Searching for affordable 401K provider? Guideline? Any comments or suggestions?

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ccbay58
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Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by ccbay58 » Mon Apr 15, 2019 6:23 am

I'm a new member to the forum and I own a small retail business looking to offer retirement savings for myself and 3 employees. I have previously offered a Simple plan but find the 401K higher contribution limits attractive, especially for me as the owner who is trying to sock it away while I can :moneybag . Guideline appears to be the only affordable option at $40/month plus $500 start up. They offer exclusively Vanguard Funds :happy , choice of 30+ and charge no additional fees other than those charged directly from Vanguard and offer the simplified Safe Harbor 401K. My concerns are that they are a new start up, can their no fee business model work in the long term, what happens if it doesn't? :confused. What should I be asking? Any insights and suggestions would be appreciated. Thanks

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ruralavalon
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by ruralavalon » Mon Apr 15, 2019 8:02 am

ccbay58 wrote:
Mon Apr 15, 2019 6:23 am
I'm a new member to the forum and I own a small retail business looking to offer retirement savings for myself and 3 employees. I have previously offered a Simple plan but find the 401K higher contribution limits attractive, especially for me as the owner who is trying to sock it away while I can :moneybag . Guideline appears to be the only affordable option at $40/month plus $500 start up. They offer exclusively Vanguard Funds :happy , choice of 30+ and charge no additional fees other than those charged directly from Vanguard and offer the simplified Safe Harbor 401K. My concerns are that they are a new start up, can their no fee business model work in the long term, what happens if it doesn't? :confused. What should I be asking? Any insights and suggestions would be appreciated. Thanks
Guideline is one possibility. Other small company 401k providers which have been favorably mentioned here are:
www.employeefiduciary.com; ; and
https://www2.ascensus.com/.
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link:Getting Started

smitcat
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by smitcat » Mon Apr 15, 2019 8:08 am

We have been using Employee Fiduciary for the past 3+ years and it has been running well for us - small business with about 9 persons in a safe harbor plan.

401(k) Gee(k)
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by 401(k) Gee(k) » Wed Sep 18, 2019 8:15 am

You may want to check out SaveDay It is similar to Guideline but with a different fee structure. It is: 0.35% of plan assets charged to employee accounts annually plus a modest investment fee ranging from 0.06% to 0.08%. There doesn't appear to be an employer charged fee.

I recently read about them here:
https://www.pionline.com/article/201905 ... er-401-k-s

Good Luck!

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LadyGeek
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by LadyGeek » Wed Sep 18, 2019 8:42 am

This thread is now in the Personal Finance (Not Investing) forum (401(k) plan).

401(k) Gee(k), Welcome! I fixed your SaveDay link.
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TIAX
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by TIAX » Wed Sep 18, 2019 2:22 pm

401(k) Gee(k) wrote:
Wed Sep 18, 2019 8:15 am
You may want to check out SaveDay It is similar to Guideline but with a different fee structure. It is: 0.35% of plan assets charged to employee accounts annually plus a modest investment fee ranging from 0.06% to 0.08%. There doesn't appear to be an employer charged fee.

I recently read about them here:
https://www.pionline.com/article/201905 ... er-401-k-s

Good Luck!
I don't believe there are any other 401(k) plans with no fees for employer. This would be great for employees to pitch to their bosses. Do we know what funds are offered?

ERISA Stone
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by ERISA Stone » Wed Sep 18, 2019 3:11 pm

I noticed Guideline now offers new comparability plans so maybe they are relaxing their restrictions on plan options. Good news, IMO.

https://www.guideline.com/pricing

TIAX
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by TIAX » Wed Sep 18, 2019 4:44 pm

ERISA Stone wrote:
Wed Sep 18, 2019 3:11 pm
I noticed Guideline now offers new comparability plans so maybe they are relaxing their restrictions on plan options. Good news, IMO.

https://www.guideline.com/pricing
Is that cross-testing?

