Reducing benefit costs while still valuing employees
Originally posted August 26, 2014 by Steve Grossi on https://ebn.benefitnews.com.
As part of valuing our employees, benefits are viewed as a direct extension of pay and considered to be a vital part of an employee’s total compensation package. Benefits represent a sizeable investment for BOK Financial as well as for each employee. It’s our corporate culture to place a great deal of attention on benefits, and helping employees understand all of the value of their benefits package is a key focus for our HR team.
People who work for us are independent thinkers. It’s important to make our own decisions, and that’s especially true when it comes to health benefits. This is the reason our company is committed to a program that offers employees the flexibility to choose their coverage in most major benefit areas. Each employee can put together a personal package to suit their needs, and I believe that this flexibility shows the company’s commitment to each and every member of our staff as well as their families.
But this level of commitment to our employees – although vital – is expensive. After payroll, benefits costs were our No. 1 company expense, and as a result we found ourselves coming to terms with the impending Cadillac Tax, a penalty against companies over a particular threshold in terms of premiums resulting from the Affordable Care Act.
We added a consumer-directed health plan to our benefits offering, along with a health savings account, hoping to bring overall benefits costs down and reduce our exposure to the Cadillac Tax. Our belief was that the CDHP would suit the needs of many employees, and premiums would be lower for both the company and the employee. But explaining the benefit of a CDHP to employees is challenging – people are confused by the options, and most simply choose to do nothing and remain in their current plan. Others assume that the most expensive plan is the best, and default to that choice.
After one year with the CDHP, adoption was well short of our company goal, at only 5%. We went looking for help, and ended up with a solution from Tango, a company that helps organizations save money by optimizing health benefits, while keeping employees happy.
The first step was to educate our employees, and Tango explained the differences between each plan in simple, relevant terms. A plan optimizer tool allowed employees to walk through a series of questions and decide which plan was the best based on their individual needs. Since the tool is online, employees can log in from home and walk through the steps with their spouse, and discuss their options. Our CEO and his wife went online at home to use the plan optimizer, and they ended up choosing the CDHP. In all, over a thousand of our employees logged on to the online tool, with most spending at least 20 minutes reviewing and comparing their options.
For even more employee awareness, Tango put a communication plan in place that included email-based updates and information. Weekly and monthly communications continue to go out to the employees explaining how to open and use their HSA, and other helpful tips on topics like reimbursements and tax filing. The emails were very specific and targeted, so employees were more likely to open and read them. Tango also provided videos and webinars specifically created for our employees with a direct comparison between the CDHP and the traditional PPO plan – helping to demystify the choice between the plans. Normally this kind of information would come from the HR team, but Tango’s level of service meant that our HR team could focus on other critical employee needs.
Reviewing our results at the end of the first enrollment period with Tango, we saw adoption of the CDHP and HSA go from 5% of the employee base up to 30%. Our employees were pleased with the plan changes and with the amount of information they were getting about the growth of their HSAs. And it was a huge win for the company: BOK Financial saved over $880,000 in premiums and avoided an additional $190,000 in taxes.
BOK Financial continues to work with Tango to boost further adoption of the CDHP, and to retain existing plan members and ensure that employees are getting the maximum benefit out of their HSAs. As a chief human resource officer, the ability to increase adoption of the CDHP while maintaining our relationships with employees was very important to me. I’m thrilled that we’re able to retain our commitment to value our employees, even as we make changes that benefit the company’s bottom line.
Why employees need 401(k) investment advice
Originally posted August 21, 2014 by Michael Giardina on https://ebn.benefitnews.com
This retirement disconnect is not surprising, according to Schwab Retirement Plan Services, which released a survey this week of more than 1,000 401(k) plan participants. “We often see that participants are hesitant to take action when they’re not completely comfortable with the matter at hand, and this is especially true when it comes to financial decisions,” says Steve Anderson, head of retirement plan services at Charles Schwab.
Aside from health coverage, the survey found nearly 90% of workers agreed that the 401(k) is a “must-have” benefit, more than extra vacation days or the ability to telecommute. However, employees said they spent more time researching options for a new car (about 4.3 hours) or vacations (about 3.8 hours) than researching their 401(k) investment choices (2.1 hours).
“The fact that an overwhelming majority of workers demand 401(k)s is good news, because it shows that people understand that they are responsible for their own retirement,” Anderson tells EBN. “Participating in a 401(k) program helps workers develop the discipline to save, and the earlier they begin to save, the more prepared they will be for retirement.”
