May 16, 2025
How Small Businesses Can Save Big with Pooled Employer Plans (PEPs)
Offering a retirement plan used to be a costly and complex process, especially for small and midsize businesses. But that’s changing—thanks to Pooled Employer Plans (PEPs). PEPs are designed to simplify the retirement plan process by allowing multiple employers to participate in one professionally managed 401(k) plan. This pooled approach not only reduces administrative responsibilities but also brings down costs through shared resources and economies of scale.
It’s an attractive solution for business owners who want to offer competitive benefits without taking on the heavy burden of managing a traditional 401(k) plan.
What’s more, many fiduciary duties are handled by the plan provider, freeing up time and lowering risk for employers. That means you can focus on growing your business while still giving your team access to high-quality retirement savings options.
If you're a business owner looking for a smarter, more affordable way to offer a 401(k), a PEP might be exactly what you need.
*This content is developed from sources believed to be providing accurate information. The information provided is not written or intended as tax or legal advice and may not be relied on for purposes of avoiding any Federal tax penalties. Individuals are encouraged to seek advice from their own tax or legal counsel. Individuals involved in the estate planning process should work with an estate planning team, including their own personal legal or tax counsel. Neither the information presented nor any opinion expressed constitutes a representation by us of a specific investment or the purchase or sale of any securities. Asset allocation and diversification do not ensure a profit or protect against loss in declining markets. This material was developed and produced by Advisor Websites to provide information on a topic that may be of interest. Copyright 2021 Advisor Websites.