RetireGo FAQs
How do I know if I need a RetireGo 401(k) plan?
You are probably a good candidate for a RetireGo 401(k) plan if:
If you are not sure you are saving enough money for your own retirement
You need to reduce your taxable income
Your key employees are not able to save enough money for retirement or need to reduce taxable income
You need competitive benefits to recruit or retain employees
You have a plan but it is difficult to use or understand
You have a plan but your employees are not engaged in using it
How easy is it to set up a 401(k) plan for my company?
You will need about 30 minutes to start your RetireGo 401(k) Plan. You can get started here. If you’d like to walk through it with a RetireGo team member, schedule a call here.
How much does it cost?
RetireGo 401(k) plans start at $125 per month for the business, and $12 per month per employee (based on 25 participants). Additional asset based fees will apply at 0.25% annually paid quarterly. We know every business has different needs, and those needs change over time. We offer both à la cart services and bundled services that bolster your recruiting efforts and retention levels. Take our quick survey to see what might be best for you and give us a call to learn more.
How much can I and my employees save?
In general you can save up to $19,500 per year in a 401(k) plan, with an extra $6,500 if you are age 50 or over. 401(k) plans are subject to IRS rules that can limit owners and employees who make over $130,000 per year, however, RetireGo can help you find a flexible plan design option that will help you save more.
Will I be required to contribute money on behalf of my employees?
You are not required to make a contribution on behalf of your employees, however, many companies do make a match to help encourage saving and create a competitive benefits program. A match can also be used to allow owners and highly-compensated employees save more. Ask a RetireGo team member how a company match could benefit you and your employees.
What is Roth 401(k) and should my plan have this feature?
Many people are familiar with Roth IRAs and don’t realize you can also have a Roth 401(k) feature in your plan which allows your employees to save money after-tax. Roth 401(k)s can be very attractive to younger employees who are in lower tax brackets and would benefit by paying their taxes now, or to older employees who are trying to save a after-tax bucket of money for retirement.
How do you handle my investments?
RetireGo provides you with a menu of high quality, low-cost mutual funds to choose from. Your employees can select their own investments from the available options or invest in age-based target date funds that are allocated for them based on their time to retirement. The investment options are monitored by ZUNA, LLC, a SEC-Registered Investment Advisor.
ZUNA, LLC serves as fiduciary to your plan as a Section 3(38) investment manager. This means that ZUNA takes on the liability for selecting and monitoring the investments in your plan and your duties are limited to selecting and monitoring ZUNA.
What is a fiduciary and what are my responsibilities as an employer?
When you provide a retirement plan as an employer you become a “fiduciary”, which means you have certain regulatory responsibilities to put the interests of your plan’s participants first. The Department of Labor allows you to delegate certain responsibilities including selecting and monitoring investments, and certain plan administration functions.
A 3(38) fiduciary is an investment manager that takes responsibility in writing for selecting, managing, monitoring, and benchmarking the investment options in your plan.
A 3(16) fiduciary is a plan administrator that takes responsibility in writing for many of the day-to-day operational functions of a plan including approving loans and distributions, reviewing deferral and investment changes, and signing and filing the Form 5500.
Is it true that I can receive a tax credit from the IRS for starting a plan?
Yes! Thanks to legislation that passed in 2019 via The SECURE Act, businesses who start a 401(k) plan may be eligible for tax credits which allow for up to 50% of the plan start-up costs (capped at $5,000) for three years. Additionally, if you add an automatic enrollment feature to your new plan, you can save an additional $500 for three years. See your CPA or ask a RetireGo team member for more information.
How does RetireGo work with my payroll provider?
RetireGo currently offers integration with the following payroll providers:
ADP
Paychex
Paycom
Paylocity
Quickbooks
Gusto
You do not have to utilize one of our payroll integration partners, however, if you do it could make your life easier. Reach out to a RetireGo team member for help in determining how RetireGo will work with your payroll system.
Do you offer Financial Wellness?
Helping employees get financially secure is something we are passionate about at RetireGo. Our optional financial wellness programs include technology platforms to help employees set goals, manage debt, and plan for life events, along with access to individual coaching. Core services for all RetireGo clients include monthly financial wellness webinars that can be watched on demand, as well as FAQ videos on commonly asked questions.
How can RetireGo help my employees with student loan debt?
Many employees today are stressed about student debt. RetireGo offers an optional student loan repayment program via Goodly. Goodly allows employers to make contributions on behalf of employees to help them pay down their student debt faster via an easy to use technology-based platform. Student debt is a huge obstacle to the ability of younger workers today to save for retirement and RetireGo can help.
Do you have other services that can help reward and retain my key employees?
Yes, RetireGo offers an Executive Compensation module whereby you can access customized consulting on executive benefits including deferred compensation plans, cash balance plans, and customized programs that can help you and key executives save more and reduce taxable income.