Meanwhile, about half of plan participants said that their defined contribution plan’s investment options can be more confusing than their health benefits options. But gaining the needed assistance to understand the real value of their retirement plan was not top-of-mind for employees, as respondents said they were more likely to hire someone to perform an oil change to their vehicle, landscape their yard or help with their taxes than to seek out assistance for their 401(k) investments.
Anderson adds that while educational resources from plan sponsors may be just what employees need to make sound investment decisions, he says that “if participants have to seek out these resources on their own, chances are they won’t utilize them to their full benefit.”
Even with the prevalence of auto-enrollment and auto-escalation, employers may still have to do more. Only one-quarter of employees with access to professional 401(k) advice report having used it, says Anderson.
“Now employers can take the next step in plan design by proactively delivering advice to their employees,” Anderson explains. “We know getting advice can make a big difference for workers, as we’ve witnessed the impact of 401(k) advice on participant outcomes.”
For example, 70% of respondents noted that they would feel extremely or very confident in their investment decisions if they used a financial professional. Meanwhile, only 39% highlight the same confidence level if they opted to make those investment choices themselves.
“Participants who receive advice save more, are better diversified and stay the course in times of market volatility,” Anderson explains.
Employers create game plan for expected health care cost increases
Originially posted on August 22, 2014 by Michael Giardina on https://ebn.benefitnews.com
Employers across the country predict that their health care costs will increase by 5.2% in 2015 if they decide to maintain their current health plan structures. With modest changes, this increase drops down to 4%, according to a recent Towers Watson’s survey of nearly 400 employee benefit professionals from midsize and large companies.
Meanwhile, Towers Watson finds that the rising tide of health care costs has become a main focus of executives, with two-thirds of chief financial officers and chief executive officers holding a key place in health benefit strategy discussions. It’s coming down to wire for many employers to get costs down as the ACA’s excise tax takes effect in 2018.
Randall Abbott, senior consultant with Towers Watson, says that many employers are approaching the cost conversation “as a balance of shareholder responsibility and social responsibility.” But it’s not a surprise that three-quarters of employers are worried about the excise tax, commonly referred to as the Cadillac tax.
“There is this impression that employers are just raising costs up,” Abbott explains, but highlights “they are doing it out of necessity.”
“They are trying to do it as thoughtfully and as responsibly as they can, and that’s a constant battle,” Abbott continues.
This battle, according to Towers Watson’s survey, is becoming a reality for many. More and more employers are planning to incorporate consumer-driven health plans, and other high-deductible health plans, into their coverage umbrella. By 2017, more than half of respondents expect to make this plan the only option, eliminating other plans.
“Inaction is not an option here,” Abbott explains, while noting that account-based health options such as health savings accounts can help all interested parties realize the costs at point-of-care.
Tom Meier, vice president of product development for Health Care Service Corporation, the nation’s largest customer-owned health insurer, agrees that CDHPs have been growing at record rates. Trade group America’s Health Insurance Plans reports that 15.5 million Americans were covered in HSA-eligible plans – a number that has tripled in the last six years.
“We’re seeing employers go all in on CDHPs, and I don’t see that slowing anytime soon,” Meier explains to EBN. “Employers are going to have to revisit their plan design and likely move out of those high cost benefit designs in order to comply and get under [the ACA’s excise tax] that threshold.”
Currently, HCSC has more than 2 million members enrolled in CDHPs under the insurer’s offering, which includes five Blue Cross and Blue Shield states. Meier adds that moving from $250 preferred provider organization health plan to a full-replacement $5,000 deductible CDHP is not something that employers should rush into. He adds that HR and benefit managers can also help to alleviate some of the expected employee unrest from the change by offering resources.
“As you’re asking them [employees] to be the consumers of care, you have to give them the tools to survive and thrive, or else you are kind of throwing them out into the wilderness,” Meier says.
Another growing trend for employees, which has been tabbed for movement in 2016 and 2017 by a third of Towers Watson survey respondents, is reducing company subsidies for spousal and dependent coverage. Also, 26% indicate they are considering excluding spousal coverage all together should they have coverage elsewhere.
