As you may have heard by now (and several hundred of you experienced in person), we closed out the 2022 NAPA 401(k) Summit with a special version of Family Feud…
That’s right—Team Aggregators took on Team Wirehouse/Independents to see who could best match the responses provided by plan sponsors on a series of relevant questions.
While both teams performed magnificently, there were some perspectives that eluded them, at least in the heat of the competition. This week we thought you might enjoy the opportunity to consider these perspectives—and consider how you might have done on the stage (or in preparing for that client presentation).
Some were drawn from a series of Plan Sponsor Council of America (PSCA) QOTW (question of the week) plan sponsor surveys, some from a “snapshot” PSCA poll, and several from one of four of PSCA’s industry trend surveys. Where fully accessible, links to the results are below.
What qualities are most important in selecting a retirement plan advisor?
What is the number one cause of financial stress for employees?
Which element of a financial wellness program do you consider most valuable?
What strategies are you using to attract or retain new employees?
For 2022, what retirement benefit strategies or plan features are of most interest to you?
What criteria are used to determine retirement plan committee participation?
Reasons for not offering an ESG fund (Plan Sponsor Council of America’s 64th Annual Survey of Profit Sharing and 401(k) Plans (“PSCA survey”), Table 74)
59% - Hadn’t considered
29% - Insufficient participant interest
26% - Unclear regulatory factors
17% - Lack of clear definition
12% - Lack of benchmarking
11% - Advisor recommendation
Reasons for not adopting automatic enrollment (PSCA survey, Table 111)
40% - Satisfied with participation rates
23% - Corporate philosophy
19% - Added administrative work
18% - Cost
8% - Employees don’t want it
12% - Other/something else
Primary purpose for providing plan education for employees (PSCA survey, Table 156)
27% - Increase employees’ overall financial literacy
13% - Increase appreciation for the plan
12% - Increase participation
12% - Retirement planning
11% - Increase employees’ confidence in ability to retire as planned
10% Increase deferrals
6% - Introduce plan changes
2% - Make the transition of a merger/acquisition
1% - Improve asset allocation
1% - To reduce fiduciary liability
Reasons for offering a NQDC plan (PSCA’s 2021 Non-qualified Plan Survey)
44% - Have a competitive benefits package
22% - Help eligible employees accumulate assets
10% Retain eligible employees
8% - Have an above average benefits package
6% - Allow HCEs to defer the same proportion of income as other EEs
6% - Achieve overall objective of plan
3% - Offer a tax-planning device to eligible employees
1% - Help eligibles raise income replacement ratio.
Thanks to everyone who participated in the NAPA 401(k) Summit, those who made it such fun by participating in the event itself, a special H/T to Lisa Smith and Peter Kapinos as our co-hosts, and everyone who participates in our weekly NAPA-Net Reader Radar polls!
