A Pooled Employer Plan (PEP) is a 401(k) arrangement that allows multiple unrelated employers to participate in a single plan, overseen by a registered Pooled Plan Provider (PPP). The PPP is responsible for plan-level administration and certain fiduciary functions, which may reduce some employer responsibilities compared to maintaining a stand-alone plan.
Key Advantages of Participating in a PEP
Unified Plan Structure: One plan document, one Form 5500 filing, and one audit, all coordinated and filed by the PPP which helps to reduce administrative complexity for each employer.
Fiduciary Support: The PPP assumes key fiduciary responsibilities, including plan administration, under ERISA-defined roles.
Access to Institutional Services: Participating employers may benefit from pricing efficiencies and investment options typically available only to larger retirement plans.
Reduced Fiduciary Burden: Core fiduciary responsibilities are delegated to qualified professionals under ERISA-defined roles, helping limit employer exposure.
Transparent, Lower Costs: Pooled pricing, institutional investment options, and the elimination of revenue-sharing help maximize participant outcomes.
Full-Service Administration: End-to-end plan management, from compliance to participant education, is handled by experienced providers.
Scalable Design: Employers gain access to plan features and investment resources typically reserved for large-market plans.
With Unity 401k, business owners can focus on running their company while offering employees a high-quality retirement benefit with greater confidence in the plan’s oversight, structure, and long-term value