Last summer, it was reported that UPS planned to stop providing coverage to a portion of employees’ spouses who were able to opt into medical coverage through their own employers. First reported by Kaiser Health News, it was disclosed that more cost associated with the landmark health care law was forcing the move. Of the more than 33,000 spouses being covered, UPS said that about 15,000 could gain coverage from their current employers.
UPS said in a memo to employees that “limiting plan eligibility is one way to manage ongoing health care costs, now and into the future, so that we can continue to provide affordable coverage for our employees.”
While UPS declined to comment on the past spousal health plan coverage change, Paul Fronstin, director of the Employee Benefit Research Institute’s health research and education program, notes that re-examining spousal coverage, as well as looking at HSA-eligible plans and health exchanges, are areas where employer interest is growing.
Fronstin adds that “everything is on the table,” however.
6 bad habits holding you back from success
Originally posted on https://eba.benefitnews.com
Do you feel stuck in a rut? Expected to be shooting up the HR/benefit career ladder at this stage in the game? We all have bad habits, but bringing your baggage to the office can be the difference between soaring or stalling in your career. Ilya Pozin, an entrepreneur and founder of Pluto.TV, Open Me and Ciplex, offers six common workplace bad habits to break if you want to continue moving up the career ladder.
Being a lone wolf
Workplace collaboration is key to success. Even though you prefer working solo, which is in itself a value commodity, it shouldn’t be your only speed. Break the habit by finding a project near and dear to you and ask to be part of the team. Do your best to keep everyone involved and in the loop, and stretch those collaboration muscles.
Saying sorry too much
If you find yourself apologizing too much, it implies you’re making too many mistakes and can undercut your position within the organization. Own your mistakes and reserve the word “sorry” for the truly big mistakes.
Taking on every project
Challenging new projects should excite you, but do you find yourself overdoing it? Learn your limits … if you say yes to every project, you may soon yourself unhappy, burnt out and badly overworked. Nip this habit in the bud. The word “no” is powerful and doesn’t make you look like a slacker when you turn down a project. Be protective of your time and abilities and know when you’ve reached your limit.
Being negative
Nobody is friends with Negative Nancy. If you have a rain cloud over your head every morning, it’s no surprise you’re stuck where you are. Enthusiasm and passion are traits managers look for in their superstars. Sit yourself down and ask the hard questions you’ve been avoiding. If you hate your job, it might be time to look for another opportunity. Ask yourself what would make you wake up excited about your work day, and chase after your dreams.
Doing things the way they’ve always been done
Innovation is a thriving company’s life blood but, for most, doing the same old thing and getting paid for it is enough. Sit down with your boss and ask for an open-door policy to offer feedback. Try to chime in once a month with something new that can help your company grow. Even if some of your ideas aren’t used, you’ll stand out as a forward thinker who cares about the company’s future.
Being disorganized
It’s estimated an average of 9 million hours are spent looking for misplaced things. The impact of that on your work life can really eat away at your true potential. So on your next slow day, take the time to organize your work space and set a plan to stay organized. One of the hardest parts of reorganizing is the initial clean-up of clutter.
Voluntary benefits help small businesses think big
Originally posted August 18, 2014 by Rich Williams on https://ebn.benefitnews.com
On a typical Saturday, you may drop off your car with your trusted mechanic, stop by the hardware store for a few supplies, grab lunch at a local sandwich shop and pick up some groceries on the way home. Every day, we enjoy the products and services delivered by small businesses.
Small business is the engine that powers our economy. Of the nation’s private enterprises, only 2% employ 100 or more workers, and 90% employ no more than 20. Behind each small business is an owner who wears many hats and relies on employees to deliver their best work every day — there aren’t a lot of extra employees to pick up the slack if someone is sick, injured or leaving the company for good.
Recent economic times magnified bottom-line concerns of small business owners. Many who weathered the downturn did so with lean staffs willing to work harder and longer to keep the job. But as the economy improves, those hard-working employees are apt to look for opportunities with larger firms that offer richer benefits and better life balance. Benefits play an important role in this consideration; half of employees recently surveyed say benefits are an important reason they remain with their employer. Small business owners who don’t pay attention to benefits risk losing their best workers.
Smaller, but with similar concerns
Small companies experience all the employee retention and recruitment headaches that big employers do, but often without reserve resources and staff to help shoulder benefits responsibilities. Few have dedicated staff to assess current benefits and consider changes or additions employees desire; many don’t offer benefits beyond compensation. According to LIMRA, small firms that do offer benefits tend to give fewer choices than their larger counterparts. The benefits offered most often are coverage for medical (44%) and prescription drugs (40%). Only one in four small businesses surveyed offered dental or life insurance coverage.
