PLANSPONSOR Weekend Newsdash
Week ending June 8th, 2018

Happy weekend, PLANSPONSOR readers! This week we’ll be focusing on financial wellness and participant education. According to a Financial Finesse survey, participants repeatedly engaging in financial wellness programs offered by their employer are more likely to be on track for retirement and have higher confidence in their investments. Next, some companies are executing new participant education communications—behavioral economics. The education method merges psychology and economics to understand specific decisions, says the International Foundation of Employee Benefit Plans (IFEBP). Employees are also crediting health savings accounts (HSAs) and wellness programs for empowering them to make better health and financial decisions, and employers are looking to offer total well-being programs rather than solely physical. All this and more on this edition of PLANSPONSOR Weekend.

Editor's choice
Benefits
Financial Wellness Is a Process
Compared with new users, repeat users are 24% more apt to be on track for retirement and 21% more apt to have confidence in their investments, Financial Finesse research finds. Read more >
Benefits
Behavioral Economics Not Just Useful for Retirement Plan Nudges
Some companies already employ the theories of behavioral economics in various strategies that push their workers to make healthier decisions, says the International Foundation of Employee Benefit Plans. Read more >
Benefits
CDHP, HDHP Participant Consumerism Doesn’t Improve Over Time
However, EBRI found plan participants who have owned a health savings account (HSA) for 10 or more years are very likely to report (71%) that having an HSA has empowered them to make better health and financial decisions. Read more >
Benefits
Employees Say Employer Wellness Programs Are Helping
Fifty-three percent of people with access to wellness programs said the initiatives have made a positive impact on their health, which can save both employees and employers money. Read more >
Benefits
More Employers Looking to Revamp Well-Being Programs
Broadening the focus of traditional, physically focused wellness programs to become more holistic (adding financial, social & mental well-being) is leading more employers to ask about a platform/hub to combine all of their benefits initiatives, a survey found. Read more >
MOST POPULAR STORIES
IRS Announces 2019 HSA Contribution Limits

For an individual with family coverage, the 2019 health savings account (HSA) contribution limit is $7,000, up from the recently reset $6,900 limit for 2018.

4% Rule Not a Reliable Retirement Income Withdrawal Strategy for All People
A retiree’s investment portfolio is a large factor in determining an optimal, safe withdrawal rate in retirement, but longevity, expected spending and whether guaranteed retirement income is available plays a part as well.
Lawsuit Argues MetLife Pension Calculations Use Outdated Mortality Table

A newly filed complaint takes issue with the way MetLife calculates the actuarial equivalence of different types of annuity benefit options available in the firm’s pension plan.

401(k) Plan Sponsors Enhancing Plan Design

The availability of Roth contributions has doubled in the last decade, and more plan sponsors are using a default deferral rate with automatic enrollment that is higher than 3%, a Plan Sponsor Council of America survey found.

Financially Well Employees Buoy the Bottom Line

According to John Hancock data, helping employees reduce their financial worries is well worth employer’s time and attention.

Editorial: Alison Cooke Mintzer alison.mintzer@strategic-i.com

Advertising: Paul Zampitella paul.zampitella@strategic-i.com

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