IVPA Association 401k Retirement Program

The IVPA 401k retirement program is a Multiple Employer Plan which means that the value of all participating member hospital plans is used to determine the fees associated with managing the 401k program for your hospital. This is one of the many ways IVPA helps you be a competitive employer and an affordable cost!

Note – Industry Affiliate Companies, regardless of their size, can also participate in the IVPA 401k plan! 

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Multiple Employer Plan (MEP) Definition (investopedia.com)

What Is a Multiple Employer Plan (MEP)?

• A multiple employer plan (MEP) is a retirement savings plan adopted by two or more employers that are unrelated for income tax purposes, as defined by the Internal Revenue Service (IRS) and the U.S. Department of Labor (DOL).12 The MEP can be a defined-benefit pension plan or a defined-contribution retirement plan such as a 401(k).
• Each MEP is organized and run by an entity known as the MEP sponsor. The MEP sponsor is responsible for administrative duties and, in most cases, has fiduciary liability for the plan. Companies that join the MEP are known as “adopting employers.”
• The MEP was created in order to encourage more small businesses to offer their employees a tax-advantaged retirement savings plan. Companies that don’t have the resources or the bureaucracy to handle a retirement plan independently can pool together to share the burden.

KEY TAKEAWAYS

1. A multiple employer plan is an employee benefit offered by two or more unrelated employers.
2. It is designed to encourage smaller businesses to share the administrative burden of offering a tax-advantaged retirement savings plan to their employees.
3. Administrative and fiduciary responsibilities of the MEP are performed by a sponsor, which may be an employer, a trade group, or a third party.