But employees at small firms have the same life needs and concerns as big-firm workers. A survey of more than 1,000 small business employees conducted by Harris Poll on behalf of Colonial Life found that many more employees are concerned about retirement savings (50%) and financially surviving a temporary work disability (39%) than losing their jobs (33%).
Voluntary benefits: More choices, not higher costs
Without realizing the human resource cost, too many small businesses fail to offer employees access to the very choices that could nurture employee loyalty and tenure.Experts say that doesn’t have to be the case: With voluntary benefits, small business can — and many do — offer a wide range of benefits geared toward the unique company culture.
The key is keeping up with what employees want and need. Younger workers might not invest in a 401(k) retirement option, but they’re probably interested in a cafeteria plan that gives them flexibility to save for unexpected, big-ticket needs. Older workers are typically more keen to invest in disability and retirement savings opportunities. You can help your clients understand their employee demographics and make connections to the right benefit options.
Many small employers would like to offer or enhance existing benefits, but cite cost as a deterrent. The good news is the same employees who would like better benefits are also willing to pay for them. A 2014 Colonial Life-Harris Poll found employees at small firms are quite interested in additional, reasonably priced insurance benefits such as life, short-term disability, critical illness, accident and cancer coverage.
Voluntary benefits — personal insurance coverage workers can buy through employers at a lower rate than they could get on their own — are a great way for your clients to offer a range of competitive benefits without damaging the bottom line. The value for employees starts with group rates, and they gain extra points in the employee loyalty ledger for convenience with payroll deduction options. And that can translate into enhanced employee retention: Small business workers who are satisfied with their benefits are more likely to feel loyal to their company.
Expanded benefit choices, low cost, and convenience are three very big reasons for small employers to dive into voluntary benefits. If keeping top talent motivated and productive is important to your clients, then find out today how easy it is to offer the benefits those highly valued employees crave most.
Are pharmacy discount cards still relevant?
Originally posted August 15, 2014 by Michael Giardina on https://ebn.benefitnews.com
Providers of prescription drug discount cards are increasing their efforts to reach out to employers, even as the Affordable Care Act is expected to decrease the ranks of those most likely to use the cards – those without health insurance.
The FamilyWize Community Service Partnership, which seeks to reduce the cost of prescription medicine for children, families and individuals by $1 billion by the end of 2015, is one provider looking to educate more employers about its discount card program.
“One of the areas we have really focused is with employers with lower waged workers because many of them do not work full-time, or they may not opt for the plan the company is providing because of costs,” says Lori Overstreet, vice president of marketing for FamilyWize. “Obviously, if they were part-time, then the company wouldn’t need to cover them, but this would give them a benefit, or if they opt out of the company plan this will also give them a benefit because the card is free to the consumer and free to the company.”
FamilyWize works with Envision Pharmaceutical Services, a pharmacy benefit management company, to negotiate prices at more than 60,000 brand name pharmacies such as Walmart, Kmart, CVS and Target. These negotiated prices are realized when FamilyWize discount drug card are used by consumers.
“The price depends obviously on the chain, the prescription itself, and even where they are,” says Steve Tremitiere, vice president of strategic partnerships at FamilyWize. He adds that most of the discounts appear with generics, but some can be for brand name drugs.
FamilyWize recently cemented 10-year national partnership with United Way Worldwide in an effort to address needs for the uninsured and underinsured. The average savings for FamilyWize discount card holders is 40% and can reach up to 75%, Tremitiere says.
Tremitiere, wants to be clear that all types of employees and employers can use the benefit, which easily be registered for online and printed out directly from a user’s home or work computer. “Employers are a good conduit because they are a trusted resource,” Tremitiere explains.
But not everyone agrees that these types of prescription drug discount cards still offer value in the post-ACA world.
“With the advent now of the Affordable Care Act and what’s involved, you probably have fewer and fewer people that would need it [prescription discount cards] because they can probably get the negotiated discount off their prescription drugs through their employers or exchanges,” says Michael J Staab, president and co-founder of Innovative Rx Strategies, a pharmacy consulting firm.
Gregory I. Madsen, a registered pharmacist and principal and co-CEO of Innovative Rx Strategies, adds that these discount cards are for “people who don’t have prescription drug coverage, which is very few people anymore.”
