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Anyone who works with small 401(k) plan sponsors knows that they have none of the time, patience, skills or desire to be plan administrators or ERISA fiduciaries.
It’s clear opening up the floodgates of Open 401k MEPs will allow the competitive marketplace to find low cost, high efficiency, alternatives to both current company sponsored 401k plans.
The MEP sets up a single plan that covers all adopting employers, with the plan document generally written to allow for variation in plan design among the participating companies.