The tool is designed to help clients measure their retirement plan’s success and provide actionable solutions for participants to achieve financial security in retirement.
The Plan Health Review provides plan sponsors with demographic statistics about plan utilization that can help identify employee groups that require help with planning. It also scores four critical measures of success using a proprietary, easy-to-understand system to help focus plan sponsors on areas of greatest opportunity, including participation rate, participant deferrals, participant investment usage, and participant usage of loans and withdrawals.
With the information provided in the Plan Health Review, plan sponsors receive a view into the actions needed to optimize the performance of their plan and the savings habits of their employees. Steps such as adjusting plan design, changing investment options or further educating employees about the value of participation and maximizing their contributions can dramatically improve plan performance and employee retirement readiness.
For more information, visit www.adp.com/401k or call 800-432-401k.