A virtual game changer of the prescription drug discount program was the introduction of Medicare Part D, also called the Medicare prescription drug benefit. The Medicare Prescription Drug Modernization Act was first signed into law by President George W. Bush in December 2003, and was seen as a safety net for seniors who were paying out-of-pocket for their prescription drugs.
“They were the cash-paying customer, they were the cash cows of the pharmacy world,” says Madsen. “They were paying cash for all their stuff and these cards were really targeting those people. And then Medicare Part-D came in and they got in under contracted rates and the cash-paying customer sort of went away, except for this small group of part-time employees that were employed.”
Even though the number of uninsured is shrinking because of the ACA, small employers may find value in discount prescription drug cards.
“If they [these employers] have less than 50 employees, they [employees] are part-time, this card will still be a better deal than them paying cash,” Madsen explains.
Other examples of prescription drug discount cards or prescription discount programs, in general, are surviving the ACA’s implementation. For instance, the National Association of Counties, the only national organization that represents county governments on Capitol Hill, offers the NACo Prescription Discount Card Program. The free program, operated by CVS Caremark, has been in place since 2005.
Andrew Goldschmidt, NACo director of membership marketing, says that the program is one of the “oldest and most mature” offered by the association, which dates back to administration of President Franklin Delano Roosevelt.
“You have a lot of folks that have a lot of prescriptions that are off formulary, depending on what kind of plan they have, or if they even have a plan,” says Goldschmidt. The NACo prescription discount card program has saved $570 million on 45 million prescriptions for employees in over 1,400 counties.
“The prescription drug program [usage] has gone down a bit, and rightly so if people are getting coverage through the ACA that didn’t have it before,” explains Goldschmidt, while noting that now it can be used as a good complementary program for employers.
Jackie Chin, executive vice president of New York State Restaurant Services, a division that handles all insurance programs for the New York State Restaurant Association, says the ACA “should not slow down registration” for its WellCard program. In addition to its prescription discounts, its WellCard offers discounts on dental, medical and vision coverage for uncovered employees and their families.
“Since there is no cost to participate in this discount card program, an employee can still register with WellCard because with regular health insurance through ACA or public health exchanges, your co-pays for prescription may be more expensive,” Chin explains. The New York State Restaurant Association includes a diverse group of approximately 10,000 members that range from small mom-and-pop restaurant owners to large restaurant groups.
“It differs from other prescription drug discount card because there is no membership fee and there is no cost to the employee and the employee's family member to avail themselves of any savings they can receive by using this discount card,” Chin says.
7 more retirement and annuity facts you should know
Originally posted August 8, 2014 by Warren S. Hersch on https://www.lifehealthpro.com
How many women and Gen-Xers have calculated how much money they will need to retire? To what extent does working with a financial advisor increase individuals’ retirement confidence? What are the tax implications of boomers who are retiring later, saving more and planning better?
Answers to these questions, among many others, are forthcoming in the Insured Retirement Institute’s “IRI Fact Book 2014.” The 198-page report, an all-encompassing guide to information, trends and data in the retirement income space, explores the state of the industry, annuity product innovations, and solutions for generating immediate and future income needs.
The report also details consumer use and attitudes towards annuities, spotlights trends among baby boomers and generation X women, examines boomer expectations for retirement this year, and delves into the regulation and taxation of annuities.
Fact 1: Three-quarters (75 percent) of households that own fixed annuities claim balances of less than $100,000, while 68 percent of variable annuity owners report balances below $100,000.
For households with between $500,000 and $2 million in investable assets – the sweet spot for advisors serving the “mass affluent market,” more than a quarter have a fixed annuity balance of $1-$19,000 (28.1 percent) or $20,000-$49,000 ($24.4 percent)
Others with investable assets between $500,000 and $2 million have the following fixed annuity balances:
● $50,000-$99,999: 8.7 percent of owners
●$100,000-$299,999: 15.5 percent owners
● $300,000-$499,999 3.2 percent of owners
● $500,000-plus: 0 percent of owners
Fact 2: Nearly half of households (43 percent) cite guaranteed monthly income payments as the primary reason for purchasing an annuity.
This fact holds true, the report states, among investors with less than $2 million in investable assets. Investors owning investable assets between $2 million and $5 million place the greatest importance on potential account growth (41 percent). The wealthiest investors value insuring portions of their assets (39 percent).
