Vermont Technology Alliance Exploring Multiple Employer Retirement Benefit Plan for Members
Thursday, November 8, 2018
Posted by: Jeff Couture
Employees are a company's most valuable asset. Recruiting and retaining talented employees is a top priority for any business. One way to do that is by offering a comprehensive and competitive retirement plan. Unfortunately the cost and complexity of many plans can be a significant hurdle for many growing businesses.
The Vermont Technology Alliance is exploring the possibility of creating a Multiple Employer Plan (MEP) retirement benefit plan for member businesses in partnership with UBS.
A Multiple Employer Plan is a 401(k) retirement plan option for businesses that have a common interest, but are not commonly owned or affiliated. A MEP provides business owners a cost-effective way to offer workplace retirement benefits for their employees. MEPs offer flexible features and benefits of a traditional 401(K) Plan, with low cost, diversified investments and full fiduciary coverage for all members.
A Multiple Employer Plan can provide an attractive and cost-effective retirement savings program for all of Vermont Technology Alliance members, and could be especially beneficial for small businesses that are unable to offer a stand-alone 401(k) plan on their own.
- A MEP can create economies of scale to provide vtTA business members with the opportunity to participate in a workplace savings plan.
- It can offer reduced costs, comprehensive fiduciary coverage and reduced administrative responsibilities for reports, audits and other requirements of company-sponsored plans.
- Aggregating existing plans and adding new plans under a single umbrella creates the opportunity to increase access to services and resources that individual businesses may not be receiving today, such as onsite employee education, financial wellness tools and resources, and local financial advisory support.
A vtTA MEP offering could be particularly beneficial for current members and others interested in becoming a member that either do not have a retirement plan in place for their employees, or have a plan with less than $10 million in assets.
We would like to set up an informational meeting for interested and potential members to discuss the potential opportunity and benefits, ask questions and gauge interest before moving forward.
If you are interested in attending such a meeting or learning more, please click the "contact us" button below.