Ascensus & OneDigital launch Path Forward PEPs

A fresh take on employer‑sponsored retirement

On March 23, 2026, Ascensus—an independent technology stack and service platform that underpins savings plans across the United States—announced the rollout of two new pooled employer plans (PEPs). The offerings, branded as the Path Forward 401(k) and Path Forward 403(b) Pooled Employer Plans, are being delivered in partnership with OneDigital, a nationwide insurance brokerage and financial services firm. The latter marks Ascensus’s inaugural foray into the 403(b) PEP space.

Both products are positioned as “turnkey” solutions that let employers outsource much of the administrative and fiduciary workload while still providing a competitive retirement benefit to their workforce. By leveraging the combined capabilities of Ascensus’s technology stack and OneDigital’s investment stewardship, the companies say the new plans will reduce complexity for sponsors and improve outcomes for participants.

Background: why pooled employer plans matter now

PEPs have emerged as a response to a long‑standing pain point for small‑ and mid‑size employers: the cost and expertise required to run a stand‑alone 401(k) or 403(b) plan. Under a PEP, multiple unrelated employers pool their assets under a single, professionally managed plan. This structure allows participants to benefit from economies of scale, lower investment fees, and a shared compliance infrastructure.

Regulatory guidance for PEPs was solidified in the 2021 Consolidated Appropriations Act, which introduced the “pooled plan provider” (PPP) concept and clarified fiduciary responsibilities. Since then, industry observers have noted a gradual uptick in PEP adoption, especially among employers lacking in‑house HR or benefits expertise. Ascensus, which helped register the first PPP, Newport, in 2021, now administers more than 45 partner PEPs and oversees assets exceeding $2.7 billion.

The Path Forward product suite

The Path Forward 401(k) and Path Forward 403(b) plans are built on the same underlying infrastructure but target distinct employee groups. The 401(k) version is aimed at private‑sector employers, while the 403(b) variant is tailored for tax‑exempt organizations such as schools, hospitals, and charities—segments that have traditionally faced higher barriers to offering robust retirement options.

Key features highlighted by the partners include:

Centralized recordkeeping – Ascensus will manage participant data, contribution processing, and compliance reporting through its proprietary platform.
Fiduciary delegation – OneDigital assumes the role of 3(38) investment fiduciary, selecting and monitoring investment options on behalf of plan participants.
Administrative oversight – Ascensus provides 3(16) administrative fiduciary services, covering plan design, participant communication, and regulatory filings.
Trust and custody – Both entities collaborate to secure plan assets, ensuring they are held in a qualified trust with appropriate custodial arrangements.

Together, the two firms claim the solution “reduces administrative burden while enhancing employee benefits,” a phrasing that reflects the dual focus on operational efficiency and participant experience.

Regulatory structure and fiduciary roles

The partnership’s division of responsibilities aligns closely with the regulatory framework governing PEPs. Under Internal Revenue Code Section 3(38), a designated investment fiduciary is tasked with selecting and monitoring plan investments, a role OneDigital has accepted. Meanwhile, Section 3(16) obligates an administrative fiduciary to oversee plan design, documentation, and day‑to‑day operations—functions Ascensus will fulfill.

Both parties also emphasize compliance with the Department of Labor’s fiduciary standards, noting that the combined model “allows participating employers to delegate key fiduciary responsibilities while maintaining a high‑quality retirement benefit for their employees.” This arrangement may appeal to organizations wary of fiduciary liability but still eager to provide a meaningful benefit.

Strategic rationale behind the partnership

The announcement underscores a deepening relationship that already spans more than 1,000 retirement plans and over $5 billion in assets under management. By joining forces, Ascensus and OneDigital can tap into each other’s distribution channels: OneDigital’s national advisor network reaches a broad base of employers, while Ascensus’s technology platform offers the scalability required for large‑scale PEP administration.

Ascensus CEO Nick Good explained the strategic intent:

“We’re pleased to deepen our collaboration with OneDigital through these new retirement program offerings. This expanded relationship reflects our shared commitment to making high‑quality retirement benefits easier for employers to offer and more effective for the people they serve,” said Good. “By pairing our technology and service with OneDigital’s investment expertise and reach, we’re helping more savers achieve better outcomes and retire with confidence.”

OneDigital’s National Vice President of Retirement Solutions, Frank Zaguro, echoed the sentiment:

“Employers are looking for retirement programs that reduce complexity without sacrificing quality—and that’s exactly what the Path Forward PEP suite delivers. By combining OneDigital’s investment stewardship with Ascensus’ pooled plan provider and recordkeeping capabilities, we can offer a turnkey solution that supports better outcomes for savers and makes it easier for employers to provide meaningful retirement benefits,” said Zaguro.