Households with $2 million to 5 million in investable assets cite the following reasons for purchasing a variable annuity:
● 33.7 percent: To generate a guaranteed payment each month in retirement.
● 41.0 percent: To provide a potential for account growth.
● 35.5 percent: To receive tax-deferral on earnings in the annuity.
● 30.7 percent: To provide diversification by adding another type of investment to the portfolio.
● 32.2 percent: To protect assets by insuring a minimum value of payments from the account.
● 17.4 percent: To set aside assets for heirs.
● 16.7 percent: To exchange an old annuity for a new one.
● 5.6 percent: Not sure why I purchased an annuity.
Fact 3: The economy has had a detrimental effect on retirement savings and planning for many women.
The report indicates that few women are confident that they will have enough retirement savings or that they have done a good job preparing financially for retirement.
● 51 percent of Boomer women and 57 percent of Gen-X women have weak or no confidence that they will have enough money to live comfortably in retirement or are unsure.
● Significant numbers of both Gen-X and Boomer women (69 percent and 46 percent, respectively) have not attempted to calculate how much they will need to retire.
● Though expecting personal savings to be a significant source of retirement income, only half of Boomer women with savings have $200,000 or more in retirement savings. And only one-quarter of Gen-X women have $100,000 or more saved for retirement.
● Fewer than half have worked with a financial advisor to plan for their retirement. Those who do seek an advisor report that retirement planning is a top reason.
Fact 4: Working with a financial advisor greatly increases retirement confidence.
● Among those who consult with a financial advisor, 73 percent feel very or somewhat prepared for retirement compared with 43 percent of those who did not.
● Among Boomers who have calculated their retirement savings needs, 44 percent are extremely or very confident compared with 29 percent of those who did not. Among Gen-Xers who completed the calculation, 47 percent are extremely or very confident, compared with 28 percent among those who did not.
● Annuity owners have higher levels of retirement confidence. Among boomers who own an annuity, 53 percent are extremely confident, compared with 31 percent who do not. Among Gen-Xers who own an annuity, 49 percent are extremely or very confident, compared with 31 percent among those who do not.
● 7 in 10 Boomer and 6 in 10 Gen-Xer annuity owners have completed a retirement savings needs calculation. This compares with 44 percent of Boomers and 34 percent of Gen-Xers who do not own an annuity.
● Nearly three-quarters (74 percent) of Boomer and 62 percent of Gen-Xer annuity owners have consulted with a financial advisor. This compares with 35 percent of Boomers and 30 percent of Gen-Xers who do not own an annuity.
Fact 5: Boomers are showing some optimism that their financial situation will improve during the next five years.
The report reveals also that boomers are retiring later, saving more and planning better.
- A quarter of Boomers postponed their plans to retire during the year past.
● 28 percent of Boomers plan to retire at age 70 or later.
● 80 percent of Boomers have retirement savings, with about half having saved $250,000 or more.
● 55 percent of Boomers have calculated a retirement savings goal, up from 50 percent in 2013.
Tax policy implications and positive actions
● Three in four Boomers say tax deferral is an important feature of a retirement investment.
● Nearly 40 percent of Boomers would be less likely to save for retirement if tax incentives for retirement savings, such as tax deferral, were reduced or eliminated.
● Boomers planning for retirement with the help of a financial advisor are more than twice as likely to be highly confident in their retirement plans compared to those planning for retirement on their own.
Fact 6: Most advisors (71 percent) have increased the net number of retirement income clients served during the year past.
The report shows that 60 percent of advisors have modestly increased their net number of retirement income clients, while 11 percent have significantly increased the number. An additional 28 percent and 2 percent, respectively, experienced no change or decreased their retirement income clientele.
The research adds nearly 6 in 10 (58 percent) advisors describe as well developed the processes and capabilities they’ve established for their retirement income clients. An additional 37 percent of advisors believe they have some but not all of the needed processes and capabilities.
Nine in ten advisors say that enhancing their retirement income processes and capabilities is a “priority.” For a majority, the priority level is high (54 percent). Fewer advisors describe the priority level as moderate (37 percent) or low.
Fact 7: Advisors generally rely on a combination of four major investment product categories for retirement income clients: mutual funds, ETFs, variable annuities and fixed income annuities.
