401k Plans Are Hard To Understand. BrightScope Raises $2 Million To Fix That.
San Diego based BrightScope, which launched earlier this year, helps people understand their 401k retirement plans and how to maximize the benefits.
That’s a much needed service: the company says 30% of workers don’t participate at all in their company 401k programs. 22% don’t contribute enough to maximize matching benefits from companies, and 80% of workers have no idea how much they’re paying in 401k administrative and other fees. BrightScope shines a light on all that and helps people take better advantage of these programs.
The company has raised a $2 million second round of financing, led by Steelpoint Capital Partners, to continue to build out the service.
Jim Cacavo from Steelpoint and Tim Tokarsky are joining the company’s board of directors.