Pooled Employer Plans
A Pooled Employer Plan (PEP) empowers multiple organizations to unite under a single plan, streamlining the process of providing and managing a retirement plan. This eliminates the need for employers to individually sponsor their own 401(k)s, freeing them from the associated risks and workload.
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A PEP is considered a single plan under IRC Tax Code and ERISA
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Elimination of Form 5500 and related costs/ PEP is single signer
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Elimination of ERISA Bond, Fiduciary Liability Insurance and related costs
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Elimination of plan document restatement fees
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Elimination of individual plan audit
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RISK MITIGATION / Full Fiduciary Outsourcing
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402(a) Plan Administrator/ Pooled Plan Provider assumes this role
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403(a) Trust & Custody
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3(38) Investment Manager/ Registered Investment Advisor
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3(16) Full Day to Day Administration and Regulatory Responsibility
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Institutional Investment Lineup / Low cost & High Quality
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Employer Retains Independence for Plan Design
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Added Services
LOWER COSTS
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Typical Cost Comparison*: PEP vs. standalone plan
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*Estimated average annual cost as a % of plan assets.
60% Lower
Through economies of scale a PEP offers superior services with lower overall cost