How Did These Plans Get Started?
The bipartisan Setting Every Community Up for Retirement Enhancement (SECURE) Act
, signed into law in December 2019, created pooled employer plans (PEPs) as a new, more widely available type of 401(k) multiple employer plan (MEP). Newport has supported these older MEPs for more than 20 years.
Unlike those older group plans, a PEP allows unrelated employers that do not share a common industry or location to participate in a single, pooled retirement plan. The intent is to help employers—particularly smaller to mid-sized companies—offer a 401(k) plan to their employees.
Newport's PEP Solutions
Newport has been at the forefront of the PEPs marketplace, and was one of the first retirement service providers to file with the Department of Labor (DOL) to serve as a pooled plan provider.
On February 1, 2021 we launched our own PEP—Newport Secure Retirement*. We also developed and offer various “partner PEPs” in which we work with our advisor partners to offer these specialized services.
With Newport Secure Retirement, Newport serves as the Pooled Plan Provider (PPP). This is the PEP’s plan administrator and named fiduciary. Employers who join the PEP are “member employers.” Click here to learn more about the Newport Secure Retirement plan.
*Registered as the Newport Secure Retirement Pooled Employer Plan with the Department of Labor.