Revamping Retirement

Automatic enrollment has gained significant traction over the past two decades, with nearly 71% of plans with 1000 or more participants utilizing the feature. Two recent studies by Vanguard and John Hancock share statistical data that helps highlight the overwhelming case for auto-enrollment as a defined contribution retirement plan strategy. In episode seventeen, Mike Webb discusses the statistical case for adopting auto-enrollment, as well as how finding the sweet spot for default deferrals and auto-escalation can help improve participants' retirement readiness.

Target date funds have experienced increasing popularity and growth in recent years, becoming an important investment option in many defined contribution retirement plans. In episode sixteen, Mike Webb gets back to the basics to discuss the two primary types of target date funds - "off the shelf" and customized - and shares the key components used to evalutate these investments.

On March 27, 2020, the House passed the https://www.sbia.org/wp-content/uploads/2020/03/CARES-ACT-FINAL-TEXT.pdf (CARES Act), a $2.2 trillion dollar relief bill to counter the economic impact of the COVID-19 pandemic. The legislation contains several retirement plan-related provisions aimed at helping plan sponsors and participants deal with the implications of the pandemic. However, the nuances of three of the provisions may have some unintended consequences. In episode fifteen of Revamping Retirement, Mike Webb discusses the potential issues with these CARES Act provisions.

The market volatility and uncertainty surrounding the coronavirus pandemic have many retirement plan investors concerned. In Episode 14, Mike Webb shares some perspective on the recent market downturn and its impact on retirement plans.

Revenue sharing refers to the practice of investment providers sharing revenue with recordkeepers in exchange for performing some of the duties that the investment provider would typically have to do. Understandably, this can be a confusing topic for retirement plan sponsors. In Episode 13 of Revamping Retirement, Mike Webb simplifies the concept of revenue sharing and explains the importance of understanding a fund's net cost.