Gusto (zenpayroll) 401(k) Review & Grade
Gusto 401(k) Plan
San Francisco, CAProfessional, Scientific & Technical Services2,558 active participantsPlan year 2024✓ Auto-enroll
Estimate from the plan's Form 5500 filing · How we grade
$0Employer $ per active participant
$8,924Employee $ saved per active participant
0.18%Direct admin cost, % of plan assets
$138.5MNet plan assets, end of year
$44,116Average balance per account
Score breakdown
- Employer generosity0.0 / 500th percentile for employer $ per participant
- Low cost9.7 / 2539th percentile for low admin cost vs. same-size plans
- Employee saving7.2 / 1548th percentile for employee $ per participant
- Plan features10 / 10Auto-enrollment, Default investment
- Red-flag deductions-3 pts1 issue reported on the filing
Total score24 / 100 · Grade F
This plan vs. peers
Peers: Professional, Scientific & Technical Services plans with 2,500–9,999 active participants (231 plans).
| Measure | Percentile |
|---|---|
| Employer $ per participant | 0th |
| Lower admin cost | 39th |
| Employee saving | 48th |
| Peers that auto-enroll | 47% |
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Red flags from the filing
Corrective distributions: the plan refunded $38,259 in contributions, which usually means it failed annual nondiscrimination testing.
What to do if you're in this plan
- This plan reported $0 in employer contributions for 2024. Some employers put their money into a separate plan, so check any other plans listed below and ask HR. If there really is no company money, you still get the tax break. Compare the plan's fees and funds with an IRA before deciding where your next dollar goes.
- The filing shows total dollars, not the match formula. Ask HR for the Summary Plan Description so you know the exact match and vesting schedule.
- Fund expense ratios aren't in the filing. Look them up in your 404(a)(5) fee disclosure and favor low-cost index or target-date funds.
- The plan auto-enrolls employees. Check your default contribution rate. Defaults are often lower than what it takes to get the full match.
- Changing jobs? You can usually leave the money in the plan, move it to your new employer's plan, or roll it into an IRA. Don't cash out: you'd owe taxes and possibly a 10% penalty.
The raw numbers from the filing
| Employer contributions | $0 |
| Participant (employee) contributions | $22,831,858 |
| Other contributions (incl. rollovers in) | $6,648,111 |
| Administrative expenses paid from the plan | $216,386 |
| Contract administrator fees | $300 |
| Investment advisory & management fees | $34,194 |
| Benefits paid out | $10,356,316 |
| Net assets, start / end of year | $102.7M / $138.5M |
| Active participants, start / end of year | 2,422 / 2,695 |
| Participants with account balances | 3,140 |
| Auto-enrollment (feature code 2S) | Yes |
| Auditor | Pension Assurance LLP |
Largest service providers (Schedule C)
| Fidelity Investments Institutional | $167,192 reported compensation |
| Strategic Advisors, Inc. | $34,194 reported compensation |
| Pension Assurance, LLP | $15,000 reported compensation |
Source: DOL EFAST2 Form 5500 filing, acknowledgment ID 20251015121654NAL0006045040001, received 2025-10-15, EIN 45-3942850, plan #001, plan year 2024-01-01 to 2024-12-31. Verify at efast.dol.gov.