SEATTLE, Nov. 17, 2016 /PRNewswire/ -- Washington Technology Industry Association (WTIA), Washington state's unifying voice for the technology community, today announced its benefits suite has expanded to include a new 401(k) Multiple Employer Plan. The WTIA's 401(k) Multiple Employer Plan offers all the superior retirement services for employees traditionally only afforded to large businesses, that's because from a government-reporting standpoint, it is treated like one large plan. Strength in numbers makes it possible for employers to deliver a high-value retirement savings plan while benefiting from an institutional pricing model. This empowers businesses employing the plan to reduce plan fees, eliminate audit expenses, decrease fiduciary liability, and avoid administrative headaches, while still gaining all the same perks associated with sponsoring an independent plan.
Approximately 86% of organizations with less than 100 employees do not currently offer retirement plans to their workforce according to data from the Government Accountability Office. A core pain point for small to mid-size businesses and startups is that their back office functions such as HR and finance often lack the time and ability to support both the implementation and ongoing maintenance phases of a 401(k). Directly managing a 401(k) in today's increasingly complex and uncertain regulatory environment or accessing the expertise and experience these businesses need to do so is often beyond financial reach. The WTIA's service model bridges this gap enabling these businesses to offer 401(k) plans on par with large competitors through its unique product offering coupled with a hands on service approach. The WTIA's partnership with Empower Retirement enables employers to offload virtually all administrative tasks providing them with assistance in investment selection, fund monitoring, employee education, and customizing the plan to their individual needs.
"Most small to mid-size companies dream of offering a 401(k) to their employees, but the time it takes to manage the administrative side of things often turns that vision into a pipe dream," said Michael Schutzler, CEO of WTIA. "The WTIA's 401(k) Multiple Employer Plan take a hands on service approach handling all the legwork for employers. This makes superior retirement services a reality, and gives our local businesses a leg up in recruiting and retaining high-demand tech talent."
WTIA's 401(k) Multiple Employer Plan is already enabling local companies to keep critical resources aimed at taking advantage of the latest market trends and focused on the core business without going over budget on outsourcing their retirement benefit costs. Early adopters include Code Fellows and Valente Global:
"Being in this industry for 20+ years, I'm no stranger to the challenges surrounding the management of 401(k) plans," said Dave Parker, CEO of Code Fellows. "Recruiting talent is a strategic issue for Code Fellows and selecting the WTIA's plan has freed up our team to do what we do best. Someone has been there to help us each step of the way, and it's far more affordable than most plans out there today."
"Our previous 401(k) plan was costing us thousands in administrative fees, while our employees were provided very limited options," said Patricia Wertheimer, CEO of Valente Global. "The WTIA's plan delivers us the best of both worlds, we're able to offer our employees a 401(k) without breaking the bank while expanding options for employees who can now chose what's ideal for them from a variety of funds."
About the WTIA The Washington Technology Industry Association (WTIA) is a non-profit trade group. The primary mission of the WTIA is helping Washington residents gain access to high-wage tech-industry jobs. The WTIA acts as an independent, unifying voice to motivate industry, education and government peers to collaborate effectively and also uses group buying power to help tech companies grow profitably. The WTIA group includes the 501c6 WTIA Member Trade Association, the 501c3 WTIA Workforce Institute, and the 501c9 WTIA Voluntary Employees' Beneficiaries Association. Apprenti is a program operated by the WTIA Workforce Institute.