We receive a lot of
inquiries about our 3(16) Plan Administration services from clients and
advisers across the country. From our perspective, the decision to utilize a
3(16) administrator verses simply becoming an adopting employer within an Open Multiple Employer Plan is similar
to the decision whether to order the "value meal" or "a la
carte" off the menu in the drive-thru at your local fast food restaurant.
Both options have benefits
as well as limitations.
The "value meal"
multiple employer plan approach is pre-packaged and ready to go. You probably
won't have to wait in that special parking spot if you just go with "#4
and a medium coke". But there's little room for major customization.
You'll likely get a price break going with the packaged deal since there are
some efficiencies that the restaurant gains by having you buy something that's
pretty much already set up.
