Another iteration of the Department of Labor (DOL) fiduciary rule is in progress.  Proposed in 2023, this version seeks to protect investors by ensuring financial advisors put their clients’ best interest first when recommending retirement investments.  The rule is still under consideration, but its outcome could impact how plan sponsors design their retirement plans. A recent BenefitsPro article highlighted the latest developments in the new DOL fiduciary rule.  As far as recent changes to the DOL rule go, the article noted three main points for plan sponsors to focus on: “Exp ..read more

The debate over financial wellness initiatives versus tangible outcomes has prompted skepticism about the feasibility of offering personalized financial planning to a broad audience.  Despite significant investment and enthusiasm from venture capital firms, many wellness providers struggle with limited engagement and affordability concerns.  The defined contribution model presents a potential solution, leveraging workplace trust and oversight to encourage employee engagement with financial advisors.  However, cost barriers persist, leading some platforms to rely heavily on digit ..read more

Fred Barstein CEO/Founder TPSU with Delia, HR Representative – Des Moines In today’s workplace, fostering an environment where employees feel heard is just as crucial as promoting efficiency.  One significant way to achieve this is by implementing a robust feedback program that allows employees to express their thoughts and concerns.  This emphasis on feedback is paramount, as evidenced by a Gallup poll which revealed that 41% of employees have left a job because they felt their voices weren’t heard. In the realm of retirement planning within the workplace, soliciting employee feedba ..read more

Many Americans are facing a very real possibility of retiring with inadequate savings.  A pair of articles in Employee Benefit News and BenefitsPro covered a recent survey from personal finance website GoBankingRates, which found that nearly 30% of workers have zero dollars saved for their post-working years.  Unless changes are made, the retirement crisis that experts have long warned about may be inevitable. Here are some of the alarming findings from the GoBankingRates study, which surveyed more than 1,000 American adults about their long-term savings: 28% have no retirement savi ..read more

Fred Barstein, CEO & Founder, TPSU/TRAU/40ktv with Teresa, HR Admin In the realm of retirement planning, effective communication serves as the cornerstone for building robust partnerships.  Communication serves as a key factor amidst the evolving landscape of retirement strategies.  Fostering collaborative relationships among retirement plan advisors, Third Party Administrators (TPAs), record keepers, and plan sponsors is imperative and serves as the bedrock of successful retirement plan management, offering many advantages to all stakeholders. Cultivating strong ties among retir ..read more

It isn’t easy for most Americans to save for retirement, especially in recent years amid soaring inflation and persistent economic uncertainty.  However, certain demographics are more challenged than others, including low-income workers and women.  A pair of articles in Employee Benefit News and BenefitsPro recently explored these challenges, and offered potential solutions for employers to consider to help these groups save and build financial security for the future. Employee Benefit News spotlighted an innovative idea from the father of the 401(k), Ted Benna, called the “Wheat Gra ..read more

Believe it or not, retirement can pose significant challenges if not approached thoughtfully.  Beyond financial considerations, it’s crucial for advisors to delve into their clients’ personal circumstances.  The wealth management industry is shifting towards understanding clients on a deeper level, crafting financial plans that evolve alongside their changing needs.  Mark Chamberlain, co-founder of Lakeside Wealth Management Group, emphasizes three pivotal questions clients must confront: Are you prepared for a significant increase in time spent with your spouse, especially if ..read more

Fred Barstein, CEO & Founder with Kathleen Kelly, Adjunct Lecturer In a recent TPSU program session in North Carolina, Kathleen Kelly, a distinguished DC consultant, shed light on critical areas where plan sponsors often struggle to meet fiduciary responsibilities effectively.  Kathleen, recognized for her expertise by leading industry publications, offered valuable insights to help plan sponsors navigate the complex fiduciary landscape and drive better retirement outcomes for participants. Foundational Governance: Kathleen stressed the importance of establishing robust fiduciary gove ..read more

Technology and economic conditions are transforming America’s finances, and that’s impacting retirement plan sponsors and participants.  In light of these trends, a new study from Marsh McLennan highlighted four key issues employers should focus on when managing retirement plan options in 2024: generative AI, fraud/cyber concerns, inflation, and a convergence of retirement planning and wealth management. The Marsh McLennan report, cited in BenefitsPro, explored what these issues mean for retirement plan fiduciaries.  The report’s authors cited AI’s disruptive nature, and urged reti ..read more

The convergence of wealth management and retirement planning is rapidly reshaping the landscape of financial services, with Plan Pooled Employer Plans (PEPs) and Collective Investment Trusts (CITs) emerging as prominent players in this transformation.  As organizations seek to streamline their offerings and enhance employee benefits, PEPs have gained traction for their potential to consolidate retirement plans, reduce administrative burdens, and lower costs.  Meanwhile, CITs are becoming increasingly popular investment vehicles due to their ability to deliver institutional-quality in ..read more