For your workers to enjoy the full financial benefits from their 401(k) plans, experts recommend that employee education sessions make sure that participants:
- Contribute enough to receive the maximum match. One expert estimates that at least one in three employees don’t make the maximum contribution, which means they’re leaving free money on the table.
- Avoid account trading. Because it’s all too easy for plan participants to panic at market bottoms and be over-confident at tops, advise them not to open their account statements during these periods.
- Diversify. Concentrating account balances in one or a few funds that employees feel will perform well or are safe means making a risky bet on only one economic scenario.
- Keep their money in the plan. Employees who take out loans on their funds, make withdrawals or cash out a 401(k) when they change jobs will have to pay taxes and penalties that reduce plan payout by almost 50%, which will make it impossible to save enough for retirement.
- Keep saving. Workers stop saving for a number of reasons. The equity market falls, their spouse loses a job, they want to save outside the plan for a home, car, boat, marriage, etc. It’s far better to lower their contribution if necessary, without going to 0%. Remember, employees need to average 15% in savings over an entire career to retire at their current standard of living.
- Focus on the bottom line. The most important factor in a 401(k) is not the allocation of assets, market timing, or investment performance, although these are important. It’s how much the employee saves!
Make sure that you follow these guidelines in retirement planning education for your employees. They’ll be grateful for your encouragement and support.
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Before winter weather hits, you need to tune up your car. Follow this checklist as you prepare your vehicle to navigate cold temperatures and winter weather safely.
Engine
As the heart of your vehicle, the engine must be in good working order. Inspect it thoroughly and repair any faulty wiring or replace the spark plugs if necessary. Also, visually inspect the belts on both sides and make sure they’re not cracked, frayed or glazed. Inspect the hoses and tem if you see cracks or other wear, too.
Radiator
Protect your vehicle from overheating when you maintain the radiator. Flush the entire system if it hasn’t been done in the past two years, and repair any leaks before adding fresh antifreeze.
Battery
Maintain power all season when you check your battery and its connections. Ensure the battery is free from corrosion and securely attached to the vehicle. Replace it if it’s older than seven years.
Oil
Your vehicle can’t operate properly without oil or if the oil system is dirty. Clean or replace the filter and change the oil now.
Filters
Not only do filters remove dirt and assist your vehicle in operating properly, but they can improve your gas mileage. This fall, replace your car’s oil, transmission and air filters.
Power Steering
Maintain control of your vehicle at all times thanks to power steering. If your vehicle is handling rough or groaning, repair this essential system.
Brakes
Worn brakes reduce your ability to stop on slippery roads. Ask your mechanic to inspect the brakes and replace them if they’re worn or uneven.
Tires
Properly aligned tires with the correct pressure and adequate tread provide the traction you need. Take time now to inspect your tires. Rotate, replace or inflate them as needed.
Windshield
Visibility is required for safe winter driving. Change the windshield wipers so that they make full contact with the windshield. Fill the washer fluid, too.
Exhaust
A safe exhaust system prevents dangerous carbon monoxide emissions. Repair any muffler or tail pipe system leaks.
Body
Rust spots grow over time, especially when exposed to wet winter elements. Repair any rust spots as you protect your vehicle.
Taking care of your vehicle now ensures it’s protected all season. In addition to following this winter tune-up checklist, talk to your insurance agent. Ensure your auto coverage is adequate as you prepare for winder driving.
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