401(k) Plan Valuation
Globally Certified (CVA • ASA • ABV® • MRICS)
Valuation Experience
Valuations Completed
Industries Served
3-5 Days
When Your 401(k) Holds Non-Traded Assets, FMV Is Everything
401(k) plans holding closely held company stock; private equity interests, real estate, or other non-publicly traded assets cannot rely on market prices. ERISA and Department of Labor (DOL) regulations require an independent credentialed appraisal - and non-compliance exposes plan fiduciaries to personal liability, prohibited transaction penalties, and plan disqualification.
At Transaction Capital LLC, every 401(k)-plan valuation is prepared and signed by a credentialed appraiser - not software, not a generalist accountant, not an automated platform.
Our 401(k) Plan Valuation Services
Get an ERISA-Compliant 401(k) Plan Valuation for Your Company Today.
401(k) Plan Valuation Methods We Use
| Approach | Best For | Key Methods | Formula |
|---|---|---|---|
| Income Approach | Closely held businesses and income-producing plan assets | DCF, Capitalization of Earnings, MPEEM | PV = FCF / (1 + WACC)^n |
| Market Approach | Plan assets with observable market data or comparable transactions | GPCM, Guideline Transaction Method, NAV | Value = Multiple x Asset Metric |
| Asset Approach | Asset-heavy holdings, fund interests, or distressed plan assets | Net Asset Value (NAV), Adjusted Book Value | NAV = Fair Assets − Fair Liabilities |
Discounted Cash Flow (DCF)
Option Pricing Model (OPM)
Net Asset Value (NAV)
Monte Carlo Simulation
When Do You Need a 401(k) Plan Valuation?
- Annual ERISA Reporting - DOL requires FMV of non-publicly traded assets at plan year-end for Form 5500.
- Participant Distributions & Withdrawals - Non-publicly traded assets must be valued at FMV before distributions or loans.
- Plan Termination - Final asset FMV required for participant account allocation before wind-down.
- QDRO Proceeding - 401(k) assets in divorce require independent FMV for equitable allocation.
- Prohibited Transaction Exemptions - DOL requires independent valuation to support PTE applications.
- Employer Securities Transactions - Purchase or transfer of closely held stock triggers ERISA Section 3(18) requirements.
- Plan Mergers & Spin-Offs - Independent FMV required when combining or separating qualified plan structures.
- DOL Large Plan Audit - Plans with 100+ participants require independent valuation for hard-to-value assets.
- In-Kind Contributions & Rollovers - Non-cash contributions require IRS- and DOL-documented FMV at date of transfer.
Not Sure Whether Your Plan Requires a Valuation?
Who Needs a 401(k) Plan Valuation?
401(k) Plan Valuation by Asset and Plan Type
Methodologies and compliance rules vary significantly by intellectual property category:
| Asset / Plan Type | Typical Methodology | Key Consideration |
|---|---|---|
| Closely Held Employer Stock | Income + Market Approach | ERISA Section 3(18) requires independent qualified appraisal for every plan asset transaction |
| Private Equity & VC Fund Interests | NAV, DCF, or Market Approach | ASC 820 Level 3 inputs required; IPEV guidelines applied for fund-level reporting |
| Real Estate Held in Plan | Income Approach / Sales Comparison | Property income, occupancy, and comparable sales govern the FMV conclusion |
| Hedge Fund Interests | NAV or Adjusted Book Value | Side pocket assets and gate restrictions affect realizability and FMV |
| Structured Products & Fixed Income | Cash Flow Modeling, Credit Spread Analysis | Illiquidity and credit risk adjustments applied under ASC 820 Level 3 |
| Partnership & LLC Interests | NAV or Income Approach with DLOC / DLOM | Transfer restrictions and minority positions require discount analysis |
| Startup & Pre-Revenue Equity | OPM Backsolve, PWERM | Liquidation preferences and capital structure complexity modeled explicitly |
| In-Kind Contributions | Asset-Specific Methodology | IRS and DOL require documented FMV at date of contribution to the plan |
| Plan Termination Assets | Multi-Approach Analysis | Asset-by-asset FMV required for final participant account allocation |
Benefits of a Professional 401(k) Plan Valuation
Find the Right Value for Your 401(k) Plan Assets
with Transaction Capital LLC.
We believe in growing with our clients and offering tailored solutions.
How Our 401(k) Plan Valuation Process Works
Free Consultation
Discuss your plan assets, compliance trigger, and timeline to receive a flat-fee quote.
Document Collection
Securely upload plan documents, asset schedules, financials, and operating agreements.
Analysis & Modeling
Credentialed analysts apply ERISA- and IRS-approved methods to build audit-ready FMV models.
Draft Report Delivery
Receive your complete draft - methodology, analysis, and conclusions - before payment is due.
Final Report & Support
Signed report delivered immediately. DOL audit defense and fiduciary support included at no charge.
