Retirement Plan Providers for Business: What You Need to Know

 

Chad Brooks

 

A key staple of benefit packages today is retirement savings plans. These plans, which include 401(k)s and IRAs, allow workers to start saving money for retirement now.

 

The real perk in many of these plans is an employer matching program. To encourage employees to participate in a retirement savings plans, a large number of businesses will match, up to a certain percentage, the amount an employee decides to put away each pay period. This is essentially free money for employees who take advantage of it.

 

To offer these plans, businesses work with a retirement plan provider. These providers work with businesses to determine the plan that best fits their needs, and then sets it up and administers it for them. They handle all of the money and investing. Many also offer retirement planning advice, resources and tools to help employees better understand the need to start saving now.

 

If you are searching for an employee retirement plan for your business, here are 20 options to consider.

 

ADP

 

ADP offers a wide range of retirement plans for businesses of all sizes, including traditional 401(k)s, SIMPLE IRAs, safe harbor 401(k)s, profit sharing and new comparability plans. ADP also gives employees who already have retirement plans the option to transfer their old plans into their new one. As an independent recordkeeper, ADP has no investment bias or hidden agenda.

 

This solution gives employers the ability to set up different vesting schedules and determine if they want some type of matching program. Employees can manage and monitor their accounts online and via ADP’s mobile app. Additionally, this retirement plan integrates with ADP’s payroll services. adp.com

 

American Funds

 

American Funds offers employer-sponsored retirement plans for businesses of all sizes. Specific options include money purchase plans, profit-sharing plans, 401(k)s, simplified employee pension (SEP) plans, SIMPLE IRAs, 403(b) plans and payroll deduction IRAs. After employers set up their plans, they have access to their retirement accounts online. americanfunds.com

 

Ascensus

 

Ascensus offers both traditional and Roth 401(k) retirement plans, as well as individual plans and SEP and SIMPLE IRAs. Ascensus consults directly with employers to identify their overall objectives and define the plan type and support necessary to accomplish those goals. It then partners with employers and their financial professionals to implement an effective plan design. Total Benefit Communications (TBC), an Ascensus company, specializes in employee benefit communication and education services. Not only does it help employers meet their enrollment goals, it also helps employees understand their plans and prepare for retirement. ascensus.com

 

AXA Equitable

 

AXA Equitable has employer-sponsored retirement plans for businesses of all sizes. Specific retirement plan options include 401(k)s, safe harbor, profit sharing, IRAs, SIMPLE IRAs and SEP IRAs. AXA offers a broad spectrum of investment products to fund retirement plans, including variable and fixed annuities and mutual fund options. The company’s investment platform has a high degree of flexibility to help employers design an appropriate retirement package. With an AXA 401(k), you have the option to work with Wilshire Associates, a third-party investment monitoring firm that can manage some or all fiduciary responsibilities. Once employees sign up for the plan, they can monitor their accounts online. axa.com

 

Betterment for Business

 

Betterment for Business offers a wide range of retirement plan options, including 401(k) accounts and traditional, Roth, and SEP IRAs. All Betterment customers are invested into a globally diversified portfolio (with over 5,000 companies) of low-cost and liquid ETFs. The portfolio was chosen to provide optimal returns at every level of risk, and it is rebalanced as the market fluctuates and as you grow closer to retirement. Vesting and employer matching options are available. Employees can manage their retirement accounts online. business.betterment.com

 

Charles Schwab

 

Charles Schwab offers both comprehensive 401(k) plan services and 401(k)s paired with independent providers. Your plan can offer your employees personalized advice, while providing access to a wide range of investment options, including index mutual funds or ETFs. Charles Schawab gives employers the ability to design a retirement plan that best suits their needs. Plans can have no features, or include options like automatic enrollment and automatic savings adjustments. The Schwab Workplace Retirement app gives employees access to interactive tools that track progress toward their retirement goals. corporateservices.schwab.com

 

Citizens Bank

 

Citizens Bank provides employer-sponsored retirement plans to businesses of all sizes. For businesses with fewer than 100 employees, it offers SEP and SIMPLE IRAS, and for those with more than 100 employees, it offers 401(k)s, 403(b)s and nonqualified plans. When businesses are considering the different options, Citizens Bank consultants will meet with them to determine which choice best fits both their and their employees’ needs. citizensbank.com

 

Edward Jones

 

Edward Jones is another company that offers retirement plans for businesses of all sizes. Businesses with no employees have the option of SEP IRAs and owner-only 401(k)s, while those with employees can choose from 401(k)s, SIMPLE IRAs and safe harbor 401(k)s, with 403(b) and 457(b) plans also available for some. Employers can fund their retirement plans with an array of investments, including stocks, bonds, mutual funds and government securities. Edward Jones provides education and administrative support to plan sponsors and all employees. Once plans are established, employees can review their accounts online. Mobile apps are also available. edwardjones.com

 

Employee Fiduciary

 

Employee Fiduciary provides low-cost retirement 401(k) plans to small and midsize companies nationwide. It does not require a minimum number of participating employees. When plans are established, employees can transfer funds from existing retirement accounts into the current one. This solution allows both employees and plan administrators to access their accounts through the company’s website. Employee Fiduciary offers mutual funds that are NSCC-tradeable, including all Vanguard funds. Overall, there are nearly 30,000 share classes from 377 fund families from which to choose. employeefiduciary.com

