• Shannon

Give the Gift of Retirement Education

Still on the hunt for the perfect gift? As an advisor, you may be wondering what your clients want most from you. It turns out, your expertise and time will do just fine.

According to an article by Benefits Pro, employers and Plan Sponsors rank retirement education as a top priority, along with fees and services. Plan Sponsors in the survey specifically noted that their advisors can improve on their commitment to education and group meetings they provide to the plan participants.

Why the emphasis on employee retirement education? Studies have found that employees receiving retirement education and plan specific education contribute to the plan sooner and defer more of their paycheck. This sizably boosts plan success and makes it easier for the employer to maximize their own contributions. Educated employees also tend to remain in the plan, are less likely to take loans, and have a greater appreciation for the benefit their employer is providing to them. This can lead to them being a more loyal and productive employee.

Commit to these group education meetings by scheduling them far in advance with the plan sponsor. Create a schedule for these meetings around the plan entry dates to catch any new employees.

Outside of group meetings, what educational value can advisors offer to plan sponsors and employees?

Best Practices:

Create a list of best retirement practices and suggestions to leave with participants. Be sure to give the participants helpful tips as well as a list of common mistakes to avoid, such as taking loans against their accounts. You may even want to illustrate a few relatable scenarios an employee may find themselves in and offer solutions to keep them on track for retirement.

How Much To Save:

One of the biggest obstacles plan participants must overcome is not knowing how much to save in order to have a dignified retirement. Help them to set a goal for their retirement. Then, assist them in determining how much they need to have saved to reach that goal. With your help, they can decide how much to save each pay period in order to retire on their terms. Review their progress with them regularly to make sure they remain on track.

Offer retirement education as part of your services, and give the gift of a happy retirement to plan sponsors and participants!

What can Plan Sponsors do to commit to retirement education for their employees? Follow the same schedule with advisors for group education meetings, or suggest a schedule for your advisor if one does not already exist – and stick to it!

TriStar’s gift to you and our plan sponsors is to always be available to assist you in your educational efforts. We have access to information that may be helpful to you, and we are always willing to share our expertise.

Merry Christmas and happy holidays to you and yours!

-TriStar Pension Consulting

1 view0 comments

Recent Posts

See All