However, there are different alternatives than state-run plans that may, in fact, be better.
They are all IRA-based alternatives, including payroll deduction IRAs with potential employer-matching contributions, SEP [Simplified Employee Pension] IRAs, SIMPLE IRAs and some new ways of potentially using those programs, as well. If their employer isn't offering a plan, they can make them aware that there are alternative plans out there they should look into.
And they’ll explain things simply and without any jargon.
You get an affordable, full-service 401(k) plan for your employees in just a few minutes.
They aren't aware there are, in fact, better alternatives available to them. It is not easy for them to find out what is available. There are 11 states that have already implemented or are implementing state payroll deduction IRA [individual retirement account] programs.
Oregon pioneered this, adopting their plan two years ago, and other states are following its model.Human Interest provides SIPC-insured retirement savings plans to over 1,300 companies and ongoing support to more than 35,000 employees.Ted Benna is best known as the 'father of the 401(k).' About 40 years ago, he created a savings plan with employee pre-tax and employer matching contributions.The second is legislation has been proposed that would require all employers with at least 10 employees to offer a plan.[Editor's note: House Ways and Means Chairman Richard Neal's spokesperson said he plans to make that proposal a priority in the next retirement bill.Don't make these retirement plan mistakes What you'll need in retirement savings by age 30, 40, 50What is the federal government doing about it? First, there is the Secure Act, which already passed the House and is pending in the Senate.It provides a number of ways of encouraging small employers to offer plans.That, then, is why it's important that employees have the opportunity to save via payroll deduction through their employers.Many Americans still don't have access, with many small businesses not offering retirement plans. Small employers believe the 401(k) is too complex and expensive — and it is.“As an HR leader and consultant with 30 years of experience working with numerous 401k providers, this is, by far, the easiest 401k plan I've ever administered with the best customer service. ”Our competitors provide investment choices in which they may have a vested interest. Ubiquity gives you investment flexibility if you want it, guidance if you need it.This investment strategy, combined with our very low flat fees, provides the opportunity for greater savings over the long term. We provide electronic participant statements; tax filing and plan document preparation; participant disclosures; annual plan notifications; IRS testing and monitoring; and eligibility notices.