Pooled Employer Plans

A great member benefit for Chamber of Commerce entities across the State!

The “Secure Act” established several changes to the retirement landscape available to individuals and small businesses. A “Pooled Retirement Plan” is one of those enhancements and includes:

• The Group Plan Solution (GPS), is a collection of single  employer defined contribution plans (401(k) plans), through a pooled arrangement.  A Pooled Employer Plan (PEP) allows multiple participating businesses with no common interest other than plan sponsorship to participate in a formal 401(k) plan. In simple terms, members of the "chamber" would be able to participate under one PEP. regardless of association or industry. From a chamber perspective, the “plan sponsorship” would be the connection.
• Through the PEP, there may be a common administrator, 3(16) administrative service provider, a common investment menu, plan year, and trustee.  
• There is no fiduciary liability for the sponsor (chamber).
• Each individual employer would be responsible for administration (not the chamber).
• The pooled plan solution is designed to reduce administrative burden, transfer certain risks, and potentially lower plan costs.  
• It (PEP) brings together a team of professionals on an employer's behalf so they can focus on what matters most:  running their business - not their retirement plan.

Reach out to the Lance Hocutt Financial Group today and see how this great member benefit can add to the value of your local Chamber!