Product Announcement: Reporting for Plan Administrators

LAST REVIEWED Sep 18 2019 9 MIN READ

By The Human Interest Team

We’re excited to announce a new user interface and navigation for plan administrators. Along with that redesign, plan administrators will also have access to a brand new feature – reporting for plan administrators! This feature will provide plan sponsors with additional insights and leverage to better engage employees and manage their 401(k) plans.

Why do I need 401(k) reporting?

In order to monitor and enhance 401(k) plans, administrators need access to the data that will illuminate potential areas for improvement. With reporting, administrators can make informed plan design decisions as well as positively influence plan participation and employee contribution rates by focusing on the specific employee groups that might need prompting in a given direction. Better insights empower administrators to drive better results in their 401(k) plan.

What reporting will I have access to?

With Human Interest, you’ll have access to customizable reporting, which details employee demographic, employment, and investment data. You’ll also have instant access to six standard reports out of the box:

  • Non-Participating Eligible Employees

    • Identify employees who are eligible to participate in the 401(k) plan, but aren’t taking advantage of the opportunity.

  • Terminated Employees with a Balance

    • Note any terminated employees who still carry a balance in the plan, along with their contact information.

  • Automatically-Enrolled Employees

    • Determine which employees have been automatically enrolled as well as when they were enrolled.

  • Contribution Rate Changes

    • Pinpoint employee contribution rate changes within a customizable timeframe.

  • Current Contribution Details

    • View a snapshot of the current employee contribution elections, year-to-date contributions, and highly-compensated employee status.

  • Investments Breakdown

    • Examine the current allocation of assets in the plan, broken down by fund and asset type.

How can I use reports to maintain a healthier 401(k) plan?

Each report will provide different insights into how your employees are utilizing your plan. Below, you’ll find some ideas on how to leverage these reports:

  • Non-Participating Eligible Employees

  • Terminated Employees with a Balance

    • With Human Interest, once an employee is terminated, they automatically receive information about what they can do with their 401(k) balance. If the employee doesn’t take action, they may have forgotten about their lingering assets in your plan. Once you note which terminated employees carry a balance, you can remind them of their options. Additionally, if there are a number of terminated employees carrying a balance less than $1,000, it may be worth considering an involuntary force out in order to keep plan costs low.

  • Automatically-Enrolled Employees

    • Once an employee is automatically enrolled in the plan, they often don’t consider their contribution elections going forward. In addition to the annual notice requirements, plan sponsors can take a proactive approach with their automatically enrolled employees, reminding them of the benefits of saving in a 401(k) plan.

  • Contribution Rate Changes

    • Plan administrators are responsible for ensuring that employee deduction elections are maintained in their payroll within a timely manner. With our reporting, you’ll be able to audit the changes that have been made within a specific timeframe to make sure that is accurately reflected.

  • Current Contribution Details

    • A key indicator of your 401(k) plan’s health is the average amount employees are contributing to the plan. With this information, you’ll be able to identify employees who are potentially missing out on employer matching contributions and help them understand the value of the plan.

  • Investments Breakdown

In order to maintain a healthy plan, administrators need to have the necessary data to understand their employees’ needs and behaviors. Interested in learning more about what you can do with reporting? Click here to chat with one of our team members.

We believe that everyone deserves access to a secure financial future, which is why we make it easy to provide a 401(k) to your employees. Human Interest offers a low-cost 401(k) with automated administration, built-in investment advising, and integration with leading payroll providers.

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Disclosures

The content in this blog post has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction. Human Interest's investment advisory services are provided by Human Interest Advisors, LLC, an SEC-Registered Investment Adviser. Investing involves risk and may result in loss. Past performance is no guarantee of future results, and expected returns may not reflect actual future performance.