In a group retirement savings plan (GRSP), an employee adds to their retirement by deducting a select amount of their gross pay and allocating it towards investments. Typically, the employer will match these contributions up to a certain percentage.
Group options share some similarities with individual retirement savings plans, such as tax perks and how much an employee is allowed to contribute. However, they are different from a management standpoint.
With an individual plan, the employer may be the sole administrator of retirement savings. In a group plan, management tasks are outsourced to a brokerage or insurance company.