The 401(k) Problem That Small Business Owners Have Been Waiting to Solve

ser_ngmi · 2025-12-31T10:58:35+00:00

Over 5 million small businesses lack retirement plans due to traditional 401(k) complexities. Simply Retirement by Principal® simplifies the process with an online setup, transparent pricing, and robust technology, enabling small businesses to offer retirement benefits easily and affordably.

ser_ngmi

2025-12-31 10:58:35

Abstract generation in progress

Here’s the reality: over 5 million small businesses still don’t offer retirement plans to their employees. Not because they don’t want to—most understand it’s crucial for attracting talent—but because traditional 401(k) setup is a nightmare of paperwork, high costs, and complexity.

Principal Financial Group just changed the game with Simply Retirement by Principal®. It’s designed for exactly what small business owners have been asking for: a no-fuss, affordable way to roll out a 401(k) without the headache.

What Makes This Different?

Simply Retirement by Principal® strips away all the bureaucracy. Setup happens entirely online through a straightforward digital process—no in-person meetings required. If you get stuck, a phone call gets you sorted immediately.

On the cost side, the pricing is refreshingly transparent:

$500 one-time setup fee
$150 monthly recordkeeping fee
$6 per month per employee (business owner can absorb this if they choose)

That’s it. No surprise fee increases as your plan grows. Predictable pricing means business owners can actually budget for this.

The Tech Behind It

Simply Retirement by Principal® combines Principal’s 75+ years of retirement expertise with Ubiquity Retirement + Savings®’ modern recordkeeping technology. The result is a platform that’s both robust and easy to use—think of it as bringing financial sophistication to small business operations.

The investment options are solid too, offering competitive performance and real growth potential for employee contributions and any matching funds the business adds.

Why This Matters Right Now

Survey data shows 85% of small businesses with 1-100 employees say they’re stable or growing. Yet most still haven’t tackled the retirement benefits gap. It’s not just about compliance or employee retention anymore—it’s about competing for talent in a changing workplace.

When a business owner can offer a retirement plan simply and affordably, it shifts the conversation with employees from “we’re small” to “we invest in your future.” That’s culture change that actually costs less than expected.

Simply Retirement by Principal® finally makes it realistic for the majority of small businesses to say yes to retirement benefits.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.