Retirement plan documents are full of legal jargon and knowing the difference between investment elections can be confusing and can turn off employees from participating, which is contrary to the purpose of the plan. We recommend that plan sponsors work with their financial advisors to conduct regular educational sessions for staff. If employees do not feel comfortable with what a retirement plan is, and what the accompanying benefits are, then they are less likely to participate at all or participate in a way where they won’t be maximizing the potential of what their plan has to offer. We recommend that educational sessions are in “plain English” with easy-to-understand descriptions presented in a positive and personalized way.
To keep your teeth in good shape, you brush and floss your teeth multiple times daily and see the dentist twice a year. You may not always like doing these things, but you know that doing them will help your teeth and hopefully keep dreaded cavities away. Doing the same thing with your plan will also keep it in good shape by looking at the areas we’ve discussed above.