401(k) PLANS FOR BUSINESSES
401(k) Plans: Compare Your Options
You’ve decided to start a 401(k) plan—but which one do you choose? We make the decision as easy as possible. Compare all the different 401(k) plans and explore your options side by side.
Retirement plans designed to grow with you
Our 401(k) plans have the built-in support a growing business needs.
Easy
Features like payroll integration, automatic enrollment, auto increase, and financial wellness provide a streamlined experience.
Trusted
Rely on proven administrative service and compliance support to lighten your workload.
Scalable
Start simple and scale over time, with plan features, investment lineups, and service levels that evolve with your business.
Compare Ascensus 401(k) plans
Get a quick breakdown of how the different 401(k) types stack up against each other.
Eligibility | Owner-only businesses with no full-time employees | Business with up to 75 employees | Businesses of any size | Any business that wants to join a pooled plan |
Contribution limits | 401(k) plans have some of the highest limits of all retirement plans | |||
Employer contributions | Discretionary profit sharing | Optional matching or profit sharing | Optional matching or profit sharing | Optional matching, determined by the adopting employer |
Plan benefit details
Each 401(k) plan type offers distinct advantages depending on your business structure.
Individual(k)
Designed for: Self-employed business owners who want to maximize retirement savings and reduce taxes
Also known as an Individual 401(k) or Solo 401(k), this plan is built specifically for independent contractors, solopreneurs, and businesses with no employees other than the owner (and spouse, if applicable). It lets you save for retirement as both the employer and the employee, helping you put away more—without the complexity of a traditional 401(k) designed for larger companies.
Plan features
Higher contribution limits than SEP or SIMPLE IRAs
Pre-tax and Roth contribution options
Ability to borrow from your account and pay yourself back
Flexible investment options
Admin and compliance
Simple to set up and easy to maintain
Built-in plan support
Lower administrative costs
No complex annual testing
Participant experience
Easy online account access
ReadySAVE® mobile app for on-the-go account management
Ascensus Essentials 401(k)
Designed for: Growing teams that want a turnkey retirement plan with high contribution limits
Ascensus Essentials 401(k) is a simplified plan you can shape around your business. It’s built to support growing teams with tax advantages and features that help offer a competitive benefit—without adding unnecessary complexity.
Plan features
Available for businesses with up to 75 employees
Higher contribution limits than most plan types
Pre-tax and Roth employee contribution options
Optional employer contributions
Admin and compliance
Online plan setup and automated processes
Payroll integration with 500+ providers
Full-service plan administration
Compliance testing and regulatory support
Participant experience:
Automatic enrollment and automatic increase
ReadySAVE® app for mobile access
Financial wellness program
Participant education resources
Ascensus 401(k)
Designed for: Employers who want custom plan design with maximum investment flexibility
This group 401(k) plan accommodates employers or businesses of all sizes, with comprehensive options to fit your business goals. With your financial advisor, the Ascensus 401(k) simplifies plan administration and reduces fiduciary risk.
Plan features
Extensive investment options, including access to more than 16,000 funds
Managed account options
3(16) administrative services
Onboarding support from a dedicated consultant
In-person and virtual enrollment meetings
Third-party administrator (TPA) service arrangements
Admin and compliance
Full-service administration or TPA plan management
Dedicated service support
Flexible integration with payroll providers
Participant experience
Automatic enrollment and auto increase
Online account access
ReadySAVE® app for mobile access
Financial wellness program
Participant education resources
MEP and PEP 401(k) plans
Designed for: Employers seeking a cost-effective, business ready retirement solution.
A Pooled Employer Plan (PEP) or a Multiple Employer Plan (MEP) allows unrelated businesses to join a single retirement plan. This option shifts most of the fiduciary and administrative responsibilities to a professional provider, giving you the benefits of a large-scale 401(k) without the administrative workload.
Plan features
Bundled service to reduce employer fiduciary liability and admin work
A Pooled Plan Provider (PPP) manages the day-to-day operations
Ascensus handles eligibility tracking, payroll integration, and compliance testing
Access to low-cost mutual funds meant for larger investors
Admin and compliance
A turnkey solution that doesn’t require custom documents and plan features
Some customization available
Testing and fiduciary liability is outsourced to the PPP or MEP sponsor
Participant experience
Online account access
Financial wellness programs
ReadySAVE® app for mobile access
Individual(k)
Designed for: Self-employed business owners who want to maximize retirement savings and reduce taxes
Also known as an Individual 401(k) or Solo 401(k), this plan is built specifically for independent contractors, solopreneurs, and businesses with no employees other than the owner (and spouse, if applicable). It lets you save for retirement as both the employer and the employee, helping you put away more—without the complexity of a traditional 401(k) designed for larger companies.
Plan features
Higher contribution limits than SEP or SIMPLE IRAs
Pre-tax and Roth contribution options
Ability to borrow from your account and pay yourself back
Flexible investment options
Admin and compliance
Simple to set up and easy to maintain
Built-in plan support
Lower administrative costs
No complex annual testing
Participant experience
Easy online account access
ReadySAVE® mobile app for on-the-go account management
Ascensus Essentials 401(k)
Designed for: Growing teams that want a turnkey retirement plan with high contribution limits
Ascensus Essentials 401(k) is a simplified plan you can shape around your business. It’s built to support growing teams with tax advantages and features that help offer a competitive benefit—without adding unnecessary complexity.
