Pooled Employer Plans
make good business sense
As news spreads of provisions within the SECURE Act, small business employers are revisiting their options related to adopting a retirement savings plan. With the coming advent of the SECURE Act, small businesses are on the cusp of an opportunity to participate in a single retirement plan (pooled with other employers), to take advantage of economies of scale that lower plan costs, allow access to top-tier professional services and reduce overall liability and burdensome reporting responsibilities.
Many of the hurdles to adopting a pooled plan have been eliminated with the SECURE Act, making it much easier for employers to participate and benefit from broader pooled investment options. Now, unrelated companies can enter a Pooled Employer Plan as created by the SECURE Act and collectively participate in a professionally run defined contribution plan.
If you have an existing 401(k) plan operating under a pre-approved plan document (most plans do), you will have to “restate” your plan document by July 31, 2022 in order to stay in compliance – resulting in more needless work and expenses for the plan sponsor. Merging your plan into a Pooled Employer Plan eliminates this chore and expense both now and in the future.
PEPs are designed to help facilitate the adoption of 401(k) plans for small employers by transferring underlying fiduciary responsibilities to professionals. The PEP is a great way for small employers to foster and encourage employee retention by offering employees the opportunity to build their financial futures through retirement savings. Adopting a Quintes PEP opens the door to our advisors and resources to shape the best solutions for your company’s unique needs. Our talented and dedicated team has the expertise, resources, and accountability you can rely on to deliver a comprehensive retirement plan solution for you and your employees.
Our talented and dedicated team has the expertise, resources, and accountability you can rely on to deliver a comprehensive retirement plan solution for you and your employees. Let’s visit about the Quintes PEP and how it can reduce your liability and expenses all while providing your employees a superior retirement savings plan.
Questions? Give us a call!
Contact 401(k) specialist Mark Laughton, firstname.lastname@example.org or 831-601-1710