What Your 401(k) Plan Valuation Report Includes
- Executive Summary - FMV conclusions, effective valuation date, and engagement scope
- Plan Asset & Structure Overview - Ownership interests, plan type, asset schedules, and participant count
- Methodology Rationale - Justification for selected ERISA-approved approaches and alternatives rejected
- Financial Analysis & Normalization - Historical review, earnings normalization, and risk-adjusted projections
- Market Comparables & Benchmarking - Guideline public multiples and comparable transaction data
- Discount & Risk Adjustments - Empirical support for DLOM, DLOC, and discount rates where applicable
- Specialty Modeling - OPM, Monte Carlo simulation, NAV, or DCF output as applicable
- Compliance & Signatures - Signed certifications (USPAP, ERISA, DOL) by credentialed experts (ABV®, ASA, CVA®, MRICS)
- Audit Defense Package - Supporting data schedules, source logs, and management representations
ERISA Adequate Consideration Requirements - What You Need to Know
Adequate Consideration Standard
Independence Requirement
Qualified Appraiser Credential
Annual Valuation Requirement
Prohibited Transaction Rules
Documented Methodology
Compliance Standards We Follow
USPAP
ERISA Section 3(18)
ERISA Section 406
AICPA SSVS-1
ASC 820
IPEV Guidelines
IRC Section 401(a)
IRS Revenue Ruling 59-60
DOL Reg. 29 CFR 2520.103-1
NACVA Professional Standards
Insights From Real Valuation Engagements
2,500+ Valuations. 50+ Industries. Deep Expertise in Each.
Why Choose Transaction Capital LLC?
Big 4 Quality. Boutique Speed. Zero Compromise.
| Transaction Capital LLC | Big 4 / National Firms | Generalist Accountants | |
|---|---|---|---|
| Credentials | ABV, ASA, CVA, MRICS | PASSES - Very High Cost | PARTIAL - Varies by firm |
| Turnaround Time | 3-5 Business Days | 4-8 Weeks | 2-6 Weeks |
| Starting Price | $500 Flat Fee | $5,000 - $15,000+ | $500 - $5,000 |
| Pay After Draft Review | ✓ | ✗ | ✗ |
| ERISA Adequate Consideration | PASSES - Always documented | ✓ | PARTIAL |
| DOL Audit-Ready Reports | PASSES - Standard | ✓ | PARTIAL |
| Expert Witness & Fiduciary Defense | PASSES - Included | Extra Cost | Rarely available |
| Post-Valuation Support | PASSES - Included | Extra Cost | Extra cost |
Certified Experts
Certified Experts
Elite Leadership
Complete Post-Valuation Support
Transparent Flat-Fee Pricing
401(k) Plan Valuation Pricing
| Engagement Type | Starting Price | Turnaround | Primary Methodology |
|---|---|---|---|
| Closely Held Employer Stock | $800 | 3-5 Business Days | Income + Market Approach with Normalization |
| Private Equity / Fund Interest | $1000 | 3-5 Business Days | NAV, DCF, or Market Approach |
| Real Estate Held in Plan | $1,000 | 3-5 Business Days | Income Approach / Sales Comparison |
| QDRO - 401(k) Asset Valuation | $500 | 2-3 Business Days | Asset-Specific with DLOC / DLOM |
| Partnership / LLC Interest in Plan | $1,000 | 3-5 Business Days | NAV or Income Approach with Discounts |
| Startup / Pre-Revenue Equity in Plan | $1,200 | 3-5 Business Days | OPM Backsolve / PWERM |
| Plan Termination Valuation | Custom Quote | 5-10 Business Days | Multi-Approach Consolidated Asset Analysis |
Pay After Draft Review
You review quality and accuracy before paying a single dollar. No other valuation firm offers this.
Trusted by Plan Auditors, DOL Examiners, Attorneys, and Courts
We provide full, complimentary post-valuation support to guide your team through audits, regulatory reviews, and due diligence.
Plan Auditors & CPA Firms
DOL, IRS, USPAP, and ASC 820-aligned valuations - accepted by Big 4 teamsDOL & IRS Examiners
Credentialed reports built to withstand DOL regulatory review and enforcement
Family Law Attorneys & Courts
QDRO-ready independent FMV and expert testimony for divorce proceedingsPlan Trustees & Fiduciaries
Adequate consideration documentation to satisfy ERISA's prudent expert standard
Thousands of Businesses. One Standard of Quality.
Join thousands of plan sponsors and fiduciaries who rely on Transaction Capital LLC for 401(k) plan valuations that hold up when it matters most.
Do Not Take Our Word for It.
Transaction Capital LLC delivered a high-quality Fair Market Value (FMV) analysis with exceptional responsiveness, professionalism, and depth. The team communicated clearly throughout the process and provided strong transparency around their methodology, allowing stakeholders to understand not just the conclusions, but the rationale behind them.
The work delivered by TXN Capital LLC on the IVS 105 valuation for our deeptech startup demonstrates great quality. Their clarity in documenting assumptions and methodologies ensures transparency and ease of understanding.
Working with Gaurav at Transaction Capital LLC for our 409A valuation was seamless and professional. He delivered a thorough, defensible report quickly and explained every detail clearly. Highly recommend for any startup seeking a reliable and efficient valuation partner.
Transaction Capital LLC, led by Dr. Gaurav, is truly the best in the business valuation space. I’ve seen the results firsthand — working with anyone else would be a waste of money. Believe me, they are the best.
Gaurav is very knowledgable in his field and was super helpful in his response and explanations. He finished the contract well before the deadline! Highly recommended. Thanks Gaurav
We got the Financial Model made by Gaurav which included all the standard things. Gaurav was helpful in explaining all the complex lingos and make it simple for us to understand. Strongly recommend him for getting FM made
