This survey was rolled out with a view to collate the various best case practices in the areas of outsourcing and also to give insights about the key considerations while selecting a vendor besides understanding the new trends in this space. Claims Processing; Form 5500 Filing; Distribution & Loan Processing; & Payroll Processing were indicated as the processes Most Outsourced by the TPAs as part of the results of this Survey.

1. www.sandmartin.com
New Delhi | Mumbai | Noida | Gurgaon
India
September 2016 © SandMartin Consultants
2016 – Annual Outsourcing Survey for TPAs
(Third Party Administrators)

2. Contents
• Executive Summary
• The Survey Results & The Analysis
• Outsourcing and it’s Importance
• Overview of SandMartin & How To
Leverage Benefits of Outsourcing
with it’s Experience and Capabilities
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
22

3. Executive Summary
• SandMartin (Outsourcing Experts), conducted a Survey in order to collate and
present the best case practices in the Areas of Outsourcing besides determining
the expectations while selecting the outsourcing service providers and how to
leverage the benefits of Outsourcing.
• Referrals (Word of Mouth), Seminars & Google Searches were deemed as the
most suitable mediums to select an outsourcing service provider while
Providing High Value Services & Improved Client Servicing were the two most
important objectives behind outsourcing. Experience & Reputation, Security,
English Speaking Ability and Robust Infrastructure were regarded as the most
important criteria’s in selecting the service provider.
• Claims Processing, Form 5500, Distribution & Loan Processing & Payroll
Processing were indicated as the processes most outsourced by the TPAs.
3
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
3

4. The Survey Results & The Analysis
4
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
4

5. Q. If you choose to outsource in the future, which
of the following mediums will help you to select the
most suitable provider?
A. Referrals (Word of Mouth), Seminars and Google
were deemed as the most suitable mediums to
select the outsourcing service provider.
Q. If you were to outsource your internal processes
in the future, what will your outsourcing objectives
be?
A. Providing High Value Services and Improved
Client Servicing were the two most important
objectives behind outsourcing.
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
5

6. Q. If you were to outsource your internal processes in
the future, what processes would you consider to do?
A. Claims Processing, Form 5500, Distribution & Loan
Processing & Payroll Processing are the processes
which would be considered to outsourced the most in
this domain.
Q. In deciding to outsource the internal processes in
the near future, what level of importance do you
believe you would place on the following criteria for
selecting the outsourcing provider?
A. Experience & Reputation, Security, English
Speaking Ability and Robust Infrastructure were
regarded as the most important criteria’s in selecting
the service provider.
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
6

7. Outsourcing & it’s Importance
8
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
7

8. • Outsourcing has grown in importance today because
economic and competitive pressures have made it
imperative for organizations of all sizes to focus on
their core competencies and turn to third-parties to
assume responsibility for other secondary corporate
functions. Leveraging third-party administrators can
reduce costs and improve operational efficiencies.
• There are certain phrases such as cost reduction,
improved process, access to best talent resource,
focus on core competencies and faster turnaround
time which essentially drive industries to consider
Outsourcing for their Retirement and Cafeteria Plan
Administration Outsourcing.
• There has been a particular trend for outsourcing, which has enabled companies, especially in western
Europe and the US, to streamline operations and optimize their back-end office processes, and
thereby take advantage of lower wage costs in India.
• Prolonged economic challenges and increased competition are driving businesses to deliver a lot more
than just ‘keeping the lights on’.” As a result companies are increasingly turning to outsourcing in an
effort to improve and transform the way they do business, also various Prior Researches has regarded
India as the Most Prominent Location to Outsource.
9
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
8

9. Overview of SandMartin & How to
Leverage the Benefits of Outsourcing
with It’s Experience and Capabilities
12
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
9

10. SandMartin – About Us
• SandMartin is one of the longest & largest established Cafeteria and Retirement Plan
Administration Outsourcing service providers to the firms in the US from India and has
successful track record of nearly two decades of providing outsourcing services to the TPA
Firms.
• We are a “One Stop Solution“ for assistance in the areas of Retirement Plan Accounting and
Administration, Cafeteria Plan Administration, including Health, Insurance and Royalty Claims
Processing to a wide range of firms.
• We have the team of 250+ employees and an expansion plan to add another 100+ employees to
the team in near future; the expertise, the experience and the process to deliver technically
robust & effective outsourcing solutions; multiple office locations in New Delhi, Noida, Mumbai
& Gurgaon in India. Covered by variety of International publications including CA Magazine,
Accountancy Age, Corporate International, etc.
• SandMartin would like to offer you with the state of the art infrastructure to cater to their
growing needs of business support in the areas of Retirement & Cafeteria Plan Administration
needs besides Accounting, Taxation & Payroll functions
13
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
10