For 1 in 3 advisors, all four categories are used in combination. About 2 in 9 advisors use mutual funds, ETFs and variable annuities. Other grouping include mutual funds and variable (1 in 8 advisors), income annuities (1 in 11 advisors), plus mutual funds and ETFs (1 in 12 advisors).
The following is a percentage-based breakdown of the most typical product combinations:
● 38 percent –Fund/ETF/FA/Fixed
● 22 percent –Fund/ETF/VA
● 8 percent—Fund/ETF
● 5 percent—Fund only
● 12 percent—Fund/VA
● 9 percent—Fund/VA/Fixed
6 self-motivation techniques
Originally posted August 11, 2014 by Daniel Williams on https://www.lifehealthpro.com
Chances are you have an idea where you’d like to be in your career. If you’ve gotten stuck somewhere along the way, take heart. These 6 self-motivation techniques from sales and motivation expert Bob Urichuck’s book Motivate Your Team in 30 Days will get you back on track:
1. Have an attitude of gratitude. When you awake in the morning, ask yourself how you are today. Your answer should be “GREAT!”—Getting Really Excited About Today. You never know which day will be your last, so make today the best day of your life.
2. Begin self-motivating first thing. Find something to do for yourself immediately upon waking. Take time out to do something to productive or nourishing yourself so that you’ll have the energy to be there for others.
3. Reinforce your positive behavior. Now that you have done something for yourself, reward your effort with a morning treat. If you follow up your self-motivating actions with coffee or breakfast, you will be inclined to repeat the behavior.
4. Recognize that no one else can motivate you. Yes, you may find fleeting motivation from external sources. But lasting motivation—the kind that bears fruit—comes from within. Dig deep to access your reserve of willpower.
5. Decide to live your dreams. Do want to live your life according to someone else’s idea of what you should be? Decide to take responsibility for yourself and aim for your truest desires. It’s your life; take charge of it.
6. Take control of yourself. In order to be self-motivated, you must be in control of your life. There are many things outside of your control, and those you must accept. But there are many things over which you do have control, chief among them your attitude. Become the master of your thoughts and reactions.
When it comes to achieving your goals, you can succeed. You just need a little push in the right direction.
Why do companies bother with wellness programs?
Originally posted August 6, 2014 by Dan Cook on https://www.benefitspro.com
Communicating about the company wellness program is directly correlated to significant cost savings associated with those programs, a survey from Buck Consultants of Xerox found.
Another striking finding: U.S. employers said their primary motivation for offering wellness plans was to cut health care costs; respondents from outside the U.S. said their No. 1 reason was to improve employee morale and to reduce sick days and presenteeism – the phenomenon described as workers being on the job but not able to perform at the expected level.
The survey “shows an evolution in employer thinking to a much more holistic and measurable approach,” said Dave Ratcliffe, principal, Buck Consultants at Xerox. “Workers' wellness is now viewed as a state of well-being across the spectrum of health, wealth and career. Wellness is part of the employee value proposition. Social media, gamification, mobile technology, automated coaching and personalized communication are all part of the mix."
The big-picture results offered yet more evidence that wellness programs are becoming a standard component of benefits package design around the globe. More than three-quarters of respondents said they “are strongly committed to creating a workplace culture of health, to boost individual engagement and organizational performance.” More than two-thirds of these employers told Buck wellness plans “are extremely or very important to attract and retain workers.”
Employers are taking wellness investments seriously, the survey showed. While in 2012, 36 percent said they measured wellness outcomes, in the latest survey, 52 percent were measuring the outcomes. To encourage participation, 52 percent of employers said they rely on a very simple tactic: offer reduced insurance premiums to those who participate.
And, as wellness programs continue to gain advocates, employers are committing marketing dollars to them, developing brands for their programs and communicating regularly with employees about their programs.
Buck said the finding about communicating regularly with employees about aspects of a wellness plan was a common theme among every U.S. company that reported “a lower health care cost trend of 6 or more percentage points.” These employers send out targeted email messages and often mail wellness news to their homes to underscore the company commitment to wellness. The number branding their wellness programs is rising: 43 percent of respondents internationally said they created a brand identity for their plans.
But employers still have work to do to achieve the participation numbers they'd like to see.
“Participation rates indicate that employers are still struggling to find effective approaches to motivate workers. And there is a significant gap between employers' stated desire to create a culture of health and their current progress in achieving this goal,” Buck said. Buck's sixth global wellness survey analyzed responses from more than 1,000 organizations in 37 countries.