Thank you for considering us as your ESOP plan service provider. We'll do our best to make your search as easy as possible.
Thank you for considering Principal® as your ESOP service provider!
Welcome to Principal
LEARN ABOUT PRINCIPAL
The Principal difference
Unlike other providers, retirement is at the heart of our business. Retirement and asset management operations represent 95% of our assets under management.* We're committed to serving our retirement clients and investing in our business.
* Principal data as of Dec. 31, 2022.
We're proud of our culture
Our people shape and reinforce our culture of service, inclusion, and innovation while helping our customers reach their goals for financial security and live their best lives.
We typically receive industry accolades like these proving we make our values come to life.
Top 100 Most Sustainable Companies in America
Barron’s, February 2022
America’s Best Employers for Diversity
Forbes, April 2022
World’s Most Ethical Companies®
Ethisphere Institute, February 2021
Multiple plans. One integrated experience.
PRINCIPAL® TOTAL RETIREMENT SOLUTIONS
With Principal® Total Retirement Solutions you'll have one simple experience on a streamlined digital platform with one experienced relationship manager and one experienced team instead of multiple service providers. Plus, your employees can check their retirement benefits with just one click, one call, one app.
As a top service provider, our capabilities can help you manage the complexities of multiple retirement plans. Click on the circles to learn more about our services.
DC recordkeeper1
DB recordkeeper2
NQDC provider3
ESOP provider4
1 Based on defined contribution participant count. PLANSPONSOR July 2022 Recordkeeping Survey.
2 Based on number of plans, PLANSPONSOR DB Administration survey, May 2021.
3 Based on number of Section 409A plans, PLANSPONSOR Recordkeeping Survey, July 2022.
4 Based on number of ESOP plans, PLANSPONSOR Recordkeeeping Survey, July 2022.
Top Reasons for choosing Principal Financial Group®
to provide ESOP Services
Breadth of our experience and companies we work with
ESOP expertise and passion for helping participants
Secure anytime, anywhere access for your participants
No cost ESOP repurchase liability forecasting tool
Hassle-free elections
Integrated retirement plan services
Tailored employee owner communication and education
Financial Wellness at your fingertips
Guaranteed Data security*
* Employer-sponsored retirement plans are defined benefit or defined contribution. The guarantee applies to employer sponsored defined benefit, ESOP or defined contribution plans and is effective for unauthorized activity that occurs through no fault of your own. Exclusions to the policy may apply. https://www.principal.com/customer-protection-guarantee
1 PLANSPONSOR Recordkeeping Survey, July 2022.
2 PLANSPONSOR DC Survey, January 2022, $200MM - $1B in plan assets.
3 Corporate Insight, Retirement Plan Monitor Report, December 2021.
For financial professional/institutional use only.
PARTICIPANT EXPERIENCE
Personalized experiences to help drive participant outcomes
Our participant strategy is designed to drive action. We’ve
built a personalized, interactive experience in parallel with our
call centers, so your employees can engage with us when and
how they want – for each of their plans at Principal. Your
employees can access digital retirement, investing, and
financial wellness tools and resources any time to help them
save and plan for their future. Plus, we consult with you to
develop an ongoing communications strategy designed
specifically for your organization and employees.
Engage from the beginning
What your participants enjoy:
- A single website with one login/password with on-demand consolidated statements keeps the ESOP benefit top of mind.
- One call center for questions.
- A single mobile app that covers it all.
Elevate the experience
Take retirement to the next level.
- Motivational peer comparison
- Principal® app
- Hola Futuro Spanish website
Expand beyond retirement
Access holistic financial wellness tools and resources through Principal® Milestones.
- Standard will and other legal documents participants can prepare
- Student loan repayment resources and access to more than 15,000 scholarships
- Money management education
Principal® Milestones
At no additional cost they can access:
- Enrich for unbiased financial education
- Enrich Student Loan Repayment Program (through partnership with SoFi)
- ARAG to prepare a standard will and other legal documents
Principal e-DistributionSM &
Principal e-DiversificationSM
Benefits of the services include:
- Help with cash management and budgeting through online reports, including cumulative elections.
