3 Reasons to Switch 401(k) Providers for your Business
Your current plan might be causing you more administrative work, and chances are good that there’s a better plan out there. In this guide you’ll find tips for finding the best plan for you—one that’s designed with small-to-medium-sized business needs in mind. And you’ll find out how to get help with the responsibilities and liabilities of choosing, monitoring, and replacing investment options.
FOR YOUR BUSINESS
What more is there to consider when deciding if it’s time to change 401(k) providers?
Your current plan might be causing you more administrative work, and chances are good that there’s a better plan out there—one that’s better suited to the unique needs of your business. Consider this: Keeping your current plan may seem like the safest bet, but staying the course has its own risks. New and better plans and service providers are reaching the market all the time.
Here’s a look at a few more reasons you might consider finding a new service provider, and just a few of the many benefits of making a switch. It may be that a change will do you good!
REASON 1 There’s a better plan out there—one that fits the needs of your business
According to the U.S. Census Bureau’s Statistics of U.S. Businesses, small businesses employ half of all American employees.* Each one of those organizations has unique needs—and so do the employees who work for them.
So when it comes to retirement investing, it just makes sense that small-to-medium-sized businesses like yours need more back office help than the major 401(k) service providers offer. Those types of providers are accustomed to dealing with huge organizations, and when faced with a smaller company, they don’t always have an incentive to be responsive. Plus, they may not be willing to dedicate the resources it takes to customize their approach for a smaller company.
However, a specialist in small and mid-sized businesses will take the time to understand your business and what’s really important to you. The right provider can give you a dedicated point of contact to help you and your employees get the most from your 401(k) plan. They’ll serve as a counselor who will visit you on-site to work with your employees and provide educational support.
With a specialized provider—one that focuses on small businesses—you can expect to receive the same service and attention big plans receive, including full support for employers and business owners. That means help with administrative responsibilities and tasks, such as dealing with employee 401(k) questions, issues, and concerns. It also means providing a customized platform for employees, one that addresses their different engagement levels, education levels, and provides one-on-one, personalized support that continues beyond the enrollment meeting.
Is your 401(k) plan designed with small-to-medium-sized business needs in mind? If not, it may be time to explore your options.
REASON 2 Switching is not as hard as you think when you have the right partner
It may seem like changing 401(k) providers is a lot of work, especially if that feeling is based on your experience of dealing with your current plan. Perhaps it was a huge effort to implement what you have now. If so, it’s only logical to assume that it’s going to be the same story with a new provider.
But it doesn’t have to be. The right partner can make it much easier.
When you have a partner who specializes in working with businesses like yours, you’ll know that you have someone to turn to who will explain and manage the process from start to finish, coordinate across all your service providers, and give you everything you need for smooth, efficient plan administration.
The right provider will also make sure you have a counselor who serves as a dedicated point of contact throughout the transition, providing the guidance you need at every step. That way, you can make sure the implementation process is streamlined and the 401(k) solution you implement is designed to meet your company’s unique needs. This counselor is not your salesperson, but rather a specialist who can answer any questions about your plan and manage requests, while also providing consulting support to coordinate your administrative, partner, and employee needs
REASON 3 Lower risk and increase day-to-day support for you and your employees
Handling investment options is important work, and it can be overwhelming at times. The right service provider will help you by assuming the responsibilities and liabilities for choosing, monitoring, and replacing investment options.
Fisher 401(k) Solutions can help you with the work of managing your 401(k) plan. As your trusted adviser and partner, we will:
- Take on more of your fiduciary responsibility and risk.
- Handle selecting, monitoring, and updating the fund lineup.
- Update you on the latest market developments, including what we’re proactively doing within the available funds.
- Provide ongoing plan administration support for maintaining audit files and more.
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