What type of retirement plan does not require the same degree of fiduciary standards as those outlined in ERISA?

Simple IRAs have a different regulatory framework than plans governed by the Employee Retirement Income Security Act (ERISA). They are designed primarily for small businesses and have less complex compliance requirements. Unlike 401(k) plans and defined benefit plans, which are subjected to ERISA’s stringent fiduciary responsibilities, Simple IRAs do not impose the same level of fiduciary obligations on employers, making them less burdensome in terms of regulatory oversight.

These plans are characterized by their simplicity and ease of administration. They allow small businesses to offer retirement benefits without the complex fiduciary duties and administrative costs associated with ERISA-covered plans. As a result, while employers have a responsibility to administer the Simple IRA properly, they are not held to the more rigorous fiduciary standards that apply to other types of retirement plans, which helps facilitate easier access to retirement savings options for employees.