Bundled vs. Unbundled Retirement Plans: What You Need to Know
When it comes to retirement plan design, business owners, wealth advisors, and CPAs face a critical question: should you bundle or unbundle your plan?
At The Asteri Collective, we work with both. In fact, we partner with some of the largest bundled providers in the industry—Empower, Voya, and others—on plan designs that need a higher level of expertise. But we also know that for certain businesses and complex plan types, an unbundled approach delivers the flexibility and control required for long-term success.
What Is a Bundled Plan?
In a bundled retirement plan, one provider handles recordkeeping, plan administration, compliance, and investments under a single contract. These are often cost-effective, especially for businesses that want a streamlined solution.
But bundled doesn’t always mean best.
For plans that require custom design, flexible investment options, or the ability to evolve with acquisitions, ownership changes, or compensation structures, unbundling offers a strategic edge.
Why Unbundle? Flexibility, Expertise, and Long-Term Value
Unbundled plans allow employers to select best-in-class providers for each role—TPA, recordkeeper, investment advisor—giving them greater control over fees, investment choices, and plan design.
This is especially important when:
- Designing complex Defined Benefit (DB) or combo plans
DB plans used to maximize contributions can be constrained if investments over-perform. Without room for further contributions, tax savings vanish. Coordinating contributions, performance, and compliance requires expertise—and unbundled plans allow that. - Navigating M&A activity or ownership changes
Transitions require nimble onboarding, offboarding, and integration of employees and assets. Bundled platforms often lack the agility to manage these transitions cleanly. - Maximizing tax efficiency and plan participation
Strategic plan design, combined with smart investment architecture, ensures your retirement plan works harder—for you and your team.
Fee Compression and the Value of Expertise
Fee compression is a real challenge—especially in the upmarket space. Advisors and providers are being asked to do more for less. But when every dollar counts, having an expert from The Asteri Collective in your corner pays dividends.
We don’t replace advisors—we partner with them. Our members are the industry’s most experienced retirement plan consultants. We handle the technical complexity of plan design so you can focus on investments and client relationships.
The Bottom Line
Bundled providers are great partners—and we’re proud to work with them. But when your plan needs flexibility, customization, or an expert eye on long-term tax savings and contribution strategy, unbundling may be the smarter path.
At The Asteri Collective, we help you design the right plan for your business—whether bundled or unbundled. Because retirement plans should work for your future, not against it.
