A look at some of the products and services retirement plan sponsors are requesting outside of 401(k) plans.
This year, the Practice Development column in PLANADVISER print explored various ways retirement plan advisers can expand their practices beyond 401(k)s, with the goals of adding new revenue streams, better serving participants and solidifying client relationships.
Vanguard reveals fund merge; Northern Trust creates reporting tool for hedge fund trades; and Lively removes HSA investment fees.
The frequency of withdrawals prevents HSA account holders from building a meaningful balance to use for health care expenses in retirement, and individuals are unlikely to allocate their assets to investment products if their primary goal is to fund short-term medical expenses, Cerulli says.
It offers an open architecture HSA investment lineup.
The tool groups consumers into microsegments based on characteristics and behaviors, allowing employers to then create targeted communications for HSAs.
And, only 29% plan to use a health savings account (HSA) to cover medical costs in retirement, HSA Bank found.
In partnership with HealthEquity, Vanguard will offer plan sponsors the ability to provide an HSA solution to their employees that features low-cost Vanguard funds or the same investment options as their DC plan line-up.
Investment menu designs have also gotten better, according to a Morningstar analysis.
They also fail to invest the funds or max out contributions, EBRI found.
“We are committed to bringing America’s workers solutions designed to help them gain confidence and take action to efficiently prepare for health care expenses in retirement,” says John Carter, president of Nationwide’s retirement plan business.
Most HSAs do not even have an investment component, but this will change, as health care brokers have been driving plan sponsor adoption of HSAs, but in the future advisers will, Jamie Greenleaf, with Cafaro Greenleaf, told attendees of PLANSPONSOR’s 2018 HSA Conference.
Speakers at PLANSPONSOR's 2018 HSA Conference discussed educating participants about investing health savings account (HSA) assets and planning for retirement health care costs.
Willis Towers Watson suggests portals integrated with financial planning tools can help employees make strategic decisions about where to best save their money based on their unique financial situation.
Speaking at PLANSPONSOR's 2018 HSA Conference, Shad Fagerland, of counsel at Ivins, Phillips & Barker, discussed two bills, passed by the House, that would expand the use and benefits of health savings accounts (HSAs).
The report can serve as a primer for those needing more education about HSA rules and benefits.
Devenir estimates that $9.8 billion of HSA assets are invested as of June 30, 2018—an estimated 45% year-over-year increase.
According to a new survey, 76% of employees say they understand the salient features of health savings accounts, or “HSAs,” yet only 12% could correctly identify the common attributes of an HSA in a simple quiz.
Research from EBRI shows very few employees contribute the maximum statutory limit to HSAs.
It would also be good for them to include emerging markets equities, target-date funds, alternatives, international bonds and specialty bonds.