| Benefits & Administration | Senate Hears About the New Working Retirement | Susan Nordman, owner of Erda, a small artisan
manufacturing company and the maker of Erda Handbags, told the Senate Special
Committee on Aging that when she is asked “do older workers cost more?” the
answer is “they cost different.” During a hearing titled “Work in Retirement:
Career Reinventions and the New Retirement Workscape,” she explained that when
updating equipment, she had to take into consideration the physical limitations
of an older body since she has an older workforce. The cost of the equipment
she purchased was magnitudes higher than less automated sewing machines, but
the workforce is less physically stressed.
In addition, the improvement in time and quality goes directly to the
bottom line. The return on the investment in the new machines will be less than
three years.Read more > | People hamstrung by a lack of savings are
delaying a wide number of major life events, such as retiring, buying a home,
going to graduate school, getting married or even starting a family, according
to a survey by the American Institute of Certified Public Accountants (AICPA).Read more > | Addressing Retirement Plan Data Security | An emerging area of compliance concern for
retirement plan sponsors is the protection of plan data, notes, Marcia Wagner,
the president and founder of Wagner Law Group. She recently queried whether
breaches of retirement plan participant data should fall under the guidance of
the Employee Retirement Income Security Act (ERISA) or state law. Adam Pozek, a
partner at DWC ERISA Consultants, tells PLANSPONSOR, “It should be a pretty
significant area of focus for all data that plan sponsors house.” From
Social Security numbers to home addresses and even direct access to payroll, in
some cases, the data transcends just the benefit plan, Pozek cautions.Read more > | Gen Y Concerned About Retirement Savings Safety | Thirty-four percent of Generation Y (ages 18 to
34) Americans say if they could choose one primary goal for their retirement
plan, it would be to ensure that their savings are safe, no matter what happens
in the market, according to a TIAA-CREF survey. Only 16% of Americans ages 35
to 44 and 22% of Americans ages 45 to 54 say the same. Ed Moslander, senior
managing director and head of institutional client services at TIAA-CREF in New
York, tells PLANSPONSOR that the savings conservativism of Gen Y is surprising.
“I get that they watched their parents or relatives suffer through the
recession, but safety beating out growth as the biggest concern for investing
was surprising.”Read more > |
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| PLANSPONSOR Research | The top 5 recordkeepers by total number of defined contribution plans are Paychex, Inc.; John Hancock Retirement Plan Services; Principal Financial Group; ADP Retirement Services; and Voya Financial. Learn more about these and other top providers with PLANSPONSOR’s 2015 Recordkeeping Survey.Read more > | | Sponsored message from MassMutual | Eric Weitsma, SVP of Retirement Services, Sales and Worksite Education with MassMutual discusses Plan Health, Financial Wellness and the Convergence of Benefits with Alison Cooke Mintzer, Editor-in-Chief of PLANSPONSOR.Read more > | | Products, Deals & People | Morningstar has launched an Active/Passive
Barometer to help investors measure the performance of active U.S. fund
managers against passive U.S. fund managers in every Morningstar category. The
barometer will indicate success rates, which Morningstar defines as the
percentage of actively managed funds that survive and generate higher returns
than their passive counterparts in the same time period.Read more > | | Economic Events | In the week ending June 20, the advance
figure for seasonally adjusted initial claims for unemployment insurance was
271,000, an increase of 3,000 from the previous week’s revised level, the Labor
Department reported. The four-week moving average was 273,750, a decrease of
3,250 from the previous week’s revised average.
The average interest rate for a 30-year fixed-rate
mortgage is 4.02%, up from 4.00% one week ago, according to Freddie Mac. The
average interest rate for a 15-year fixed-rate mortgage is 3.21%, down from
3.23% one week ago.
| | Market Mirror | Thursday, the
Dow lost 75.71 points (0.42%) to finish at 17,890.36, the NASDAQ was down 10.22
points (0.20%) at 5,112.19, and the S&P 500 decreased 6.27 points (0.30%)
to 2,102.31. The Russell 2000 slipped less than one point (0.05%) to 1,283.28,
and the Wilshire 5000 closed 66.64 points (0.30%) lower at 22,258.18.