Plan features
Available for businesses with up to 75 employees
Higher contribution limits than most plan types
Pre-tax and Roth employee contribution options
Optional employer contributions
Admin and compliance
Online plan setup and automated processes
Payroll integration with 500+ providers
Full-service plan administration
Compliance testing and regulatory support
Participant experience:
Automatic enrollment and automatic increase
ReadySAVE® app for mobile access
Financial wellness program
Participant education resources
Ascensus 401(k)
Designed for: Employers who want custom plan design with maximum investment flexibility
This group 401(k) plan accommodates employers or businesses of all sizes, with comprehensive options to fit your business goals. With your financial advisor, the Ascensus 401(k) simplifies plan administration and reduces fiduciary risk.
Plan features
Extensive investment options, including access to more than 16,000 funds
Managed account options
3(16) administrative services
Onboarding support from a dedicated consultant
In-person and virtual enrollment meetings
Third-party administrator (TPA) service arrangements
Admin and compliance
Full-service administration or TPA plan management
Dedicated service support
Flexible integration with payroll providers
Participant experience
Automatic enrollment and auto increase
Online account access
ReadySAVE® app for mobile access
Financial wellness program
Participant education resources
MEP and PEP 401(k) plans
Designed for: Employers seeking a cost-effective, business ready retirement solution.
A Pooled Employer Plan (PEP) or a Multiple Employer Plan (MEP) allows unrelated businesses to join a single retirement plan. This option shifts most of the fiduciary and administrative responsibilities to a professional provider, giving you the benefits of a large-scale 401(k) without the administrative workload.
Plan features
Bundled service to reduce employer fiduciary liability and admin work
A Pooled Plan Provider (PPP) manages the day-to-day operations
Ascensus handles eligibility tracking, payroll integration, and compliance testing
Access to low-cost mutual funds meant for larger investors
Admin and compliance
A turnkey solution that doesn’t require custom documents and plan features
Some customization available
Testing and fiduciary liability is outsourced to the PPP or MEP sponsor
Participant experience
Online account access
Financial wellness programs
ReadySAVE® app for mobile access
Top questions about retirement plans
An Individual(k), or Solo 401(k), is designed for owner-only businesses or self-employed individuals with no full-time employees. A traditional 401(k) is suitable for businesses with employees, offering more customization for employer contributions and vesting.
When a business includes a safe harbor feature in its 401(k) plan, all eligible employees may participate. This plan design option ensures all employees receive employer contributions and allow owners and highly compensated employees to contribute the maximum amount without worrying about annual nondiscrimination testing.
Employer contributions may be optional or required, depending on the plan type. Safe harbor 401(k) plans require a set match or nonelective contribution. Traditional 401(k) and Pooled Employer Plans allow for discretionary contributions, while Individual(k) owners act as both employer and employee.
Traditional 401(k) plans have higher administrative requirements, such as annual IRS filings and compliance testing, while safe harbor plans offer simplified testing. Pooled Employer Plans transfer most administrative and fiduciary duties to a third-party provider. Individual(k) plans have minimal administrative needs, especially for accounts under $250,000.
You may want to switch plans if your business has grown, your needs have changed, or you want to reduce administrative work. Reviewing your plan regularly helps ensure it continues to meet your business objectives and regulatory requirements.
Yes, but as contribution limits from all plans are aggregated, it’s important to track contributions across different accounts to stay within IRS limits. Working with a retirement specialist can help you find the most effective strategy.
Why partner with Ascensus?
#1
Named Retirement Leader of the Year
With Intelligence Mutual Fund & ETF Awards2
#3
Overall customer satisfaction
JD Power Retirement Plan Digital Experience3
4.8
READYSAVE® app, rated 4.8 stars
Makes it easier for participants to manage savings4
Take the next step
Whether you’re starting your first plan or considering switching providers, our team can help you compare your options.
Share a few details, and we’ll be in touch.
Keep exploring
Read more about all the different ways Ascensus can help support you and your employees’ retirement goals.
How a 401(k) can help you grow your business
Learn how offering a retirement plan supports small business growth through tax credits, deductions, employee recruitment and retention, and more.
How to Set Up a Small Business 401(k)
Learn how to set up a 401(k)—from choosing a plan type, to understanding fees and costs, to selecting the right plan provider.
Integrating payroll with your 401(k) plan
Discover how integrating payroll can help save time, simplify your responsibilities, reduce errors, improve compliance, and automate contribution processing.
1 1Source: With Intelligence. With Intelligence Mutual Fund & ETF Awards. February 2026. https://awards.withintelligence.com/mutualfundandetfawards/en/page/2026-winners
2Source: JD Power. 2025 U.S. Retirement Plan Digital Experience Study. September 2025.
3Source: App store rating as of April 2026. Based on user reviews from the Apple App Store® and Google Play™. Ratings may change over time and may not be representative of all user experiences. Apple and Google Play are registered trademarks of their respective owners.