2020
PLANADVISER Recordkeeper Services Survey

SEP / SIMPLE Plans

This June, PLANADVISER launched its first survey of the employer-sponsored individual retirement account (IRA) plan market, focusing specifically on SEP [simplified employee pension] and SIMPLE [savings incentive match plan for employees] plans. The Investment Company Institute (ICI) estimates that 7.8 million U.S. households (6.1%) owned one of these accounts last year. While qualified plans such as 401(k)s, 403(b)s and 457s are more widely available, SEP and SIMPLE IRA plans have fewer rules and are easier to administer, which might make them an apt choice for employers with under 100 workers.

Methodology

The SEP/SIMPLE IRA Market Survey was open for response in June. PLANADVISER invited more than 25 providers of SEP and SIMPLE IRA plans to participate and received eight replies. The questionnaire explored investment options, fees and other provider capabilities. All reported data are as of December 31, 2019. Additional information is available online at planadviser.com/research. Readers are encouraged to follow up with providers directly for further details on the scope and availability of service offerings. For other information or to participate in future versions of the survey, please email surveys@issmediasolutions.com.

Small-Employer Plans

 702,374 total employer-sponsored retirement plans per DOL data.
 Of those, 616,554 plans (87%) had less than 100 employees.

Total SEP / SIMPLE Assets ($MM), Plans and Accounts

SEP / SIMPLE Plans, by Participant Count

 <5
 5–25
>25

SEP / SIMPLE Accounts, by Account Balance

 <$10,000
 $10,000 – $25,000
>$25,000 – $50,000
>$50,000 – $100,000
>$100,000