Fidelity e401k now offers Classic Plan Designer, which gives companies the option of a streamlined plan design that utilizes the most popular e401k options.
For plan sponsors with the need for a more tailored approach, Fidelity offers another option, Customized Plan Designer. This allows plan sponsors to choose from a menu of plan options to best meet the needs of their employees.
Plans created with either designer option can be submitted and feedback will be provided by Fidelity to the plan sponsor.
The site ( www.Fidelitye401k.com ) has also been enhanced with new education tools and content which allow plan sponsors to gather the information necessary to make an informed decision about the retirement plan that is best for their business.
Site navigation now features a “pathfinder” design that can help a plan sponsor more readily locate information of interest to their particular interests.
Fidelity conducted an analysis of 300 companies using Fidelity e401k and found that:
- Fidelity e401k has an average participation rate of 75%, roughly equal to the average participation rate for about 7,000 other retirement plans serviced by Fidelity
- Participating plans have an average deferral election of about 6%, similar to the average rate for other Fidelity small business retirement plans
- Participants in Fidelity e401k selected an average of four investment options, compared to the average three in traditional plans
Fidelity currently provides online retirement plans to more than 1,250 businesses.