Paychex Named Largest 401(k) Recordkeeper in the U.S. for 13th Consecutive Year
Rochester, N.Y. (August 15, 2023) – For the 13th year in a row, Paychex, Inc. has earned PLANSPONSOR magazine’s distinction of being the nation’s largest 401(k) recordkeeper by total number of plans. Paychex, Inc., a leading provider of integrated human capital management software solutions for human resources, employee benefits, insurance services, and payroll, serves nearly 110,000 plans.
Paychex retirement plans started over the last year helped more than 23,000 business owners and their employees begin saving for a secure retirement, which earned the company recognition as the industry leader in the number of plans added over the last year. Paychex was also recognized as the leading provider of 401(k) plans with less than $10 million in assets.
“It’s an incredible honor to be named the nation’s largest 401(k) recordkeeper by PLANSPONSOR for the 13th time,” said Michael Majors, Paychex vice president of HR Solutions. “Paychex recognizes that many Americans are facing a retirement savings crisis, and we are on a mission to help business owners and employees save for a secure future. This industry acknowledgment speaks to the advanced capabilities Paychex offers to help small and medium-sized businesses compete against larger organizations with attractive, comprehensive, and affordable benefits.”
Paychex 401(k) customers and participants have access to:
- Full integration with Paychex Flex®. Users can integrate their 401(k) plans with the company’s SaaS-based HR suite, Paychex Flex, which supports payroll, HR, insurance, and other services, to reduce administrative time and cost, improve reporting, and meet fiduciary obligations.
- Pooled Employer Plan option. The Paychex Pooled Employer 401(k) Plan (PEP) gives business owners a simpler, more cost-effective way to offer comprehensive retirement benefits to employees. Paychex acts as both plan sponsor and plan administrator of the PEP, reducing employers’ fiduciary and administrative burdens. The PEP is especially well-suited for small to mid-sized businesses that may have been unable to offer a retirement plan due to the lack of affordable plan options, time, or resources needed to manage complex plan administration. PEPs also offer a feature-rich alternative to the growing number of state-mandated retirement plan programs and can be a beneficial option for employers with an existing plan looking to reduce fiduciary and administrative responsibilities. Launched in January 2021, the Paychex PEP now has more than 25,000 clients.
- Accessible investment management and self-service tools. Paychex solutions allow participants to take control of their experiences. Users can enroll in, view, and adjust their plans in just a few clicks on any device. The company’s mobile-first technology lets participants view and manage retirement plans from their smartphone, tablet, or desktop. Other tools—like savings calculators and automatic contribution increases—help participants maximize their retirement savings, and personalized investment advice from third-party experts helps them make more informed decisions for their futures.
- Fee transparency. Paychex plans make visibility a top priority. Participants and employers get clear explanations of any fees they pay related to the account. With a return of concessions feature, most 401(k) plans with Paychex return revenue-sharing payments to the plan, ensuring fee equalization, share class neutrality, and fee transparency.
- Investment flexibility and fiduciary solutions. Plan administrators of single-employer plans receiving services from Paychex can choose from thousands of plan investment choices, with no proprietary requirements, or get help managing plan investments from either a third-party 3(38) investment manager that selects plan investments or 3(21) investment advisor that advises on plan investments to help reduce fiduciary risk.
Learn more about Paychex 401(k) and Retirement Services here. Financial services professionals seeking to offer flexible retirement plans to their clients can learn more at Financial Advisor Partnerships with Paychex.
To view the complete results of the 2023 Recordkeeping survey, visit PLANSPONSOR’s website.
About the Survey
The annual PLANSPONSOR Recordkeeping Survey was conducted this May via an online questionnaire. Recordkeepers of defined contribution (DC) plans participated in the survey and provided the information within the report. All data from this survey are reported as of December 31, 2022.
Paychex, Inc. (Nasdaq: PAYX) is an industry-leading HCM company delivering a full suite of technology and advisory services in human resources, employee benefit solutions, insurance, and payroll. The company serves approximately 740,000 customers in the U.S. and Europe and pays one out of every 12 American private sector employees. The more than 16,000 people at Paychex are committed to helping businesses succeed and building thriving communities where they work and live. To learn more, visit paychex.com and stay connected on Twitter and LinkedIn.