11. Preparation of Plan
Document &
Restatement
Census Data
Management
Payroll, Loan,
Distribution,
Contribution,
Rollover Processing
Comprehensive
Accounting for all
Plan Activity
Preparation and
Analysis of Various
End Compliance
Tests
Signature Ready IRS
Form 5500,
applicable schedules
& SAR
Annual Reports to
Clients and annual
statements to
participants
SERVICES (Retirement
Plan Administration)
Other
misc. work Inc.
preparation of 1099-R’s,
5558, S S-4, 5330 etc.
SandMartin – Our Services (TPAs)
14
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
11

12. Retirement Plan Administration (RPA)
14
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
We are a “One Stop Shop” for all administration needs of a TPAs’ firm; our experience has
helped us in gaining strong domain expertise, which means effective solutions are provided
and most importantly a range of solutions are offered from one roof to a TPAs’, see the
numbers below which speaks for themselves:
Domain Jobs done
DC Plans Administered 5,000+
Form 5500 Prepared 8,000+
Daily Valuation Payrolls 40,000+
Distribution Processed 25,000+
Claims Processed 1.5 million+
12

13. Enrollment
Processing Payroll
Processing
Bank
Reconciliation
Plan
Reconciliation
COBRA
Administration
Claims Processing
(FSA, HRA & HAS)
Health Care
Dependent Care
Personal Choice
Tuition Claims
Transport Claims
125 General
Eligibility Test 25%
Concentration Test
SERVICES (Cafeteria
Plan Administration)
55% Average Benefit
Test
5% Owner Test
Non Discrimination
Testing
(Sec 125 & Sec 129)
SandMartin – Our Services (TPAs)
15
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
13

14. Cafeteria Plan Administration
15
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
• We have been handling end-to-end services in the areas of Cafeteria Plan
Administration. We have been processing and adjudicating the claims both out of
pocket and debit card platform like MBI. The adjudication includes generating the
participant’s checks as well as the denial letters in case of denial of the claims.
• Our experienced teams have knowledge of Health Care, Dependent Care,
Personal Choice, Tuition, Transport claims. We adjudicate and process over
50,000 claims in a month. The team has worked on various software like Wex
Health (formerly Evolution 1), Metavante/Benefits Payment System (both MBI
manual and debit card claims), Travis COBRA, COBRA EAS etc.
14

15. SandMartin is the outsourcing arm of Sunil Goel & Associates, CAs. We are one of the longest
& largest established TPA outsourcing service provider to the CPA firms US and have successful
track record of nearly two decades of providing outsourcing services to the CPA Firms.
SandMartin could cater to your growing needs of business support in terms of Outsourced
Assistance in the areas of Retirement & Cafeteria Plan Administration needs besides
Accounting, Taxation and Payroll functions
With SandMartin as your Outsourcing Service Provider in India, the firms:
• Do not need to invest huge amount of money & time in setting up their own centers
• Do not need to know the regulation’s & compliances in India
• Do not need to engage in hiring resources
• Have scalability to start with small operations and grow with time
• Access to the SandMartin’s experience & proven expertise of nearly two decades
• ISO certification for security in place (ISO 27001) and for the quality of work (ISO 9001) for
the complete peace of mind
18
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
SandMartin – What We Offer!
15

16. ISO Certifications: NASSCOM & STPI:
Accreditations of SandMartin Consultants
Infrastructure of SandMartin Consultants
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
16

17. ToDiscusstheSurveyResults&Trends,youmaycontact:
Mr.SunilGoel,FCA
Director
sgoel@sandmartin.com
20
2 0 1 6 - A n n u a l O u t s o u r c i n g S u r v e y f o r T P A s ( T h i r d P a r t y A d m i n i s t r a t o r s )
17