely qualifies us to understand the nuances of converting from a private firm to an ESOP. Our team of experts brings an insight to ESOPs which other non-ESOP firms cannot match, including the use of actuarial experience on repurchase studies.

As one of the nation’s largest independent actuarial and employee benefit firms, Nyhart  advisors deliver personalized analyses and recommendations. As both practitioners and consultants, our advisors can translate the results into common language that will assist your executive team and investment committees in making sense of the impact and status of your retirement benefit projections and requirements.

Our consultants are fully accredited through a number of organizations such as ASPPA (American Society of Pension Professionals & Actuaries), SOA (Society of Actuaries), and CCA (Conference of Consulting Actuaries).

Why Nyhart?

Nyhart has been an ESOP-owned company for 30 years, so we understand how ESOPs work better than nearly any other firm. As such, our clients regularly recognize us for the level of service we provide and the attention to detail, independent voice and reliability of our calculation and administration services. We are extremely client-driven.

Dedicated teams, direct access

Each client at Nyhart has a dedicated team of actuaries, plan advisors and administrators. We provide you direct access to your team so your questions and issues can be handled confidentially by a team who understands your business model and can immediately help you resolve your issues as you evaluate an ESOP option.

Ask Nyhart

Are you interested in learning how Nyhart may be able to provide the long-term partnership to design, manage and/or administer an Employee Stock Ownership Plan for your company? Please call us at (317) 845-3500 or email us at connect@nyhart.com today and we will be in touch quickly. We look forward to earning your business.