OneAmerica first to offer PensionPlus for personalized retirement planning
Innovative retirement withdrawal strategy service provides models for monthly retirement paycheck
INDIANAPOLIS AND CHATTANOOGA, TENN., January 25, 2023
OneAmerica® announced it will become the first retirement plan provider to offer PensionPlusTM, an innovative, personalized retirement withdrawal, or decumulation, strategy developed with co-founder Shlomo Benartzi.
PensionPlus provides participants with a monthly retirement paycheck tailored to the individual, based on their unique goals and needs in retirement. In addition, users maintain complete control over their plan assets and how they're invested.
For OneAmerica, a company that strives to highlight the importance of holistic financial wellness for participants, PensionPlus was a natural fit.
“As an industry, we’ve spent a lot of energy educating retirement plan participants about market risk, asset allocation and the importance of beginning deferrals early,” said Sandy McCarthy, president of Retirement Services for OneAmerica. “These are, of course, critical elements. But there’s more that’s needed to help individuals establish peace-of-mind about their financial security — and that includes a discussion about the importance of decumulation.”
McCarthy noted that in many cases, participants have been conditioned since their first paycheck to save a portion of their income for their future; yet, when retirement begins, there may be a psychological barrier to reverse course and begin decumulation.
“With PensionPlus, retirees can set an income replacement strategy with confidence, knowing that they have a plan matched to their unique needs,” said McCarthy. “This has the power to change the dynamic of how individuals prepare for retirement.”
Benartzi, a behavioral economist known for his research on retirement savings, explained that this first-of-its-kind solution incorporates a variety of behavioral insights and digital nudges not considered by more traditional retirement income projections.
“As people accumulate assets, they also accumulate differences,” said Benartzi. “This means that personalization is an essential part of retirement income planning. PensionPlus makes it extremely easy for every American to create a sustainable retirement paycheck that fits who they are and what they want. Our mission is to overserve the underserved and give all retirees the peace of mind they deserve.”
Benartzi’s innovative and customized approach resonates with OneAmerica.
“Personalization has always been the key,” said McCarthy. “Helping participants achieve financial confidence is only possible if what we’re offering them is relevant, meaningful and actionable for that individual at that point in their life. We have to go beyond one-size-fits-all.”
OneAmerica will offer access to PensionPlus to participants approaching retirement. In just a few minutes time, the service makes it easy for users to run projections on their own to learn how different preferences could impact their retirement income.
Advisors who participated in beta versions of PensionPlus appreciated the value that the service brings to their customer relationships. Plan sponsors in the pilot embraced the effectiveness of the new service in helping participants understand the impact of important decisions like whether to delay Social Security for higher benefits, or how to factor a family inheritance into their retirement income plan.
“This collaboration is built on our belief in the power of relationships, education and customization,” said McCarthy. “And, it demonstrates our commitment to advisors, plan sponsors and participants — offering access to expertise and services to help participants throughout their financial lives.”
For more information, visit oneamerica.com/about-us/companies-of-oneamerica.
OneAmerica is the marketing name for the companies of OneAmerica.
PensionPlus is not an affiliate of the companies of OneAmerica.
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A national provider of insurance and financial services for more than 140 years, the companies of OneAmerica help customers build and protect their financial futures. OneAmerica offers a variety of products and services to serve the financial needs of their policyholders and customers. These products include retirement plan products and recordkeeping services, individual life insurance, annuities, asset-based long-term care solutions and employee benefit plan products. Products are issued and underwritten by the companies of OneAmerica and distributed through a nationwide network of employees, agents, brokers and other sources who are committed to providing value to our customers. To learn more about our products, services and the companies of OneAmerica, visit oneamerica.com/about-us/companies-of-oneamerica.
PensionPlus democratizes retirement income planning for all American workers, making it easy for plan participants to create a highly personalized retirement paycheck to fit their needs, goals and preferences. Founded in 2021 by Professor Emeritus Shlomo Benartzi, PensionPlus combines the insights of behavioral economics with an advanced financial engine and other technologies to not only set that customized lifelong paycheck, but also help users stay on track for their entire retirement with the proprietary Nudgebot. These innovations are helping PensionPlus give retirees the peace of mind they deserve with a paycheck they can count on. To learn more about services visit www.pensionplus.com.