| | Benefits & Administration | | Five Components for Managing Health Care Costs | | Joseph Berardo, CEO of MagnaCare, a
Manhattan-based health plan administrator and provider for self-insured health
plans, recommends five key components to positively impact the total cost of
care. Self-insured health plans offer flexibility in plan design and the
reduction of premium taxes that exist with fully insured benefits. “Right out
of the gate, employers can save 4% to 6% without premium taxes,” Berardo tells
PLANSPONSOR.Read more > | | Ineligible Dependents Drive Up Health Benefits Costs | | Up to 8% of the dependents enrolled in an
employer’s medical plan are actually ineligible to receive benefits according
to their plan’s own criteria, according to a research paper from Colonial Life
& Accident Insurance Company, in partnership with the Government Finance
Officers Association (GFOA). The study, “Controlling health-care costs with
dependent eligibility audits,” cites research from the Kaiser Family Foundation
and Mercer, which says employers pay an average of $3,500 annually to provide
coverage for a single dependent.Read more > |
|
|
|
| | The Social Security System Can Be Fixed | | The Center for Retirement Research’s latest
issue brief, “Social Security’s Financial Outlook: The 2015 Update in
Perspective,” takes a deep dive into the Social Security Trustees’ latest
report. The Old-Age and Survivors Insurance, and Disability Insurance (OASDI)
Trust Funds are projected to be exhausted by 2034, with the Disability
Insurance trust fund on scheduled to run out of money next year, in 2016, but
the Center maintains that if legislators were to mandate a small increase in
payroll tax contributions to the funds, Social Security could remain solvent
for the foreseeable future.Read more > | | Study Suggests Millennials Interested in Annuities | | More than half (52%) of Millennials are very or
somewhat interested in annuities, according to a survey by the Indexed Annuity
Leadership Council. This indicates that the younger investor cohort is looking
toward alternative retirement savings products, the Council said. Millennials
said they are interested in annuities because they can help grow a retirement
nest egg and provide long-term financial security.Read more > | | | Products, Deals & People | | Plan sponsors looking for an adviser to support
their retirement plan can visit the Employee Fiduciary adviser directory, which
provides contact information, website, number of years in business and the
credentials of all financial adviser partners who submitted their business
listing. Each adviser’s compensation structures—fee-only, asset-based or
fee-only (hourly), to name a few—are also detailed, as are services offered and
plan sizes served.Read more > | | Deloitte and Penbridge Expand Pension Services Partnership | | Deloitte Consulting and Penbridge Advisors are
expanding a strategic partnership established in 2014 to bring new
defined benefit (DB) plan support services to market. According to the firms,
the expanded partnership will focus on helping DB plan sponsors “make balanced,
well-informed decisions, whether it involves plan maintenance or pension risk
transfer.”Read more > | | Transamerica
Retirement Solutions has partnered with Progressive Employer Management Company
(PEMCO) to offer multiple employer plan services. The two companies will handle
all plan administration, including due diligence, plan compliance, testing,
annual reporting, enrollment, education and assistance. The service is aimed at
small plans.Read more > | | | Market Mirror | The Federal Reserve appears on track to raise interest rates later this
year but signaled Wednesday that it wants to see further economic gains and
higher inflation before doing so, the
Associated Press reports. The Dow gained
121.12 points (0.69%) to finish at 17,751.39, the NASDAQ closed 22.53 points
(0.44%) higher at 5,111.73, and the S&P 500 closed 15.32 points (0.73%) higher
at 2,108.57. The Russell 2000 rose 5.00 points (0.41%) to 1,229.60, and the
Wilshire 5000 increased 164.74 points (0.75%) to 22,192.39.
On the NYSE,
3.2 billion shares traded, with 2.6 advancing issues for every declining issue,
and on the NASDAQ, 2.8 billion shares changed hands, with a roughly 1.2 to 1
ratio of advancers to decliners.
The price of the 10-year Treasury note decreased 10/32,
bringing its yield up to 2.287%. The price of the 30-year Treasury bond fell
21/32, increasing its yield to 2.999%.
| | | Small Talk | | ON THIS DATE: In
1942, the WAVES were created by
legislation signed by U.S. President Franklin D. Roosevelt. The members of
the Women’s Accepted for Volunteer Emergency Service were a part of the U.S.
Navy. In 1954, Elvis Presley
made his professional debut in Memphis. It was his first concert to be
advertised. In 1956, the phrase
“In God We Trust” was adopted as the U.S. national motto. In 1965, President Lyndon B.
Johnson signed into law Social Security Act that established Medicare and
Medicaid. It went into effect the following year. In 1974, the U.S. House of Representatives Judiciary Committee voted
to impeach President Nixon for blocking the Watergate investigation
and for abuse of power. In 1998,
a group of Ohio machine-shop workers (who call themselves the Lucky 13) won the
$295.7 million Powerball jackpot. It was the largest-ever American lottery. | | SURVEY SAYS: There has been much
speculation and debate surrounding the fiduciary rule proposal—mostly due to
the proposed change in adviser business practices and the new rules about IRAs.
However, several commenters suggested the new rule could have an adverse effect
on plan sponsors—especially smaller ones—and participants. This week, I’d like
to know, are you worried about the effect the fiduciary rule could have on your
retirement plan or its participants? You may respond to this week’s survey by 6
p.m. Pacific time today.Read more > | | Share the good news with a friend! Pass the Dash along – and tell your
friends/associates they can sign up for their own copy.Read more > |
|
