To help small businesses with setting up and managing a retirement plan, OneDigital and the Principal Financial Group have collaborated to offer Simply Retirement by Principal to OneDigital clients.
According to the announcement, Simply Retirement by Principal is a low-cost, easy-to-use 401(k) solution designed for businesses with fewer than 100 employees that can reduce barriers to new plan adoption such as time, HR resources, and compliance oversight.
The move comes as small businesses continue to prioritize attracting and retaining top talent, and saving for retirement is what nearly 9-in-10 employees agree is important for their financial security, according to data by Principal.
“Studies show that insufficient workplace retirement options and low employee participation contribute to the lack of savings among many retiring Americans. In fact, only 42% of small businesses offer retirement benefits,” said Julie Cape, Executive Vice President of Client Services, Enterprise & Select at OneDigital, in citing data by LIMRA.
“By capitalizing on our unique vantage point through our shared employer relationships, Simply Retirement by Principal will help remove complexities for small businesses and leverage the small business tax credits included in SECURE 2.0 to empower leaders to invest in their employees' financial security,” added Cape.
By streamlining the process of setting up and managing a retirement plan, Simply Retirement by Principal helps alleviate the administration of and risk associated with payroll integration, data collection, and investment selection, the announcement explains. In addition, clients work with their OneDigital financial professional to engage with the digital platform of Simply Retirement by Principal to design plans, make their elections, sign required documents and view plan data.
“For years, Principal has valued our relationship with OneDigital to serve the employee benefits needs of small and midsize businesses,” said Scott Boyd, senior vice president for Retirement and Income Solutions at Principal. “Expanding our relationship to include a 401(k) plan that leverages Simply Retirement by Principal is another example of our commitment to work with SMBs to support the growth of their businesses and the financial goals of their employees.”
Visit https://www.simplyretirement.com/onedigital for more information.
