The Benefits of Community Banks Outsourcing 401(k) 3(16) Plan Administrator Fiduciary Duties to a Professional

Brought to you by Pentegra
Published February 5, 2025

The role of the 3(16) Plan Administrator under the Employee Retirement Income Security Act of 1974 (“ERISA”) is particularly demanding, encompassing plan operations, regulatory compliance, and participant communications.

Download

Community banks play a vital role in supporting local economies, but their limited resources often require bank employees to juggle multiple responsibilities. Managing a 401(k) plan—a critical benefit for attracting and retaining talent—adds another layer of complexity. The role of the 3(16) Plan Administrator under the Employee Retirement Income Security Act of 1974 (“ERISA”) is particularly demanding, encompassing plan operations, regulatory compliance, and participant communications. For community banks, outsourcing 3(16) fiduciary responsibilities to a professional provider can be a strategic decision that delivers substantial benefits.

Download to read the full text.

The Benefits of Community Banks Outsourcing 401(k) 3(16) Plan Administrator Fiduciary Duties to a Professional

In Depth

Related to This