This will provide plan sponsors, administrators, consultants and advisers with an optimized way to evaluate data, garner insights and pinpoint areas for improvement within defined contribution (DC) plans.
Projected retirement income can now be viewed at both the plan and participant level—providing the ability to analyze retirement readiness by demographics such as age, salary, contribution rate, or geography. This helps plan sponsors and administrators achieve a more thorough picture of key successes and issues, identify participants that might be falling behind, provide data-driven advice and ultimately make better plan design decisions. Retirement readiness metrics can be tracked over time and be securely accessed by plan consultants and advisers.
The firms note that outcome-oriented data is becoming even more important to plan sponsors as they are charged with understanding where participants stand relative to their individual retirement goals and then developing strategies to help improve that standing.
“In order to have a valid projection for a defined contribution account, the projection must include the viability of the marketplace. That’s accomplished through the simulated projection data that GuidedChoice provides.” says Sherrie Grabot, founder and CEO at GuidedChoice. “And providing the right information in the right format is the key.”The platform and retirement readiness metrics will start rolling out to plan sponsors, administrators, consultants and advisers in July.