On the NYSE,
3.2 billion shares changed hands, with 1.8 declining issues for every advancing
issue. On the NASDAQ, nearly 2.9 billion shares traded, with a slight lead for
decliners.
The price of the 10-year Treasury note was down 12/32,
increasing its yield to 2.411%. The price of the 30-year Treasury bond
decreased 18/32, bringing its yield up to 3.177%.
| | Compliance | Supreme Court ACA Decision Maintains Status Quo | The U.S. Supreme Court ruling about health
exchange subsidies under the Patient Protection and Affordable Care Act (ACA)
“is really a status quo decision,” says J.D. Piro, senior vice president at Aon
Hewitt and leader of Aon Hewitt’s Health Law Group, in Norwalk, Connecticut.
“No employer has slowed down implementation waiting for this ruling, but now
they know they don’t have to change anything.” Susan Nash, chair of law firm
McDermott Will & Emery’s Health and Welfare Plan Affinity Group in Chicago,
adds that it gives employers certainty that subsidies will be available and
they do not have to look at different health benefit strategies for different
states.Read more > | | Small Talk | ON
THIS DATE: In 1819,
the bicycle was patented by W.K. Clarkson, Jr. In 1945, in the Herbst Theater auditorium in San Francisco, delegates
from 50 nations signed the United Nations Charter, establishing the world body
as a means of saving “succeeding generations from the scourge of war.” In 1948, U.S. and British pilots began
delivering food and supplies by airplane to Berlin after the city was isolated
by a Soviet Union blockade. In 1979,
Muhammad Ali, at 37 years old, announced that he was retiring as world
heavyweight boxing champion. In 2002,
WorldCom Inc. filed for Chapter 11 bankruptcy protection. In 2003, Strom Thurmond, who served in the
United States Senate for a record 46 years, died at his home in South Carolina.
In 2012, Academy Award-nominated
filmmaker Nora Ephron, whose credits include “Silkwood,” “When Harry Met
Sally,” and “You’ve Got Mail,” died at age 71 of complications from leukemia in
New York City.
And now it’s time for FRIDAY FILES!
| Don’t you hate it when your new Christmas
present gets destroyed on day one?Read more > | When you have four legs, you need a way to take
a break on the treadmill.Read more > | In Cape Coral, Florida,
police and fire departments responded to a house that caught fire due to a
lightning strike. As if that weren’t bad enough for the homeowner, once the
fire was contained, as the house was being cleared, police found what appeared
to be a mari.juana grow operation. The local NBC station reports this is the
same home where lightning struck a boat, caught it on fire and destroyed it a
week before.
In Hopkinsville, Kentucky, a
man drove to the police station and slammed on his brakes before nearly hitting
a cruiser. The Kentucky New Era reports that he approached officers and told
them he was ready to go to jail for D.UI. He told police he drank a pint of
alco.hol before driving to the station.
| In Brazil,
a man who supposedly illegally parked in a handicap spot was furious at someone’s
revenge.Read more > | In St. Laurent, Montreal,
Canada, an occupant of a third-floor apartment came home and discovered a
hole in the roof of her kitchen. CTV Montreal reports that she went to the
apartment owner, and the owner went back with her to the apartment to
investigate. They found a tire had fallen off a Falcon 10 corporate jet
aircraft operated by Club Jet Charter Jet Services that was flying over the
home.
In Winnipeg, Manitoba, Canada,
three police helicopter pilots were on routine patrol and having a chat. The
conversation turned personal, discussing s.ex and using inappropriate words.
Then, they became aware the public address system from within the aircraft was
turned on, according to CBC News. They turned it off, but not before people
started posting on Twitter that they could hear the conversation coming out of
the sky.
Somewhere in Chile, a 92-year-old woman had fallen and needed x-rays, according
to NewsOXY. The results did not find broken bones but a 50-year-old fetus
inside her abdomen. The large 4.4 pound calcified fetus was outside the woman’s
uterus. Known as a lithopedion, sometimes called a “stomach rock” or a “stone
child,” this rare occurrence can happen when the fertilized egg is implanted
outside of the uterus (known as an ectopic pregnancy). Doctors will not be
removing the fetus—the risk is too great, and the surgery can be dangerous,
especially for someone at an advanced age.
Have a wonderful weekend,
everyone! | 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 > | News from PLANSPONSOR.com
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