WIXLIB

Savings InSight Your Automated Retirement Builder

Savings InSight ,Your Automated Retirement BuilderWe live in a high-tech, multi-media culture designed for automation andinstant gratification. So how does that affect employees planning for retirement?Simple: many no longer do. They’re too busy to focus on the long term, they don’thave the comfort level or insight to make investment decisions, and they struggleto stay on track to reach their financial goals. If you offer a program that educatesthem, helps them save for retirement, and manages their income after retirement,you’d be giving them a powerful retirement readiness tool they won’t want togive up. What’s more, you’ll improve employee engagement levels and boost yourunderstanding of employee behaviors and outcomes.

OPTIONALIMAGE FPOSavings InSight, part of our retirementplan services, is our innovative newsavings program, with periodic monitoringfunctions and both pre- and postretirement features. Savings InSighthelps your employees better prepare forretirement. It aligns with your currentplan offerings and can automatically:enroll individuals in their 401(k) plan,set a reasonable retirement target,determine a contribution scheduledesigned to deliver on the target, investthe assets in default Target, Lifestyle,or Managed Accounts, review actualresults versus targeted results and makeany needed adjustments, and set up apayout schedule for retirement to helpthe savings last. Plus, Savings InSightautomatically projects Social Securitybenefits and allows your participants toenter in any additional savings and priorretirement plan balances.Advantages for employees: Simplifies the puzzle sothey can finally make wellinformed decisions for acomfortable retirement Saves time/reduces anxiety Provides a calculator/modeling tool to bettercustomize results Spurs individualinvolvement in retirementplanningKey Features Full automation is available – Thedaunting task of planning for a secureretirement is now made easy. Forperhaps the first time ever, employeeswill have a retirement program theycan understand, know where theyare against the target they helpeddetermine, and visualize how they willget there. Note: They can always opt outfor the “traditional” 401(k) approach,making all of their own decisions. Monitoring – Every year the programwill compare actual savings balancesagainst the targeted balances, and makeadjustments, if and when needed. Thisfeature keeps them on the right course. Post-retirement management –The program can pay a “monthlypaycheck” to retirees to help makethe savings last over the designatedretirement period. The amount ofthe payment is also monitored andautomatically adjusted, as needed. Flexibility – We realize that “onesize doesn’t fit all” when it comesto retirement plans. Not only doesSavings InSight allow the plan sponsorto customize investment return andsavings assumptions, it also has theability to identify different targets,assumptions, and participation modelsfor different employee groups (e.g.union populations) or demographicgroupings. Savings InSight can alsoincorporate your other retirementprograms (pension, non-qualifiedplans) to provide employees with afull retirement picture. The level ofautomation is also up to the sponsor– Savings InSight can be implementedwith an “opt-in” or “opt-out” approach. An actuarial perspective – We’vebeen a leading actuarial firm foralmost 100 years, and we’ve put thatexperience to use here with SavingsInSight. Our actuarial team will reviewall assumptions to ensure the modelingis appropriate for your plan. What’smore, the annual report that displaysthe impact Savings InSight is having onyour participants’ retirement readinessis reviewed and evaluated by a memberof our actuarial team.Savings InSight works with any definedcontribution plan design, providing avaluable benefit in a post-defined benefitworld. Our program simplifies the retirementmystique, leading to higher participationand savings, better investment results,and more transparent fees.Advantages for employers: Works for any type/designof DC plan Influences retirementpatterns to align withbusiness objectives Supports every stage withfull communications Provides information onworkforce retirementbehaviors in annual reports2

