The announcement said ePlan Services’ Web-based technology platform was designed for the financial adviser market, with adviser tools and fee disclosure practices built into the offering. This will allow Paychex to expand its service offering to financial advisers while providing greater transparency into fee structures as the market shifts to full disclosure models to comply with consumer and legislative demand.
In addition to giving the adviser market a more robust fee-based service offering, the acquisition provides another way for small business owners to access thousands of mutual funds through an open architecture investment platform, allowing them to find the best fit for their needs with the help of financial advisers.
“We are excited to combine the strengths of our two organizations, to rapidly expand the availability of fee-based 401(k) plans to financial intermediaries and their business clients,” said Mark Gutrich, ePlan Services co-founder and chief marketing officer.ePlan Services will operate as a wholly owned subsidiary of Paychex. Mark Gutrich and his brother and co-founder, Dan Gutrich, will continue to be a part of the leadership team for ePlan Services, and ePlan Services’ existing employees will be retained. ePlan Services serves nearly 4,000 401(k) plans in all 50 states.