Green Leaf launches industry-first 401(k) plan for legal cannabis employers
Following passage of the SAFER Banking Act in 2023 that was intended to allow cannabis firms more access to banking and financial services, as well as employer-sponsored retirement accounts, GreenPath 401k was recently launched by Green Leaf Business Solutions, a HR and payroll solutions company for the cannabis industry.
GreenPath 401k is a one-of-a-kind, fully vetted and transparent retirement plan solution tailored specifically for the legal cannabis industry, First Citizens Bank will serve as the custodial agent and banking partner for the plan and Green Check will provide the account onboarding and verification services for the entire coalition of the financial partners.
Green Leaf has partnered with coalition of trusted financial institutions – Vanguard, CuraFin Advisors, Mid Atlantic Trust, First Citizens Bank, PCSRetirement, and Green Check Verified – that are committed to serving the cannabis sector, according to Green Leaf.
“We spent years perfecting a program that adhered to federal and state guidelines, clearing the way for institutional grade 401(k) providers to work within this unique market segment,” says Tyler Priest, Chief Revenue Officer, Green Leaf Business Solutions. “Our continued commitment is to provide cannabis employees with a stable solution for their retirement planning needs.”
We talked with Priest to learn more about this new frontier in 401(k) retirement plans.
Q: How does partnering with big names like Vanguard, CuraFin Advisors, and others make this the most reliable 401(k) solution the cannabis industry has ever seen?
Priest: At GreenPath 401(k), our mission is to provide cannabis businesses with the same level of financial security and retirement planning resources that traditional industries have long enjoyed. By partnering with leading financial institutions like Vanguard, CuraFin Advisors, and others, we bring best-in-class investment options, fiduciary oversight, and regulatory expertise to an industry that has historically been underserved.
These partnerships ensure stability, trust, and compliance—three critical elements missing from previous retirement solutions in cannabis. Vanguard’s reputation as a low-cost, high-performing investment provider, coupled with CuraFin’s cannabis-specific financial expertise, allows us to offer a solution that isn’t just compliant, but also competitive and future-proof.
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Additionally, we are constantly working to add even more fund options to our plans, ensuring that cannabis businesses and employees have access to the most diverse and effective investment choices. However, we won’t add new partners unless they are truly ready to commit to the cannabis industry for the long haul. This means no temporary, conditional support—only trusted financial institutions that understand the industry’s needs and are willing to stand by it. Simply put, this is the most reliable and scalable 401(k) plan the cannabis industry has ever seen.
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Q: Why did 401(k) providers would frequently “give out” on employees and employers in the cannabis industry, and what was the trickle-down impact?
A: For years, cannabis companies have faced discrimination and regulatory hurdles from traditional financial service providers. Most 401(k) administrators and banks refused to work with the industry due to the federal classification of cannabis, leading to abrupt service terminations, frozen assets, or outright denials of retirement benefits. <!–>
The trickle-down impact was devastating:
- Employees lacked long-term financial security, making it harder to build generational wealth.
- Employers struggled to attract top talent, putting them at a disadvantage compared to other industries offering robust retirement plans.
- The industry remained financially marginalized, furthering the stigma that cannabis businesses aren’t “real” businesses.
GreenPath 401(k) is solving this problem by offering a sustainable, compliant, and industry-first retirement solution that won’t vanish overnight.
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Q: What does industry-first 401(k) mean for the future of an industry so heavily focused on social equity?
A: The cannabis industry has always championed social equity, workforce development, and economic empowerment. Yet, the lack of access to traditional financial services has disproportionately affected small business owners, employees, and social equity licensees. By delivering one of the first scalable 401(k) solutions tailored for the cannabis industry, we are partnering with top financial institutions, including top 15 banks and advisors who work directly on 401(k) legislation. This ensures cannabis businesses have access to the same high-quality retirement solutions as any other industry. By doing so, we are leveling the playing field and creating pathways for real wealth accumulation—especially for those who have been historically impacted by cannabis prohibition. This initiative is a game-changer for social equity efforts, ensuring that employees in the industry, many of whom come from communities affected by the War on Drugs, have access to the same retirement benefits as professionals in any other sector. <!–>
Q: How will this 401(k) solution attract and retain top talent in the cannabis industry?
A: In any industry, a competitive benefits package is key to recruiting and retaining the best talent. The cannabis sector is no different.
GreenPath 401(k) gives cannabis businesses the ability to offer a legitimate, federally compliant retirement plan, making their compensation packages as attractive as those in mainstream industries. This means:
- Higher retention rates as employees feel more secure in their future.
- Attracting professionals from other industries, bringing in talent with expertise in operations, marketing, finance, and other critical areas.
- Improved workplace morale and financial wellness, leading to higher productivity.
By providing cannabis employees with the ability to invest in their futures, GreenPath 401(k) helps businesses build stronger teams, reduce turnover, and position themselves as industry leaders.
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