Recommended 401K companies
13 RepliesJump to last post
Who do you guys like to use for 401Ks?
Right now we are looking at Principal for a client that has 20 employees and for another client that has 40 employees. Any other suggestions?Don’t…
Principal is terrible…
How many assets? You are going to have to go insurance for anything under $2Mil
Why not a simple?
Assets in the 401K of the 20 employees is $200k.
Assets in the 401K of the 40 employees is $600k. Both above companies currently have 401Ks. Please excuse my ignorance, what does "go insurance for anything under $2Mil" mean?i meant group variable annuity(insurance) a fidelity plan would run them upward of $10K/year for that low of assets.
I would suggest a simple, more options, less fees…
if you are going the annuity route hartford has a good plan. they have good service as well for clients and good broker support. principal has fallen apart and i have heard nothing but bad news about them. if you want to go securities based and want to keep it cheap and simple, american funds is a decent plan.
Thanks for the suggestions.
Do you guys have any 401K company suggestions just in case the owners want to stick with a 401K plan?Hanc*** has a very good plan as well. I also like Hartford. However, the embedded fees are very high with GA plans, so I only like to use them when it’s a really big plan, or the sponsor wants all the bells and whistles (i.e. tons of investment options, great website, etc.).
For small plans, I either go the SIMPLE route, or something from Oppy or Lord Abbett. They both have plans that are virtually free (the companies just want the assets). However, you get very limited investment options and website services. I don’t particularly like their funds, but to be honest, I see many much larger plans with worse investment options (that my clients are in at their employers). Fidelity is notorious for having horrible investment options. I think Fidelity Advisor plans are much better though.
CPI and Benatech… You can pick your own investments but the TPA fees maybe too much for that smaller plan.
In that case American Funds is a good platform.
Miss J
Great post.CPI and Benatech… You can pick your own investments but the TPA fees maybe too much for that smaller plan.
In that case American Funds is a good platform.
Miss J
Can anyone who commented negatively on Principal, please be more specific about whats wrong with their plan.
I have a decent size plan at Principal, havent had any complaints in the 18 months since i moved it there from another provider that i had them in. But maybe i am missing something.
I generally stay away from products that have an entrenched proprietary sales force. I've heard antedoctally Principal welcomes brokered business, then will use their in-house reps to cannibalize the account. Even if it's not true, it doesn't mean it can't happen.Can anyone who commented negatively on Principal, please be more specific about whats wrong with their plan.
I have a decent size plan at Principal, havent had any complaints in the 18 months since i moved it there from another provider that i had them in. But maybe i am missing something.
$4million plan with old JH plan. Who should I look at for this? As of yet I don't know the exact expenses of the JH plan, but will know soon. Was an old manulife plan that converted so probably 1.5 +/-
Any thoughts? I'm with EJ so no fidelity agreement.
$4million plan with old JH plan. Who should I look at for this? As of yet I don't know the exact expenses of the JH plan, but will know soon. Was an old manulife plan that converted so probably 1.5 +/-
Any thoughts? I'm with EJ so no fidelity agreement.