SageView Advisory Group’s Post

As AI and technology dips its toes further into the retirement plan space, we should expect more products and solutions to come to market. As a result, as independent retirement plan consultants, we have an increased responsibility to our plan sponsor clients and participants to understand what is available and ensure that new solutions will have a positive impact on retirement readiness at a reasonable cost.

Advisers and plan sponsors can help workers save adequately by adopting best practices in retirement plan design: automatic enrollment, annual automatic escalation of savings rates and default investment into a portfolio of stocks and bonds appropriate for retirement goals #401k #autoenrollment

Another reason why providing a quality retirement plan for your employees is vitally important. Let's talk about how to make retirement outcomes a better possibility for your people.

Many Americans plan to work longer to cover their retirement savings shortfall. What’s spurring the work until you drop thing? The lack of confidence in the retirement system from concerns about how much they have saved to uncertainty about Social Security and Medicare to not understanding where to turn for financial advice. "In theory, envisioning working longer and retiring later sounds like an ideal solution to not having enough retirement savings. However, it can be very difficult to achieve in practice, especially if you're not taking good care of your health and keeping your job skills up to date.” Read the full article here to learn more. https://buff.ly/44WRuGT #financialplanning #retirementplanning

There are more pro's than con's with a business retirement plan. Plain and simple...Tax savings, tax credits, retirement savings, strong morale, employee appreciation.....the list goes on.... https://lnkd.in/eMrkzkXK

Vanguard Says Sweeps, Auto Enrollment Still Key in Combatting Savings Gaps PLANADVISER's Alex Ortolani reviews a new #retirement research report released by The Vanguard Group, which finds "a daunting retirement readiness gap for lower-income workers that needs continued attention from the industry." Ortolani turns to Dave Stinnett, head of strategic retirement consulting at Vanguard, for his insights into the report's findings. To address the gap, Stinnett urges advisers and plan sponsors to adopt best practices for promoting retirement savings, including automated features. "Stinnett points to automatic portability as a way for workers to keep their savings in tax-deferred workplace plans when moving jobs" and notes the industry-led effort spearheaded by the Portability Services Network. #AutoPortability #401k #DEI #CSR Read the full article: https://bit.ly/3rGQSHt

Preparing for retirement is crucial! A recent survey shows that with just a decade until retirement, 55-year-old Americans have less than $50k in median retirement savings. Additionally, one-third of Americans have delayed their retirement due to ongoing inflation. This situation is further complicated by projections that Social Security's trust funds will run out by 2035; making this the first generation to confront retirement without full backing of Social Security and, in many instances, without a defined benefit pension plan. #RetirementPlanning #401K

Many employers and retirement plan participants associate protected retirement income (PRI) solutions with notable downsides: fiduciary risk and high administration costs for the plan sponsor, participant fees to transfer or withdraw funds, a lack of fund portability, and high complexity for the participant.    What’s not as commonly known is that today’s PRI products are specifically designed to make these issues a thing of the past. Plans today can often be rolled into other solutions without compromising the sponsor, fees and penalties for withdrawal have been drastically reduced or eliminated, and the overall costs for employers are lower.   Learn more about why PRI solutions should be considered when designing retirement plans in this article from my colleagues, Chris Bellomo and Gaston Messineo. https://lnkd.in/eEBTXrVP

Learn more about why protected retirement income solutions should be considered when designing retirement plans in this article from our colleagues, @Chris Bellomo and Gaston Messineo.

The United States Department of Labor has recently finalized a ruling on retirement security which aims to redefine the parameters of investment advice fiduciary as per the Employee Retirement Income Security Act and the Internal Revenue Code. The new ruling will be effective from September 23, while other exemptions related to prohibited transactions will come into effect within a year. The objective of this change is to free workers from excessive charges and to ensure that the advice they receive is prudent, loyal, and honest “Ginger Christ”. Additionally, the ruling mandates service providers to avoid making recommendations that are in their own interests, and financial institutions overseeing them to manage any conflicts of interest that may arise. It is imperative for businesses to select an appropriate fiduciary entity to manage their employees' retirements, as not all fiduciaries prioritize the interests of employees over their own. Therefore, it is necessary for businesses to conduct a comprehensive due diligence investigation to ensure that they engage the most suitable business to safeguard their most valuable asset, their employees. An effective due diligence investigation should include an evaluation of the fiduciary's experience, qualifications, and adherence to fiduciary standards. This process will ensure that the business engages a fiduciary that has the expertise, resources, and commitment to responsibly manage the retirement plans of their employees, thereby mitigating the risks associated with inadequate retirement planning. Reference: HRDive, Ginger Christ, https://lnkd.in/gg6h9Fpg