What should medical practice partners ask about a cash balance plan?

Ask for a partner-by-partner model and a whole-workforce cost schedule. A cash balance plan is a defined benefit arrangement, so do not treat the proposal as a flexible personal savings account. Department of Labor — Cash balance pension plans questions and answers

Have the administrator or actuary explain contribution obligations, employee coverage, fees, downside funding scenarios and exit consequences. Separate owners’ contributions, which may remain retirement assets, from current tax benefits and employer costs. Obtain each partner’s agreement on the funding and allocation assumptions before a collective approval.