What 401(k) Plan Sponsors are Focusing on
Here’s what every plan sponsor should know as we head into a new year
As 2026 approaches, 401(k) plan sponsors are prioritizing three key areas: expanding financial wellness, ensuring regulatory compliance, and reducing plan costs.
Expanding Financial Wellness Programs
About 39% of sponsors are focusing on programs that help employees manage day-to-day finances and plan for the future. These programs go beyond retirement savings to include budgeting, emergency funds, debt management, and college savings, helping reduce financial stress and improve productivity. At Note Advisors, we provide this support to all plan participants by offering a one-on-one meeting with our Certified Financial Planners to address these topics outside the scope of their 401(k) plan, helping to enhance overall financial wellness.
Ensuring Regulatory Compliance
SECURE Act 2.0 introduces several changes for 2026, including Roth treatment of catch-up contributions for high earners, gradual increases in required minimum distribution ages, access for long-term part-time employees, and enhanced automatic enrollment rules. Sponsors need to update plan documents, payroll systems, and communicate clearly with participants.
Reducing Plan Costs
Around 70% of sponsors are exploring cost-saving strategies such as plan design changes, vendor evaluations, and multi-employer plan structures. Many are also using outsourcing and technology to simplify administration and manage fiduciary risk efficiently.
In 2026, sponsors aim to improve employee financial well-being, comply with new regulations, and manage costs. These priorities help ensure their retirement plans are effective, efficient, and supportive of participants’ long-term goals.
The Value of Professional Guidance
Research shows that individuals who work with a financial advisor tied to their retirement plan feel more confident in their decisions. They tend to contribute more regularly, invest in ways that better align with their goals, and report greater peace of mind. Having a trusted professional walk alongside you can turn confusion into clarity and uncertainty into action.
TJ Conway, CFP® APMA™ is a Financial Advisor and Retirement Planning Associate at Note Advisors. TJ works closely with plan sponsors and participants to support retirement plan enrollment, conduct ongoing plan reviews, and help align investment strategies with long-term financial goals. As a Certified Financial Planner® and Accredited Portfolio Management Advisor℠ (APMA®), TJ is committed to providing client-focused, high-quality financial advice. Connect with him on LinkedIn