The collaboration appears designed to address a market gap: while many fintech firms focus on digital investment platforms for individuals, fewer provide end‑to‑end solutions that handle the full spectrum of employer‑sponsored plan administration. By positioning themselves as a “one‑stop shop,” Ascensus and OneDigital hope to capture a larger share of the growing PEP market.

Market implications for employers and employees

For employers, the Path Forward plans could represent a cost‑effective alternative to building a proprietary 401(k) or 403(b) infrastructure. By outsourcing both the fiduciary and administrative functions, companies can mitigate compliance risk and focus resources on core business activities. The pooled nature of the plans also promises lower investment expense ratios, a factor that can significantly boost participant balances over time.

Employees stand to benefit from a broader selection of vetted investment options, professional oversight, and potentially higher net returns due to reduced fees. The 3(38) fiduciary role held by OneDigital ensures that investment choices are regularly reviewed for suitability and performance, a safeguard that many small‑employer plans lack.

Moreover, the inclusion of a 403(b) PEP is notable because tax‑exempt entities have historically faced limited options for pooled retirement solutions. By extending the model to this segment, Ascensus and OneDigital may unlock a sizable, underserved market, especially in education and healthcare.

Competitive landscape: who else is watching?

The PEP space is still relatively nascent, but several players have begun staking claims. Companies like Guideline, Betterment for Business, and Vestwell have introduced simplified 401(k) solutions that appeal to small firms, though most do not offer a true pooled structure. Meanwhile, traditional recordkeepers such as Fidelity, Vanguard, and Charles Schwab have launched PEP‑compatible platforms, leveraging their existing custodial and investment capabilities.

Ascensus’s advantage lies in its early involvement with the PPP regulatory framework and its existing portfolio of over 45 partner PEPs. OneDigital adds a robust broker‑dealer network that can reach employers through financial advisors—a distribution channel not always accessible to pure‑tech providers. The combined offering therefore positions the duo as a hybrid between a technology‑driven platform and a traditional brokerage, potentially differentiating them from pure‑play fintechs.

Potential adoption challenges

Despite the clear benefits, several hurdles could temper uptake. First, employer awareness of PEPs remains limited; many small business owners still rely on traditional 401(k) providers or opt for no retirement benefit at all. Education efforts will be essential to convey the cost and compliance advantages.

Second, the fiduciary delegation model, while relieving sponsors of direct liability, may raise concerns among boards unfamiliar with the 3(38) and 3(16) designations. Transparent communication about the roles and responsibilities of each party will be critical.

Finally, the competitive pressure from established recordkeepers and emerging fintech platforms could compress pricing, especially as more firms launch similar pooled solutions. Ascensus and OneDigital will need to demonstrate superior service quality and investment outcomes to justify any premium.

Analyst perspective

Industry analysts have noted that the PEP market could reach $30 billion in assets by the mid‑2020s, driven by regulatory encouragement and employer demand for simplified solutions. The Path Forward launch arrives at a moment when both the compliance landscape and employee expectations are evolving. According to a recent report from the Employee Benefit Research Institute, participation rates in employer‑sponsored plans have plateaued, suggesting that new product designs—particularly those that reduce friction—are needed to re‑engage workers.

The partnership’s focus on both 401(k) and 403(b) offerings may also signal a broader trend toward “universal” retirement solutions that can be adapted across sectors. If the Path Forward plans achieve strong enrollment numbers, they could set a benchmark for how fintech‑adjacent firms collaborate on retirement infrastructure.

Looking ahead

Ascensus and OneDigital’s joint venture illustrates a growing willingness among fintech‑adjacent firms to combine technology, distribution, and fiduciary expertise to address a persistent market need. While the ultimate success of the Path Forward 401(k) and 403(b) Pooled Employer Plans will depend on employer adoption rates, participant satisfaction, and the ability to navigate regulatory scrutiny, the announcement adds momentum to a sector that has long sought scalable, low‑cost retirement solutions.

For employers evaluating their benefits strategy, the new PEPs present a compelling option to modernize retirement offerings without the overhead of a standalone plan. For employees, the promise of professional investment oversight and reduced fees could translate into more robust retirement savings over the long term.

As the retirement landscape continues to evolve, the collaboration between Ascensus and OneDigital may serve as a template for future alliances that blend technology, advisory reach, and regulatory acumen.

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