401GO has created a unique guided portfolio builder. Rather than force participants into a pre-determined box, our strategy builder asks a few questions to determine investing goals and retirement needs, and uses this information to suggest a customized port
401GO utilizes a 100% online RIA called GO-Invest to help with the investment selections in the 401(k) plan. This makes the process easy and helpful for those employees participating as they would only need to answer a number of questions to help set up their investment allocations. This is done through a risk profiling tool and Robo-Adviser to make sure that investments in your portfolio meet your tolerance level for risk.
You don’t have to accept what the Robo-Adviser provides you, but it is certainly helpful to understand what type of investments match up with your age, time of retirement, and tolerance level for risk.
Many details differentiate a 401(k) from an IRA. The main difference is that only an employer can sponsor a 401(k) while an IRA is available without sponsorship.
Another difference is the contribution limits. An IRA only allows for $6000/yr in contributions while a 401(k) allows for $20,500/yr (in 2022), depending on age. Employers are allowed to contribute matching funds AND profit-sharing funds in a 401(k), while these are not allowed in an IRA. And, 401(k) plans offer substantial tax benefits to employers, while IRAs do not.
We’ve timed it, and some have signed up in as little as 6 minutes! While we don’t want everyone to fly through setup this quickly, most find that if they have their information prepared in advance, they can complete the process in around 15-20 minutes.
Our system will remember you, so if need to pause and come back later, you can.
For comparison, a new 401(k) plan from a traditional provider takes about 4-6 weeks to set up.
401GO does the record-keeping and administration for your 401(k) account, but is not the custodian. We partner with Broadridge Matrix Trust Company, and they hold the plan assets, which are then invested into the market. 401GO directs these trades through its platform.
401(k) accounts are some of the most secure accounts you can have. Matrix uses bank-level security and adhere to multiple industry standards to ensure the safety of assets. 401GO also maintains exceedingly high standards for data protection, including 3rd party penetration tests, extensive background checks of employees, secure password enforcement and more.
Additionally, plan sponsors are usually required to purchase a fidelity bond, which is an insurance policy that protects the funds in the case of fraud, theft, embezzlement or misappropriation.
Go to app.401go.com to log in. We recommend setting up two-factor authentication, which can be done using text, phone, or the google authenticator app.
While we don’t (yet!) have iOS or android apps available, it is possible to add a browser page to your phone, as if it is an app.
SAMSUNG: Navigate to your account login page, tap the three dots at the top right of your screen, then choose “add to home screen.”
iPHONE: See the Apple user guide here.
Once logged in, participants can manage beneficiaries, change investments and deferral amounts, change their email address, or request a loan or distribution.
Part of what makes 401GO so great is the administration that is provided. We will review and authorize any distribution or loan requests that come through from participants in your 401(k) plan. It’s easy for participants to request through our platform, and if you have a payroll integration in place, you won’t need to worry about any of the administration tasks. 401GO handles it all.
Yes! We provide integration with some common payroll providers, and with our True360™ service (available on our GoPlus and GoPremier plans), we integrate with almost all providers.
For those on our GoStarter plan, and using a provider with which we do not offer an integration, we’ve made the manual work as simple as possible. If you have less than 10 employees, it only take a few minutes each pay period.
The IRS requires businesses to have insurance to protect 401(k) participants against fraud or misappropriation by those who have access to funds. Most business insurance plans will cover up to $100,000, so when plan assets are higher than this, it’s important to purchase a fidelity bond.
A fidelity (or ERISA) bond is an insurance policy which covers 10% of plan assets. If you purchase a GO-Plus or GO-Premier plan from 401GO, your fidelity bond will be included, so you won’t need to worry about it.
The 5500 form is an annual tax requirement for every 401(k) plan. It reports general contribution information and helps ensure plan compliance.
401GO will prepare the form, as well as sign and file it. We ask plan sponsors to review it before we file. Many providers will prepare the form but will not take responsibility to sign and file it.
Annual tests are required by the IRS to ensure employees are not being unfairly excluded or from the 401(k) plan. Traditional providers test the plan annually as required, and if the plan fails, adjustments need to be made. These adjustments can sometimes be costly and cause hassles.
Thanks to our automation, 401GO provides ongoing compliance testing. This notifies you in advance if problems exist, so you have time to rectify them while they are small. We also perform the required annual test, and notify you when it’s complete, so you don’t have to wonder.
We have a flexible platform that works for almost all plan design options. We understand the IRS requirements. We guide you through the setup process carefully, and then offer a plan design suggestion that best meets your company’s needs. Of course, you can choose whether or not to accept the suggestion, but most are happy with our approach.
We offer all the safe harbor plan designs (basic, enhanced, QACA, and non-elective), as well as traditional plans and solo-k plans.
For those interested in MEP/PEP plans, we offer an alternative called Syndicate that allows companies to group their plans to take advantage of economies of scale.
Many 401(k) providers charge per eligible employee. 401GO charges only for those employees who actively participate in the plan. Our base price is $9/participant and we offer discounts for those with 50+ participating employees.
True360™ is how we are able to integrate with almost every payroll provider that exists. We are actively working to create full API integrations with as many payroll companies as we can, but it’s difficult and time-consuming work, and we don’t want you to have to wait! With True360, you’ll give our concierge team access to your payroll, and we’ll manage the 401(k) contributions manually, and we take responsibility for any errors that might happen.
If you choose the GO-Starter plan, if you aren’t comfortable giving us access, or if your payroll provider won’t allow it, we’ve made the manual process as easy as possible for you. It should take only a few minutes each pay period to complete.
Our platform is designed for small businesses, so we have reduced much of the complication associated with traditional 401(k) providers. There are two important keys that allow us to give you a very affordable plan.
The first is service bundling. We serve as the Third-Party Administrator (TPA), the recordkeeper, and the custodian (through our partner Matrix Trust). We also provide 3(38) investment fiduciary services, which allows us to offer you an excellent and affordable fund lineup. These services typically require 2-3 different professionals to manage with legacy providers, each with their own fees.
The second is automation. We built our platform from scratch, using automation technology to handle many of the tasks others do manually. Automating processes means many tasks are done in the background, efficiently, error-free and on time. Since we don’t have to pay salaries to get these tasks completed, we can save you a substantial amount of money.
Don’t worry, we never automate relationships! Call us for personal support from a human.