Bridging the Gap: How Advisors Can Leverage Policy and Innovation to Reach More Clients

Roughly half of private-sector workers in the U.S. lack access to a workplace retirement plan. Even among those with access, many aren’t contributing enough to achieve long-term financial security. This persistent savings gap isn’t just a policy challenge, but a business opportunity for advisors.

Advisors have long been the link between employers, savers, and the financial system. Now, that role is expanding even further. Policy shifts are widening access, technology is reshaping engagement, and employers are seeking clarity in a fast-changing environment. To Vestwell is to translate these trends into action, strengthen relationships, and play a pivotal role in closing the savings gap.

Voices From VEST: Thought Leaders Driving Policy and Innovation Conversations

This September, Vestwell brought together leaders from across the industry at VEST, our inaugural conference, to examine the future of savings.

Across keynotes, panels, and fireside chats, one theme continued to resurface: bridging the savings gap will require both public policy and private innovation. Three sessions in particular underscored what’s next for advisors and the industry:

• “Opening Keynote: The New American Savings Economy” – Featuring Roger W. Ferguson Jr., President and Chief Executive Officer, Teachers Insurance and Annuity Association of America (TIAA) (2008-2021); Vice Chairman of the Board of Governors, U.S. Federal Reserve System (1999-2006); this keynote explored how demographic shifts, technology, and evolving public–private partnerships are redefining the savings ecosystem.
• “Panel: Bridging the Savings Gap – Policy, Access & Innovation” – Featuring Brian Graff from the American Retirement Association, this session emphasized how continued bipartisan support for retirement legislation is driving momentum for advisors, with new potential legislation setting the stage for further expansion.
• “Bridging the Savings Gap – Policy, Access & Innovation” – This session featured Douglas Magnolia of Vestwell, Jacquelyn Reardon of Franklin Templeton, Angela Antonelli of Georgetown Center for Retirement Initiatives, and Shai Akabas of Bipartisan Policy Center. The discussion highlighted how state programs, federal incentives, and platform innovation are coming together to expand savings access nationwide.

Together, these conversations made one thing clear: the future of retirement savings will be shaped by the alignment of policy and innovation—and advisors are central to making that connection.

Advisors are being called to act on this momentum. Here, we’ll distill insights from these VEST sessions to highlight why it matters and how advisors can get started.

Transforming the Savings Gap Into a Growth Opportunity

More than 57 million private-sector workers still lack access to a retirement plan. Each one represents an untapped opportunity.

As new legislation emerges, the potential impact extends beyond compliance. It reshapes how advisors build relationships, grow assets, and define their value:

• Build new relationships: State mandates and federal legislation are pulling small businesses into workplace savings for the first time. Advisors who connect with them early can establish new client relationships.
• Grow assets under management: Every new plan launched expands the pool of investable assets. Closing the coverage gap directly compounds into firm growth.
• Differentiate your practice: Advisors who guide employers through regulation, plan setup, and engagement strategies stand out in a crowded market.

The bottom line: The savings gap isn’t just a staggering statistic; it’s a business strategy.

Policy Momentum: What Advisors Should Know

Public policy has become a powerful driver of retirement plan adoption. Knowing how new rules and incentives translate into client action can help you position your practice for long-term growth.

State Programs as Catalysts

Over 20 states have launched retirement programs, most of them auto-IRAs that require certain employers without a plan to facilitate the payroll-deducted savings program. Many employers who begin with a state plan may want more flexibility as they grow, such as matching contributions, broader investment options, or add-on benefits.

Taking Action: Advisors can position themselves as the next step once a business is ready to graduate from a state-sponsored program to a private plan.

Federal Legislation: SECURE 2.0 and Beyond

The SECURE Act and SECURE 2.0 introduced some of the most significant changes to retirement policy in decades—automatic enrollment for new plans, expanded startup tax credits, and even frameworks for in-plan emergency savings. These provisions were designed to make it easier for employers to offer benefits and for employees to participate, but many business owners still aren’t aware of what’s available or how to take advantage of it.

Taking Action: Translating these rules into plain language and walking employers through the steps, advisors can turn what feels complicated into something actionable and approachable.

A Bipartisan Bright Spot

As emphasized throughout VEST, retirement policy remains one of the few areas with broad bipartisan support. That stability matters. Advisors can confidently discuss new rules and incentives with clients, knowing that the overall direction is toward expanding access.

Taking Action: Don’t shy away from policy conversations with clients. Talk about the opportunities, like tax credits or automatic enrollment, without wading into politics.

Technology as a Growth Engine

Speakers throughout VEST noted that technology isn’t replacing advisors—it’s amplifying them. By aligning with modern, integrated platforms, advisors can scale efficiently while enhancing client experiences.

When evaluating providers, look for a tech-forward platform that offers:

• Payroll integrations: Seamless connections that reduce errors, speed contributions, and eliminate manual data entry.
• Automated compliance: Real-time testing and alerts that flag issues before they become problems.
• Saver-friendly apps: Mobile access, intuitive dashboards, and personalized nudges that keep savers engaged without constant advisor intervention.
• Multilingual support: Tools that ensure every employee can understand and act on their savings options.
• Data-driven insights: Analytics that help you monitor plan health, identify engagement gaps, and target outreach.

Taking Action: What Advisors Can Do Now to Vestwell for the Future

Bridging the gap is about policy and technology, but for advisors, it’s about connecting the two. Your role is evolving from plan designer and investment expert to a holistic guide, helping clients navigate both compliance and engagement. Here’s what you can do now:

1. Stay looped in on policy momentum.

New state mandates, federal incentives, and regulatory updates are constantly opening doors for advisors. Track emerging legislation and savings programs to identify where your clients and prospects can benefit next.

2. Lead with simple recommendations.

Turn complex policy into plain language and actionable steps. Clients don’t need legislation; they need clarity.

3. Layer in holistic benefits.

Introduce education, disability, and emergency savings options alongside retirement plans to address more employee needs, differentiate your practice, and grow AUM.

4. Choose tech that works for you.

Partner with providers that integrate payroll, automate testing, and streamline engagement, so you can continue focusing on scaling your practice.

Looking Ahead With Savers

The future of savings will be shaped by how effectively we expand access and engage savers. Advisors sit at the center of that mission. By pairing the momentum of public policy with the tools of private innovation, you can reach more clients, deliver stronger outcomes, and play a direct role in closing the savings gap for millions of Americans.

Ready to Vestwell? Book a demo to see how Vestwell equips advisors with the tools, integrations, and insights to reach more clients and deepen engagement.