wellness program

Automatic Escalation: Increasing retirement savings in the Barrington area without a second thought

  Should companies in Barrington automatically increase the individual contribution rate for 401(k) plans as a way to help employees increase their retirement savings? It’s an approach some firms are taking. And there’s research that shows employees are in favor of such a plan.

Via Pensions & Investments magazine, 86 percent of participants enrolled in a plan that automatically increased their contributions on an annual basis elected to stay in the plan, according to a Principal Financial Group study.

Other evidence suggests 401(k) participants like the idea of auto-escalation. Via the Society for Human Resource Management, more than half of 7,545 people surveyed in a three-month span in 2013 by financial services/insurance firm One America said they would be agreeable to a plan that automatically increased their contribution.

Automatic increases can help Barrington-area employees build a retirement nest egg, and for plan participants who have a hard time saving, automatically contributing before the money gets put into the budget may be a reliable course of action for many.

Want to learn more about auto-escalation and other corporate retirement plan strategies? Plexus Financial Services, LLC can help. Contact us at 847-307-6222 or via PlexusFs.com.

ABOUT PLEXUS FINANCIAL SERVICES, LLC

Plexus Financial Services is located at 21805 West Field Parkway, Suite 300, Deer Park, IL 60010. Securities and advisory services offered through Plexus Financial Services, LLC. Member FINRA/SIPC, a Registered Investment Adviser.

Plexus Financial Services is a CEFEX-certified organization. CEFEX, the Centre for Fiduciary Excellence, has certified Plexus Financial Services to the Fiduciary 360 (fi360) standard, “Prudent Practices for Investment Advisors.”

 

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What is the ROI of your Lake Zurich Employee Wellness Program?

How do we measure return on investment when it comes to the success of a Lake Zurich Wellness program in particular or any in general? Most HR professionals will state that their companies do have some type of program in place, but many of these departments might not have a good understanding of the underlying ROI these programs can offer, and don’t know the real cost savings achieved or the increase in productivity that can result. There is data suggesting an emphasis on wellness can reduce a company’s health spending. According to a 2010 story in the Harvard Business Review, a company with 185 employees that emphasized “cardiac rehabilitation and exercise training” over a six-month span saw its health care costs drop by more than $1,400 per participant over the previous year. As the Review noted, the company saw $6 in savings for every $1 spent on the exercise program.

If wellness programs can lead to better health, will that lead more output from their employees? That’s the belief many employers have. According to the non-profit Health Enhancement Research Organization (via the Society for Human Resource Management), a survey of more than 500 business professionals found that 62 percent of the respondents believed that health was a factor in employee productivity.

Want to learn more about the power of a good wellness program? And seeking to get a better sense of ROI relative to wellness? The Plexus Groupe can help. Contact a client service team member at 847.307.6100, or contact us via the Web at plexusgroupe.com.

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