A Special Alert to Businesses Without a 401(k) Plan:
How to Avoid Illinois’ Forced Savings Plan
Rothschild Investment Corporation wants to make small businesses aware of an upcoming action: The Illinois Secure Choice Savings Program Act:
- Beginning in 2018, businesses in the U.S. with at least 25 employees that have been operating for at least 2 years will automatically be enrolled in a government-sponsored retirement plan.
- The state-sponsored plan will allow no flexibility in the choice of advisor, the tax treatment of contributions, or the investments available to your employees.
- Penalties for noncompliance begin at $250 per employee, and increase to $500 per employee for continued violation.
It is critical to your company’s wellbeing that you put a high-quality, costconscious retirement plan in place. Rothschild Investment Corporation specializes in designing efficient 401(k) plans as well as providing powerful insight to business owners. Other key benefits include:
- Access to an independent, conflict- free retirement plan team
- Fiduciary guidance in building and monitoring your investment menu, selecting appropriate service providers, and all other Planrelated requirements
- Full transparency with regard to fees, investments, and advice
- Reduced workload in monitoring and managing the Plan’s investments, Plan documents, various service providers, and periodic legal costs
- A strong education program for your participants with one-on-one availability
Please contact our lead 401(k) Advisor, Luke Novak, JD at (312) 983-8975 to learn more.
