PLANSPONSOR - September - October 2023 - 25

2023 BEST IN CLASS 401(k) PLANS | AWARDS
MODEL
TIREMENT
PLANS
This year, 12 401(k)s reveal what it means to be Best in Class
F
or the ninth year, PLANSPONSOR has asked itself, " What
makes a retirement plan 'Best in Class'? " and is pleased to
award its Best in Class 401(k) Plan designation to 10 more
retirement plans nationwide, along with two requalifying plans.
The PLANSPONSOR research team and key editorial staff
chose this group based on our proprietary rating system overlaid
on the 2,603 responses to the 2022 PLANSPONSOR Defined
Contribution Survey. Like all benchmarks, the standards for
Best in Class change periodically; all awarded plans hold the
designation for five years after which they must requalify. This
year, plans honored in 2018 were reviewed, and those meeting
our current criteria retained their status-this was the case with
Ford Motor Company Savings and Stock Investment Plan and
NCCI Holdings Inc.
The selection of the Best in Class 401(k) plans considers a mix
of " must-have " and scaled criteria across two areas: retirement
plan design and retirement plan governance. This year, retirement
plan design, in which points are given for such elements
as advice/education, loan features and more, counted for 60% of
the criteria. Forty percent was about plan governance-e.g., plan
review and monitoring and who pays which fees.
As the retirement plan industry continues to close in on
how to best help plan participants save successfully for retirement,
and best manage plan sponsor fiduciary exposure, there
are certain plan design elements that PLANSPONSOR deems
essential for a plan to be Best in Class.
Availability of Automatic Increases
Among the must-have design criteria this year was that a plan
must allow for automatic escalation of retirement plan deferrals,
though not necessarily as a default feature. Recent behavioral
finance research about plan design supports the importance of
such a design element.
A Voya Financial study found that employers can help
increase employee retirement savings by adopting default automatic
escalators above 1%. According to the study report, " How to
Auto-Escalate Your 401(k), " employers have an opportunity to help
increase savings behaviors of their workforce by adopting higher
Art by Lars Leetaru
PLANSPONSOR.COM September - October 2023 25

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PLANSPONSOR - September - October 2023

Table of Contents for the Digital Edition of PLANSPONSOR - September - October 2023

INSIGHTS
PARTICIPANT ANALYSIS
RULES & REGULATIONS
UPFRONT
Building Strength
2023 Defined Benefit Administration Survey
2023 Best in Class 401(k) Plans
If the Goal Is Engagement
Upgrading NQDC Plans
When to Amend?
PRTs’ New Notoriety
Continuous Improvement
PLANSPONSOR - September - October 2023 - Cover1
PLANSPONSOR - September - October 2023 - FC1
PLANSPONSOR - September - October 2023 - FC2
PLANSPONSOR - September - October 2023 - Cover2
PLANSPONSOR - September - October 2023 - 1
PLANSPONSOR - September - October 2023 - INSIGHTS
PLANSPONSOR - September - October 2023 - 3
PLANSPONSOR - September - October 2023 - PARTICIPANT ANALYSIS
PLANSPONSOR - September - October 2023 - 5
PLANSPONSOR - September - October 2023 - RULES & REGULATIONS
PLANSPONSOR - September - October 2023 - 7
PLANSPONSOR - September - October 2023 - 8
PLANSPONSOR - September - October 2023 - 9
PLANSPONSOR - September - October 2023 - UPFRONT
PLANSPONSOR - September - October 2023 - 11
PLANSPONSOR - September - October 2023 - 12
PLANSPONSOR - September - October 2023 - 13
PLANSPONSOR - September - October 2023 - 14
PLANSPONSOR - September - October 2023 - 15
PLANSPONSOR - September - October 2023 - Building Strength
PLANSPONSOR - September - October 2023 - 17
PLANSPONSOR - September - October 2023 - 18
PLANSPONSOR - September - October 2023 - 19
PLANSPONSOR - September - October 2023 - 2023 Defined Benefit Administration Survey
PLANSPONSOR - September - October 2023 - 21
PLANSPONSOR - September - October 2023 - 22
PLANSPONSOR - September - October 2023 - 23
PLANSPONSOR - September - October 2023 - 2023 Best in Class 401(k) Plans
PLANSPONSOR - September - October 2023 - 25
PLANSPONSOR - September - October 2023 - 26
PLANSPONSOR - September - October 2023 - 27
PLANSPONSOR - September - October 2023 - 28
PLANSPONSOR - September - October 2023 - 29
PLANSPONSOR - September - October 2023 - 30
PLANSPONSOR - September - October 2023 - 31
PLANSPONSOR - September - October 2023 - If the Goal Is Engagement
PLANSPONSOR - September - October 2023 - 33
PLANSPONSOR - September - October 2023 - 34
PLANSPONSOR - September - October 2023 - 35
PLANSPONSOR - September - October 2023 - Upgrading NQDC Plans
PLANSPONSOR - September - October 2023 - 37
PLANSPONSOR - September - October 2023 - When to Amend?
PLANSPONSOR - September - October 2023 - PRTs’ New Notoriety
PLANSPONSOR - September - October 2023 - Continuous Improvement
PLANSPONSOR - September - October 2023 - Cover3
PLANSPONSOR - September - October 2023 - Cover4
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https://www.plansponsordigital.com/plansponsor/january_february_2024
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https://www.plansponsordigital.com/plansponsor/august_september_2021
https://www.plansponsordigital.com/plansponsor/june_july_2021
https://www.plansponsordigital.com/plansponsor/april-may_2021
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https://www.plansponsordigital.com/plansponsor/october-november_2019
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https://www.plansponsordigital.com/plansponsor/april-may_2019
https://www.plansponsordigital.com/plansponsor/february-march_2019
https://www.plansponsordigital.com/plansponsor/december_2018-january_2019
https://www.plansponsordigital.com/plansponsor/october-november_2018
https://www.plansponsordigital.com/plansponsor/august-september_2018
https://www.plansponsordigital.com/plansponsor/june-july_2018
https://www.plansponsordigital.com/plansponsor/april-may_2018
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