401(k) questions? We can help.

It can take around one month to set up a retirement plan. However, the timeline can increase to two months if you are switching plan providers.

Applying for a plan is often the least time-consuming part of the process. With Human Interest, eligible employers can start the process of setting up a retirement plan within minutes. We send all documents electronically for approval and e-signing.

Human Interest offers three service levels: Essentials, Complete, and Concierge. Essentials starts at $120 per month + $5 per employee. However, the total cost of your plan varies, and it is possible to reduce the total cost of your plan if you qualify for tax credits. The startup tax credit, for example, allows eligible employers to save up to $5,000 a year for three consecutive years on the costs of starting a 401(k) plan.

To contact our sales team, you can reach us from Monday to Friday from 6 a.m. to 5 p.m. PST at (877) 475-0179 or fill out our form to schedule an appointment. To reach support, you can visit our Support Center.

Human Interest Advisors LLC (HIA) is a registered investment adviser offering advisory services to Human Interest 401(k) and 403(b) plans and participants.

Employers can select mutual funds, including index mutual funds, from nearly every major asset class via a digital platform. This digital platform recommends mutual fund allocations based on participant risk profiles. We offer several low-cost funds from leading investment companies, such as Vanguard, Dimensional Fund Advisors, TIAA-CREF, and more.1 You can view our entire fund lineup here.

Employers can select either 3(21) or 3(38) investment services. You can learn more about these services here.

An employer-sponsored retirement plan comes with several tax advantages, depending on your eligibility. The most common tax credits available for employers are the startup credit, the automatic enrollment credit, and the employer contribution credit.

Due to SECURE Act 2.0, small businesses with fewer than 50 employees can receive increased tax credits of 100%, capped annually at $5,000 each year (for three years) to cover the costs of starting a new retirement plan. For medium to large businesses, the startup tax credit allows eligible employers to claim 50% of their startup costs up to $5,000 per year for up to three years. Employers may choose to start claiming the credit in the tax year before the tax year in which the plan becomes effective.

The automatic enrollment tax credit allows employers to earn $500 in tax credits for the first three years of providing automatic enrollment in their retirement plans.

Finally, the employer contribution tax credit allows employers with no more than 50 employees to earn credits based on a percentage of employer contributions. Employers with over 50 employees may qualify for a phase-in credit for the first five years of the plan.

An employer match is a powerful recruiting tool that can help attract top talent because it can help your employees reach their retirement goals faster. Offering partial or full dollar-for-dollar contributions helps employers find dedicated, motivated employees, which saves businesses money in the long run. Additionally, an employer match may not be as costly as you might think. Employers can deduct matching contributions up to a maximum limit from their corporate tax returns. Employers may also be able to take advantage of the employer matching tax credit, available for businesses with 51 and 100 employees, which allows credits up to $1,000 per employee making less than $100,000.

Employers with 51 to 100 employees may qualify for a credit phase-in equal to a percentage of 2% points for each employee for the preceding taxable year in excess of 50 employees—or the amount above multiplied by a percentage depending on the year.

While employers are not required to offer a match, the majority of employers offer an employer match. According to data from the Plan Sponsor Council of America, approximately 86% of small businesses and 95% of large businesses offer some sort of employer match. 93% of Human Interest plans offer an employer match per payroll.¹

A safe harbor provision contained in a 401(k) plan ensures eligible employees receive an employer contribution in exchange for an automatic pass on key annual nondiscrimination tests. Any 401(k) plan can be designed to include a safe harbor contribution. Depending on the plan design, the mandatory employer safe harbor contribution may be in the form of a basic match, an enhanced match, or a non-elective contribution.

We make it easy for employees to save. We make sure to provide employees with a streamlined onboarding experience from the beginning, enabling them to learn more about how to save for their retirement futures. They’ll also get access to our modern dashboard, which helps them make changes to their contribution rates, monitor their savings, and request help from our support team. 

Employees may also be eligible for (k)ickstart a program designed to help first-time savers make consistent contributions to their 401(k), as well as resources and education from our Learning Center.²

There are several factors to consider when evaluating 401(k) plan providers. We recommend looking at the following: 

• Fees and overall cost

• Assistance with reducing fiduciary responsibility 

• Technology

First, you’ll need to examine the plan provider’s pricing structure. Keep in mind that a cheaper option may not necessarily be the better option, especially if you require more administrative or investment advisory services. With that said, we highly recommend digging deeper into the fees (i.e. transaction, revenue sharing, or service) of every prospective plan provider, because you may be indirectly getting charged.

Next, is the level of administrative burden you’re willing to take on. Some retirement plan providers offer services to help your retirement plan stay compliant with the IRS and other applicable rules. These include 3(16) and 3(21) or or 3(38) fiduciary services. 

It’s common for plan providers to have modern interfaces that can improve 401(k) plan management. For example, Human Interest can integrate with your payroll provider, automatically updating contribution amounts in payroll every time an employee updates their election in their dashboard.