Savings InSight , Your Automated Retirement BuilderSavings Insight makes saving for retirement as easy as 1-2-3!StepWhat’s in it for you?Why is it different?1. We get you started. Automatic enrollment in your 401(k) planwhen you become eligible. Automatic contribution at the percentage ofpay that is “right” for you. Automatic investment of your contributionsunless you select your own investment fund.We automatically calculate the contributionpercentage that is right for you based on yoursalary, age and existing savings. You receive a personalized annual report ofwhere you are, where you need to be, andwhat it will take to get you there. If needed, an automatic adjustment is madeto your contribution percentage, based onyour goal.We provide you with a snapshot of yourprogress vs. your goal and automaticallyincrease your contribution if you fall short. Youcan also look at what happens to your savingsif you earn higher or lower returns on yourinvestments.2. We keep you on track.You don’t have to spend hours usingcomplicated assumptions to make uncertainprojections about your future income and howmuch you’ll need to save to maintain yourstandard of living.You don’t have to agonize about monitoringyour investment returns and rely solely on yourinvestment strategy to reach your goal.3. We pay you back.3 Retirement income payments work just likedirect deposits of your paycheck did. Each year, your retirement income amountwill be analyzed acocrding to your specificsituation and adjusted if needed. We’ll even set some of your savings aside inreserve, to help keep your payments steadythroughout your retirement. You can alsouse the reserve as a cushion for unexpectedexpenses.We send you a monthly “paycheck”, based onyour life expectancy. We adjust it automaticallyevery year, if needed, depending on how muchyou’ve earned on your savings, the paymentsyou’ve received and your year-end balance.You don’t have to continually worry aboutwithdrawing too much from your savings. And,you don’t have to worry about paying hiddenexpenses found in many annuities, which caneat into your hard-earned savings.

How does it compare?Here’s how Savings InSight compares to the retirement readiness capabilities offered by a composite of other solutions in themarketplace.FeatureSavings InSightCompetitor SolutionsParticipant EngagementProactively compels all employees to participateat appropriate levels and changes savings levelautomatically, as needed. Annual retirementreadiness report distributed to all employees.Caters primarily to participants who like todo their own research, especially the moresavvy investors or those closer to retirement,and typically requires the participant to takeaction. Annual reports are distributed to allemployees.Ease Of UseTakes the next step of making the “smart”deferral that sets the employee on the correctpath to having a financially secure retirement;and requires the employee to opt out.Provides useful information, but employeestypically must make decisions to achievetarget outcomes.CostFees not tied to assets, low flat dollar amounts;fees do not increase as account balances grow.Many are tied to fees based on assets whichcan lead to high costs as balances grow.FlexibilityEmployer can set targets and provide inputon a myriad of assumptions. The result is aprogram that matches the characteristics andexpectations of your plan.Little flexibility in setting replacement ratios,inflation, and Social Security assumptions.Periodic AdjustmentsAnnual true-up with automatic adjustmentskeeps employees on track.Quarterly updates and recommendations tohelp participants keep on track, assets can bemoved automatically for those in managedaccount programs.PersonalizationAbility to take into account all existingretirement assets and personalize goals to refinea participant’s results.Access to personal support, robust tools for thesophisticated saver and investor.Retirement AdequacyKey focus is on helping employees save enoughfor retirement; employees always know wherethey are, where they are going, and how to getthere.Key focus is typically on investmentmanagement, but provides information onhow much is needed for retirement and actionsrequired to achieve goals.InvestmentsAssumes the use of Target Funds, BalancedFunds, Life Cycle Funds, or Managed Accountsas default investment options; offers theparticipant and the plan sponsor maximumflexibility and leverages the work done by thesponsor to select and monitor a QDIA.Sophisticated investment advice features,automatic rebalancing, adjustments to reflectrisk levels.Investment AdviceNot intended to be provided, but works inconjunction with existing funds and investmentadvice collateral.Typically available both online and viarepresentative. Managed accounts can beavailable at additional asset based fees to theparticipant.Retirement PayoutsSets up monthly payments, much like apaycheck, and adjusts them annually dependingon the actual account balance. Includes asmoothing mechanism. Lifetime income optionsare available as well.Few providers offer an income stream inretirement, and asset-based fees apply tothose who choose to use the draw-downfeature. Annuities may be an option.4