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Recently, U.S. legislators have introduced new classes of retirement plans, all with the aim of helping small businesses offer 401(k)–style benefits.

Ushered in by the 2019 SECURE Act, the intention of these new plan types is to make it easier for small employers to achieve some of the administrative efficiency and economies of scale enjoyed by large plans. That’s because as retirement plans grow in asset size, they tend to secure lower management and recordkeeping fees.

 

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