Developing a plan to re-active your workspace will be challenging and complex. You must determine which workers need to come back first, develop a phase-in period for welcoming them back, and adjust your workspaces to adequately reflect and implement social distancing guidelines, and overall and most importantly, provide a safe and healthy environment for your employees to work in.

Earlier this year, at the end of March, the CARES Act was passed into law with broad legislation around stimulating the economy and providing some stability to businesses, households, and individuals during the COVID-19 health pandemic. Within the CARES Act, there are provisions that impact both companies and organizations that offer retirement plans to their employees. Here, we’ll identify how these changes come into play as we move throughout the year, what these key provisions mean for retirement plans, and the administrative oversight these new provisions necessitate from employers.

The coronavirus pandemic has placed unprecedented challenges on employers, as we have seen companies being forced to implement layoffs and furloughs and navigate financial constraints from decreased revenues and profits. It has become clear that the COVID-19 health crisis has brought and will continue to bring significant economic disruption, which means that employers need to confront the challenges related to their 401(k) plans. Many organizations have been coming up with ways to prudently manage their budgets and expenses, and one topic that deserves attention is the flexibility surrounding changes to employer-sponsored retirement plans with respect to the employer match, profit-sharing, and discretionary contributions.

We want to take a moment to address the extreme selling that has transpired in the markets throughout the last few days and weeks. It’s too early to say if yesterday’s capitulation-style selling signaled a market bottom, and it is too early to predict what the resulting short-term and long-term damage to the domestic and global economies will be. Our view is that most industries and sectors will recover from the coronavirus sell-off, while the industries that have been most directly impacted by the virus – hospitality, transportation, and tourism – will face a prolonged recovery. The timing and degree of recovery is first and foremost dependent on the spread and subsequent containment of the virus.

We are all aware of the 401(k) contribution limits set annually by the IRS, but what if you’ve maxed out your contributions for the year and still want to save money for retirement? You could fund a brokerage account separate from your 401(k), but you would face a costly capital gains tax on those earnings. This is where leveraging an after-tax source in your 401(k) comes into play.

Before dispersing for its winter break, Congress passed significant changes to retirement savings law that will affect many of us now and all of us in the future. This new law, the Setting Every Community Up for Retirement Enhancement (SECURE) Act, is part of the massive government spending bill that was approved by Congress on December 19 and signed into law by President Trump on December 20, 2019. This bill extensively reshapes the realm of employer-sponsored retirement plans for both employers and employees and enacts the biggest changes to the U.S. retirement system since 2006.

Have you heard of, or considered, socially responsible – or, what the industry now calls ESG, investments? These investment vehicles have been gaining a lot of traction this year for focus on sustainable, socially conscious, "green" and/or ethical screens for the companies they own in their portfolio (i.e. mutual fund or ETF) and also for their ability to point of potential financial risks that can't be identified by typical quarterly results. They seek to consider both financial return and specific environmental, governance, and social metrics to help investments do well by “doing good.” In this video, I sat down with Clarice Avery of Natixis Invest Managers. We talked about all the things you should know when considering an ESG investment for your investment line-up. You can learn more at Natixis’ site and ESG101.

Anyone who works in Human Resources knows the positive effect offering high-quality employee benefit programs can have on a workforce. They attract the best potential candidates for new jobs and foster a sense of loyalty and support among current staff, to name a few. No matter the size or industry, administering employee benefits, particularly the retirement plan, can be a complicated process. While the same basic goal may apply to companies and organizations, non-profit organizations face unique challenges when ensuring their retirement plan benefit is the best fit for employees, as well as the organization. 

“Are my employees on track for their financial picture?”

It's a question we get asked all the time, and whether you're an employee at an organization, an HR  executive, or a Retirement Plan Committee member, everyone wants to know if financial wellness programs are worth all the “buzz”. In this short video, I give my thoughts on why meaningful financial wellness programs are so essential, and I also encourage anyone to check out our 2017 whitepaper, Beyond Retirement: An Examination of Financial Wellness for Employers. This report aims to provide a clearer picture of what an average working American's financial situation looks like and how organizations can create programs to help their employees reach goals throughout their career for today, tomorrow, and their long-term future. 

Since its inception, the 401(k) plan has risen to become the most popular employer-sponsored retirement plan in the US. Millions of working Americans put a portion of their paycheck into a 401(k) to save for life after work. While there are many vehicles to help investors save for tomorrow, one that is growing in popularity is the use of collective investment trusts (CITs). These saving vehicles provide individual 401(k) investors the purchasing power of large institutions with improved better pricing. CITs are essentially the Costco or Sam’s Club of the investment world. Finding the vehicle that best aligns with your employee benefits should be top a priority for an organization and their committee members.