TRA Releases E-Book on Group 401(k) Plans for Advisers

It focuses on MEPs, PEPs and aggregation programs.

The Retirement Advantage Inc. (TRA) has introduced a new e-book exclusively for financial advisers, “The Advisor’s Guide to Group 401(k) Plans: MEPs, PEPs & Aggregation Programs.”

The e-book is part of the firm’s campaign to partner with financial advisers so that more of its business clients can offer multiple employer plans (MEPs) and pooled employer plans (PEPs).

“It’s no secret that we’ve got to make it possible for more people to save for retirement,” says Trey Galuppi, TRA’s national group plan specialist. “And employers want to provide the benefits that will help them attract and retain talented team members, without losing focus on their bottom lines. Group 401(k) plans can be the answer to these challenges.”

Galuppi notes that there’s no one-size-fits-all solution when it comes to group 401(k) plans. “With the SECURE [Setting Every Community Up for Retirement Enhancement] Act of 2019, there’s been a lot of media focus on the elimination of the ‘one bad apple’ rule for MEPs and creation of PEPs,” he says. “This is an important part of the group 401(k) plan story, but not the whole story.”

He adds, “For example, another solution we think shouldn’t be overlooked is an aggregation program, which can also provide the economies of scale, lessened administrative burdens and the mitigation of fiduciary risks that make all group 401(k) plans attractive versus single-employer plans.”

Advisers can download the e-book here.