Wondering where plan sponsors will be focusing their interest and efforts in 2019? We turned over a few stones on the Web and found some ideas. Here are two of them:
Getting those holdouts into the plan
The low-hanging fruit, aka employees with a lot of interest in their future and the ability to save, joined the 401(k) plan right away. The next wave took some persuasion, in the form of applying the principles of behavioral economics including auto-enrollment. But now, what to do with employees whose financial situation has rendered them unable to visualize themselves ever retiring — let alone saving to pay for it? A recent article says financial wellness strategies, like budget and debt management, may help them. This is where many plan sponsors will be focusing this year.
Bringing back the lost sheep
2018 saw lots of plan sponsors focused on missing participants, and 2019 promises to see more of the same. If your plan has missing participants, now is a great time to get cracking on finding them, because attention from the Department of Labor seems to be increasing.
Read more about Cammack Retirement Group’s predictions for plan sponsor attention in 2019 in their article, here: https://tinyurl.com/Cammack-2019.