Westminster Consulting Brochure Defined Contribution & Defined Benefit | Page 22

Obama Administration has proposed a lifetime cap on
contributions that would be hard to implement. In the end,
some other option may win, such as a review of required
minimum distribution rules that encourage employees to stay
in the workforce past age 70½, regardless of account balance,
earnings, or hours worked.

“Retirement
readiness will be a
very ‘normal’ part of
employer-sponsored
retirement plans.”

The rise in workforce
participation (part-time and fulltime) among those ages 70 and
over will increase the ranks of
those employed past the age
of eligibility for full Social
Security benefits by more than
25% and lead many employers
to review return-to-work and
phased retirement policies.

Frequent retirement readiness alerts, short and to the point,
with a specific point-and-click call for action will prove more
effective than anything we have seen to date. The period 2013
– 2017 will also see greater use of mobile technology with plan
sponsors to facilitate fiduciary process documentation.

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The number of home-based and
mobile workers will increase by
25%, affecting the way they can be
reached: In-person group education
meetings will be less relevant than
ever before, leading retirement
plan providers to develop account
management tools designed to help
participants achieve successful
retirement outcomes.
• Equity markets will be up over the period, and sponsors will
be looking for fixed income products incorporating a guarantee,
seeking protection from a reversal in
long-term interest rate trends. The
retirement investing industry
will develop new QDIAs
“There will be a much
featuring a retirement
income
distribution
greater emphasis on
option, offering ultimate
achieving adequate
convenience
for
savings levels among
participants throughout
their lifecycle. Oneparticipants as a key
quarter of plan sponsors
measure of plan health
will have adopted fee
equalization to distribute
and success.”
the cost of recordkeeping
among participants in a fair
and equitable manner.