For many employees, the journey to retirement begins when they enroll in their employer’s retirement savings plan. It’s a pivotal point that lays the foundation for their future success. The question becomes — how do retirement plan providers and plan sponsors deliver an experience that will support the best potential outcomes?
At Voya, we’ve placed behavioral research and digital insights at the core of the enrollment process. The result? For plans that have elected to use Voya's contribution rate change service, average deferral rates at enrollment increased from 5.3% to 7.2% — a 39% increase1. We’re excited with these results, and we’re excited to announce that this summer the new experience will be available to all plans that currently use online enrollment.
What’s driving the success? Through user testing, research from The Voya Behavioral Finance Institute for Innovation, and real-world deployment, we’ve transformed the experience to shift from “it’s money out of my paycheck today” to “I’m paying now for future income.” Rather than the traditional choice of asking what percentage of pay they want deducted from their paycheck and how do they want to invest, we’ve focused on goal setting for retirement that is straightforward, realistic and personalized.
Key features include:
- Voya’s myOrangeMoney® interactive educational experience is at the core of the enrollment experience — which means your employees are presented with a projected retirement income estimate at the point of enrollment.
- If they are eligible for Social Security benefits, those projections are incorporated into their estimate so their “orange dollar bill”, which represents potential retirement income, is already filling up.
- Any outside assets a participant has accumulated may be entered, to help paint a more accurate picture of future income.
- For plans that have elected use utilize Voya’s contribution rate change service, participants can use sliders to model the contribution savings rate that would close any projected retirement income gap or they can use the default quick-select choices.
- Investment paths are easily understood as they are categorized by decision style and guided investment selection.
- Prior to completing enrollment, participants have the option to elect their beneficiaries if the plan sponsor has elected to use Voya’s online beneficiary service.
- Participants confirm their choices and receive a welcome email encouraging them to engage in their account.
Additionally, enrolling is convenient. Built with responsive design, your employees can enroll on their smartphones, tablets or computers anywhere at any time. The experience is already getting noticed in the industry, and was recently awarded the DALBAR 2018 First Impressions Seal for Online Enrollment.
Voya remains committed to delivering purposeful innovation – designing and delivering experiences that demonstrate they are effective in supporting your employees in meeting their financial goals for retirement.
For more information, talk to your Voya Relationship Manager.
IMPORTANT: The illustrations or other information generated by the calculators are hypothetical in nature, do not reflect actual investment results, and are not guarantees of future results. This information does not serve, either directly or indirectly, as legal, financial or tax advice and you should always consult a qualified professional legal, financial and/or tax advisor when making decisions related to your individual tax situation.
For Plan Sponsor use only. Not for public distribution.