Guidance: Pooled Employer Plans: Big Plans for Small Businesses
Summary
This regulation makes it easier for small businesses to band together and offer retirement savings plans (like 401(k)s) to their employees by allowing multiple unrelated companies to share one large plan. This helps small businesses afford retirement benefits that were previously too expensive to offer individually.
Key Points
- 1Small businesses can now pool together into shared retirement plans, reducing administrative costs and making benefits more affordable
- 2These pooled plans follow the same rules as large company retirement plans, giving small business employees better protection and more investment options
- 3The change addresses a major challenge for small businesses that struggle to compete with large employers when attracting and keeping workers
- 4The public has until September 30, 2025 to submit comments on the proposed rule before it becomes final
- 5This allows small businesses to offer competitive retirement benefits without the high setup and management expenses they would face alone
Key Dates
July 29, 2025
This summary is for informational purposes only. It may not capture all nuances of the regulation. Always refer to the official text for authoritative information.
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