Two Plans

[Guest Packer]

Can an employer sponsor two 401k plans because of different options offered by providers. Namely, one provider allows Roth, and one does not. The Employer wants to establish a plan with the non-Roth company, but wants Roth. So he wants to establish two plans. Can they do that?

[mwyatt]

If they like having double the administrative costs, sure!

[Mike Preston]

He should look for a company that offers Roth and meets his objectives with respect to non-Roth. The 401(k) martketplace is big and burly. Surely it can be done.

[mwyatt]

Curious what providor wouldn't allow for Roth deferrals. Not exactly rocket science, just entails adding an additional source, which isn't that big of a deal.

[Appleby]

Curious what providor wouldn't allow for Roth deferrals. Not exactly rocket science, just entails adding an additional source, which isn't that big of a deal.

Some are behind in their rollout, due to programming changes required to supporting systems

[mwyatt]

But its been over a year now; how hard is it to add another source? Would make me question that particular vendors' accumen.