Skip to main content

Plan Design Characteristics of “Small” 401(k) Plans

By April 24, 2019No Comments

ACSI follows retirement plan industry trends by, among other things, reviewing studies and surveys regarding the 401(k) plan designs and features adopted by businesses. PLANSPONSOR, publisher of a newsletter and a magazine, recently released the 2018 research results for its annual Defined Contribution Plan Survey. The results included interesting plan design information about 401(k) plans with less than $1 million in assets, referred to as startup plans. “According to the survey, the majority (73.9%) of start-up plans are safe harbor plans, which do not have to worry about nondiscrimination testing. This compares to 54.4% of DC plans overall in the survey. In addition, three-fourths (75.7%) of start-up plans offer participants the ability to save after-tax contributions in a Roth account.” You can find an article about the survey results for these plans at

Print Friendly, PDF & Email