 

Fidelity Investments

 

Fidelity Investments provides retirement plans to both small and large businesses. The options include IRAs, 401(k)s and investment-only retirement accounts. Fidelity Investments provides businesses with consultants to help them select the plan that best fits their needs. Once the plan is established, employees can review their accounts from any web browser and transfer old retirement accounts into their new one. Fidelity’s retirement plans integrate with payroll services, which helps streamline the process. Fidelity also has a mobile app that allows employees to keep tabs on their retirement accounts wherever they are. fidelity.com

 

Merrill Edge

 

With Merrill Edge, small businesses have four different retirement plan options: 401(k), individual 401(k), SEP IRA and SIMPLE IRA. Each plan has a wide range of features, including the option for employer contributions, online payroll contributions and the ability to set up your plan in just 30 minutes. The plans have a full range of investment. The 401(k) plans have investments and model portfolios selected and managed by Morningstar Investment Management LLC. merrilledge.com

 

Nationwide

 

Nationwide offers a variety of retirement plans for businesses, including 401(k)s, IRAs, Roth IRAs, individual retirement plans and profit sharing. Nationwide works with businesses to help them choose the plan that best fits their needs and lets employees choose the funds they want to invest in. Once the plans are established and employees are enrolled, they can access their account details through their online accounts or mobile devices. Nationwide offers valuable online resources to help employees set financial goals and track their progress. nationwide.com

 

Northwestern Mutual

 

Northwestern Mutual provides businesses of all sizes with employer-sponsored retirement plans. Plan options include 401(k)s, 403(b)s, profit sharing, SEP IRAs and SIMPLE IRAs. Northwestern Mutual also offers executive benefits or nonqualified benefit plans for certain employee types. The two types of nonqualified plans available are elective deferred compensation (EDC) plans and supplemental executive retirement plans (SERPs). northwesternmutual.com

 

Paychex

 

Paychex offers flexible 401(k) plan design, recordkeeping and plan management services. Options include auto-enrollment, catch-up contributions, employer matching, vesting and participant loans. Employers can work with an advisor to determine which investment option – open, guided or fixed funds – works best for them. Once the plan is established, accounts can be monitored online or via the Paychex mobile app. paychex.com

 

Principal

 

From simple startup plans to complex plans for large institutions, Principal offers defined contribution plan services to fit businesses of all sizes. Among the available plans are 401(k), 403(b), 401(a), employee stock ownership (ESOP) and KSOP, and a combined 401(k) and ESOP. The plans can be tailored for for-profit, tax-exempt, governmental and union organizations. Plan participants have more than 85 sub-advised, retirement-focused investment options and access to more than 4,800 outside mutual funds. Principal provides personalized education for each participant. principal.com

 

ShareBuilder 401k

 

ShareBuilder 401k provides retirement plans specifically designed for small businesses. This provider offers four different 401(k) options: individual, simplified, customized and tiered profit-sharing 401(k)s. Each of the plans has different matching, vesting and profit-sharing options. Employees can transfer existing retirement accounts into their new accounts, which they can review and monitor online. ShareBuilder retirement plans also integrate with most payroll providers. sharebuilder401k.com

 

TD Ameritrade

 

TD Ameritrade offers a number of small business retirement plans, including solo 401(k), SEP IRA, SIMPLE IRA and profit sharing. When it comes to investing, TD Ameritrade give participants several options. They can use screeners to narrow down their mutual fund and ETF choices to find the funds that may be right for their plan. They can also take advantage of managed portfolios designed to help them reach their financial goals as their needs grow and change. Participants can use the TD Ameritrade mobile app to manage their retirement accounts. tdameritrade.com

 

T. Rowe Price

 

T. Rowe Price offers a wide selection of small business retirement plans. Among the available plans are SEP IRA, SIMPLE IRA, individual 401(k) and small business 401(k). The 401(k) plan for small businesses allows numerous matching options and lets employees invest their savings in a broad range of T. Rowe Price and non-T. Rowe Price investments. Employees can manage and monitor their retirement accounts online or via the T. Rowe Price mobile app. troweprice.com

 

Vanguard

 

Vanguard has employee retirement plans specifically designed for small businesses. Options include small-plan 401(k)s, individual 401(k)s, SEP IRAs and SIMPLE IRAs. Vanguard has a diversified fund lineup – all-in-one funds, Vanguard select funds and mutual funds – with no minimum initial investment. Vanguard’s website provides a place for employers to find all of their key retirement information in one place, enroll new participants, monitor the status of pending contributions, access up to two years of contribution details, create ongoing allocation instructions and update bank account information. Employees can view their account information online or on the company’s mobile app. vanguard.com

 

Voya Financial

 

Voya Financial has a large selection of workplace retirement plans, such as 401(k), 403(b), 401(a), 457, SEP IRA and SIMPLE IRA plans. Depending on your arrangement with Voya, services may include sponsor communications, plan reporting, compliance testing, IRS audit support and fiduciary training. Participants can manage and monitor their retirement accounts online or through the Voya mobile app. voya.com