- Paperless elections simplify process of collecting and processing forms.
- Printing and mailing costs, as well as extra time for mailings, are eliminated.
- Electronic efficiency decreases the potential for manual errors or lost forms.
- Immediate and ongoing access during the distribution election window.*
- Election changes at any time during the election window.*
Putting retirement planning at participants’ fingertips
Mobile-first approach
The Principal® app makes it easy for participants to manage their account on the go and plan for their future.
Principal® app
Our digital experience, DALBAR awards us with the Mobile Communications Seal of Excellence (2022) for the second year in a row.
For illustrative purposes only
* For eligible participants.
Custom communication samples
We're able to communicate with your employees in a way that feels familiar and comfortable to them. We can develop participant campaigns in both English and Spanish, customized with your brand. Communications include action items to help drive positive retirement outcomes, with topics such as transitioning to Principal, investment review/diversification, beneficiary designation, webinars, and mobile app usage.
Multiple campaign touchpoints
For illustration use only.
CYBERSECURITY
Committed to keeping customers’ assets and information secure
You can feel confident we have the people, processes, and technology in place to help safeguard access to your employees' data and retirement savings. Plus, we constantly monitor, test, and adjust our security features.
Safeguarding customers’ info is a top priority
Our approach, paired with third-party expertise, provides flexibility to act quickly on any potential threats. We go beyond the Department of Labor cybersecurity best practices by:
- Including two-factor authentication
- Conducting ongoing third party cyber attack testing
- Working closely with local, state, and national government agencies
- Conducting background checks on all employees
- Having cybersecurity insurance
- Serving as active members of industry groups such as:
- SPARK Data Security Oversight Board
- Cyber Readiness Institute (CRI)
- FS-ISAC
Our simple customer protection guarantee
Principal will reimburse participants’ employer-sponsored retirement accounts1 for losses from unauthorized activity occurring through no fault of their own.
Third-party validation
Independent auditing firm reviews and evaluates our controls related to security, confidentiality, and availability of customer data in SOC 2 Type 2 report.
1 Employer-sponsored retirement plans are defined benefit or defined contribution. The guarantee applies to employer sponsored defined benefit, ESOP or defined contribution plans and is effective for unauthorized activity that occurs through no fault of their own. Exclusions to the policy may apply. www.principal.com/customer-protection-guarantee
2 Financial Advisor IQ Service Awards, October 2021.
2 Financial Advisor IQ Service Awards, October 2021.
Thank you for your consideration.
The subject matter in this communication is educational only and provided with the understanding that Principal® is not rendering legal, accounting, investment or tax advice. You should consult with appropriate counsel, financial professionals, and other advisors on all matters pertaining to legal, tax, investment or accounting obligations and requirements.
The value-added resources provided through ARAG Services, LLC (ARAG®) and iGrad, Inc. (Enrich) are not a part of any insurance products and plan administrative services provided through Principal Life Insurance Co or affiliated with any company of the Principal Financial Group®. All resources may be changed or canceled at any time. The use of resources provided by ARAG Services, LLC or Enrich should not be considered a substitute for consultation with an attorney or advisor. Principal® is not responsible for any loss, injury, claim, liability, or damages related to the use of the ARAG Will & Legal Document Center or Enrich resources. Please remember that the ARAG legal documents, DIY Docs® are accurate and useful in many situations. Due to possible changes by a state, it is a good idea to periodically review a template used to be sure it is the most current template. Whether or not the document is right for you and your situation depends on your circumstances. If you want specific advice regarding your situation, consult an attorney.
Insurance products and plan administrative services provided through Principal Life Insurance Company®. Securities offered through Principal Securities, Inc., member SIPC and/or independent broker-dealers. Principal Life, and Principal Securities® are members of the Principal Financial Group®, Des Moines, IA 50392.
Principal®, Principal Financial Group® and the Principal logo design are registered trademarks of Principal Financial Services, Inc., a Principal Financial Group company, in the United States and are trademarks and service marks of Principal Financial Services, Inc., in various countries around the world.
© 2023 Principal Financial Services, Inc.
2899068-052023