ERISA Stone
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by ERISA Stone » Wed Sep 18, 2019 5:20 pm

TIAX wrote:
Wed Sep 18, 2019 4:44 pm
ERISA Stone wrote:
Wed Sep 18, 2019 3:11 pm
I noticed Guideline now offers new comparability plans so maybe they are relaxing their restrictions on plan options. Good news, IMO.

https://www.guideline.com/pricing
Is that cross-testing?
yes.

bmleaser
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by bmleaser » Wed Sep 18, 2019 5:25 pm

Unless you are using a payroll provider that integrates with guideline I recommend that you avoid them. Their customer service is some of the worst you will ever deal with. They will make mistakes. They will not get back to you. They will contradict themselves. They will not answer there phone during work hours. And most importantly no one there will care.

TIAX
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by TIAX » Wed Sep 18, 2019 10:32 pm

bmleaser wrote:
Wed Sep 18, 2019 5:25 pm
Unless you are using a payroll provider that integrates with guideline I recommend that you avoid them. Their customer service is some of the worst you will ever deal with. They will make mistakes. They will not get back to you. They will contradict themselves. They will not answer there phone during work hours. And most importantly no one there will care.
Tell us what happened.

401(k) Gee(k)
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by 401(k) Gee(k) » Mon Sep 23, 2019 8:12 am

TIAX wrote:
Wed Sep 18, 2019 2:22 pm
401(k) Gee(k) wrote:
Wed Sep 18, 2019 8:15 am
You may want to check out SaveDay It is similar to Guideline but with a different fee structure. It is: 0.35% of plan assets charged to employee accounts annually plus a modest investment fee ranging from 0.06% to 0.08%. There doesn't appear to be an employer charged fee.

I recently read about them here:
https://www.pionline.com/article/201905 ... er-401-k-s

Good Luck!
I don't believe there are any other 401(k) plans with no fees for employer. This would be great for employees to pitch to their bosses. Do we know what funds are offered?
SaveDay is offering a managed account (robo) type service using index ETFs from Vanguard, iShares and Schwab such as VEA, VOE, SCHX, IUSV, IUSG, BNDX and a few more. Basically, this means you get preset portfolios of these funds but cannot pick and choose specific funds which can be a drawback. I couldn't find a list on their website but a customer rep did provide me with a list of funds quite quickly in response to my query.

TIAX
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by TIAX » Mon Sep 23, 2019 8:34 am

401(k) Gee(k) wrote:
Mon Sep 23, 2019 8:12 am
TIAX wrote:
Wed Sep 18, 2019 2:22 pm
401(k) Gee(k) wrote:
Wed Sep 18, 2019 8:15 am
You may want to check out SaveDay It is similar to Guideline but with a different fee structure. It is: 0.35% of plan assets charged to employee accounts annually plus a modest investment fee ranging from 0.06% to 0.08%. There doesn't appear to be an employer charged fee.

I recently read about them here:
https://www.pionline.com/article/201905 ... er-401-k-s

Good Luck!
I don't believe there are any other 401(k) plans with no fees for employer. This would be great for employees to pitch to their bosses. Do we know what funds are offered?
SaveDay is offering a managed account (robo) type service using index ETFs from Vanguard, iShares and Schwab such as VEA, VOE, SCHX, IUSV, IUSG, BNDX and a few more. Basically, this means you get preset portfolios of these funds but cannot pick and choose specific funds which can be a drawback. I couldn't find a list on their website but a customer rep did provide me with a list of funds quite quickly in response to my query.
Thanks for letting us know! I've never heard of a 401(k) where you can't select individual funds. I'm surprised that haven't gotten enough complaints and changed that not so great policy.

BusterMcTaco
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Re: Searching for affordable 401K provider? Guideline? Any comments or suggestions?

Post by BusterMcTaco » Thu Nov 07, 2019 1:08 pm

See my comment in viewtopic.php?t=229371:
FWIW, I just initiated a direct rollover OUT of Guideline to my wife's new 401(k). They say 4-6 weeks for the disbursement check. This seems an extremely long time to me, so that's a solid negative in my book. I will try to remember to provide an update when we actually get the check.

There was also a $50 fee but I imagine that was disclosed somewhere.

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