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For a ‘sticky’ member benefit, consider pooled 401(k) plan

ASCA, ASAE offer retirement programs to members, administered by experienced financial firms; ‘Another way to tie members to us’

PrenticePrentice

May 14, 2021
By William Ehart

It takes money to make money.

It also takes money to get reasonably priced financial services—so you can make more money.

Some associations are finding that if they can pool their staff 401(k) funds together with those of members, they can get a better deal and greater expertise on retirement plan services—and provide a hard-to-replicate member benefit that incentivizes continued membership.

“This is another way to tie members to us because they’re only able to stay in our 401(k) plan if they’re a member,” said Bill Prentice, CEO of the $9.6-million revenue Ambulatory Surgery Center Association. Thousands of members are small businesses that lack their own plan.