Transamerica and SWBC Unveil Retirement Plan Exchange for Businesses

Introduction

Transamerica has recently partnered with SWBC to launch the SWBC Retirement Plan Exchange, a pioneering initiative designed to simplify retirement benefits access for growing businesses across the nation. In a landscape where competitive retirement options are increasingly crucial for talent acquisition, this exchange promises to deliver innovative solutions that ease administrative burdens while providing comprehensive benefits.

What Is the SWBC Retirement Plan Exchange?

The SWBC Retirement Plan Exchange provides employers with two unique options tailored to meet their specific needs:
1. Retirement Plan Exchange® Solution: Employers can select from a curated menu of cost-effective features. This solution is managed by TAG, a premier third-party administrator and a subsidiary of Transamerica, which will handle daily operations and file necessary documentation like Form 5500 on behalf of the employers.
2. Choice Pooled Employer Plan (PEP): This option allows employers to join a collective pooled plan managed by Transamerica Fiduciary Services. By leveraging this model, participating businesses benefit from streamlined fiduciary oversight and simplified compliance processes, including a shared Form 5500.

Collaboration Enhances Value

SWBC Wealth Management will play a crucial advisory role, offering ERISA 3(38) fiduciary investment services. They will also provide essential administrative fiduciary support via TAG to ensure that plan sponsors and employers participating in the PEP have a superior experience. The initiative has been made possible by the recent SECURE 2.0 Act, which encourages more businesses to adopt pooled plans by easing regulatory and compliance demands.

The Significance of This Launch

Kyle Hittle, a Wealth Advisor at SWBC Wealth Management, emphasized the significance of this collaboration, stating, "Collaborating with Transamerica enables us to bring measurable value to our clients. Together, we are committed to simplifying plan administration and significantly enhancing the financial well-being of employees nationwide."

Meeting the Needs of Small Businesses

One of the critical insights from the 2024 Transamerica survey reveals that 44% of employers cited challenges in recruiting and retaining staff as a primary reason for considering pooled retirement plans. Furthermore, nearly 47% of the respondents initiated offering retirement benefits only after discovering pooled options.

Transamerica's Darren Zino expressed the company's commitment to empowering small businesses. He stated, "Transamerica takes pride in being at the forefront of retirement solutions. Our partnership with SWBC is aimed at eliminating barriers that prevent smaller firms from providing substantial retirement benefits, thus encouraging a more financially secure future for their employees. We aspire to allow every employee to live their best life by giving employers clear alternatives between our customizable Exchange solution and an all-encompassing PEP solution. This way, employers can devote more attention to their workforce rather than paperwork."

Next Steps for Employers

Small and medium-sized businesses interested in exploring the SWBC Retirement Plan Exchange can reach out directly to SWBC's Wealth Advisor, Kyle Hittle. He can be contacted via email at [email protected] or by phone at (210) 667-2314.

About Transamerica

Transamerica has been a trusted provider of life insurance, retirement, and investment solutions for over ten million Americans. The company is dedicated to ensuring that individuals and businesses can optimize their financial futures. With over 120 years in the industry, Transamerica aims to support customers' aspirations and commitments, having paid out more than $62 billion in insurance and retirement claims recently.

About SWBC

SWBC operates as a diversified financial services entity offering an array of solutions, including insurance, mortgages, and wealth management services to institutions, businesses, and individuals. Headquartered in San Antonio, Texas, SWBC's extensive reach spans all 50 states, facilitating customized service delivery that meets client-specific needs.

Conclusion

The launch of the SWBC Retirement Plan Exchange marks a significant advancement in the retirement planning landscape for small and medium-sized businesses. By combining forces, Transamerica and SWBC are setting a new standard for retirement plans, making it easier than ever for employers to provide competitive benefits that enhance employee satisfaction and retention.