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Ascensus Launches Ascensus Essentials for Small Businesses

In an effort to revolutionize how small businesses manage their retirement strategies, Ascensus has rolled out an enhanced offering known as Ascensus Essentials. This new solution represents a significant upgrade from the previous Ascensus CoPilot, now incorporating advanced functionalities aimed at simplifying both the setup and administration of retirement plans for business owners.

The launch of Ascensus Essentials is timely, as many small businesses are seeking efficient ways to implement robust retirement solutions. As part of this offering, Ascensus has introduced 3(16) administrative fiduciary services alongside a fresh 401(k) option that features investments from Vanguard. These enhancements are strategically designed to broaden the scope of retirement solutions available, giving small business owners and their advisors the flexibility needed to cater to diverse retirement plan requirements.

A crucial aspect of Ascensus Essentials is its focus on addressing a knowledge gap prevalent among plan sponsors. Research shows that nearly 48% of these sponsors are unaware of what a 3(16) fiduciary entails, while 26% have never been informed about such services. Given that fiduciary risk remains a primary concern for these sponsors, the introduction of 3(16) services aims to alleviate administrative burdens and reduce fiduciary exposure by outsourcing critical responsibilities. By shifting daily tasks such as tracking eligibility and monitoring contributions to professional fiduciaries, business owners can focus on what truly matters—growing their businesses.

Mary Torgerson, Head of Small Business Retirement at Ascensus, emphasizes the demand for a straightforward retirement plan solution that is easy to manage. She notes, “Ascensus Essentials brings together streamlined plan design, scalable capabilities, and an improved onboarding experience to help advisors and business owners move forward with greater confidence.” This sentiment underscores the company’s commitment to enhancing accessibility and simplifying administration for small business retirement plans.

As businesses increasingly recognize that simply offering a retirement plan is not sufficient, the need for comprehensive support becomes evident. Despite 98% of organizations having a qualified retirement plan in place, only 58% confirm that employees fully take advantage of these offerings. This statistic highlights the requirement for clearer administration, straightforward setup processes, and strong support, roles that Ascensus Essentials aims to fulfill.

The new offering also boasts an improved onboarding experience, enabling quicker and more efficient online plan setup. This streamlined process facilitates a faster transition for business owners, allowing advisors to provide a more intuitive experience for their clients. In fact, the digital onboarding has been shown to cut plan setup time dramatically, with some plans going live in as little as 2.5 days. This notable reduction in setup time is a vital advantage for small business owners who often juggle multiple responsibilities.

Feedback from financial advisors highlights the effectiveness of the Ascensus Essentials onboarding experience. For instance, Kyle Worthy, the Director of Retirement Plans at Spartan Wealth Management, noted that the process was so straightforward that it eliminated the need for any phone calls while allowing clients to navigate tasks independently. This streamlined approach has led many professionals to reconsider their relationship with Ascensus as a dependable business partner.

The platform also includes features accessible through Advisor Central, a hub offering retirement solutions, client engagement tools, and an array of resources aimed at advisors. This direct access makes it easier for financial professionals to set up plans that best meet client needs, facilitating an overall enhanced client experience.

Ascensus Essentials is part of a more extensive suite of retirement solutions designed to support the long-term needs of small to mid-sized businesses. It combines a simplified product structure with advanced digital onboarding, ensuring that as businesses expand and their requirements evolve, they have the necessary resources at hand.

To explore more about Ascensus Essentials and how it can help small businesses enhance their retirement offerings, visit ascensus.com.

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References:
1. Research from Newport, an Ascensus company, into compensation, retirement, and benefits trends.
2. Internal plan data from Ascensus.