Presentation on theme: "The County of San Mateo 457 Deferred Compensation Plan Let The Hartford help you Achieve Whats Ahead."— Presentation transcript:
The County of San Mateo 457 Deferred Compensation Plan Let The Hartford help you Achieve Whats Ahead.
Achieve Whats Ahead. Trust Trusted since 1810 Insuring and providing financial services to more than 21 million people 1 Helping more than 1.6 million participants retire 1 Nearly 40 years retirement plans experience One of the Worlds Most Ethical Companies (2008 and 2009), Ethisphere Institute EPA Climate Leader Partnership Retirement experts here for you when and where you need us -Local specialists -Licensed phone representatives Award-winning service - The only retirement program provider to be recognized for service with six consecutive DALBAR Retirement Plan Service Awards (2003-2008) Flexibility Programs to meet your needs today and for the long term Award-winning investment education 2 – in person, in print and online Investment options for the do- it-myself and the do-it-for-me investor to suit your style 1 As of 6/30/09 2 Recognized by Pensions & Investments magazine and Profit Sharing/401k Council of America (PSCA) with 15 awards in 2008 and 2009
Agenda Whats changed? Whats in it for you? Transition overview Contact information Questions
Whats changed? The Hartford is now the exclusive provider of the County of San Mateos 457 plan. As part of its commitment to providing the best retirement plan possible, The County conducted a thorough review of several providers, as it does periodically. The Hartford excelled in the following categories: –Service –Educational resources –Competitive fees
Whats in it for you? Lauren Bowes, your local Hartford representative, will provide on-site, ongoing support in group or individual meetings. Contact Lauren at (650)207-4415 or firstname.lastname@example.org email@example.com Group meetings and seminars for retirement planning and ongoing investment education Individual meetings and personalized retirement planning using TRAK software Dedicated, in-person education and assistance.
Whats in it for you? Financial planning expertise. Augmenting Laurens services is your local representative from Woodbury Financial Services, Inc. Holistic financial planning assistance to address your complete financial planning picture Personalized financial plan available at no additional cost to you
Whats in it for you? In print and online educational resources – for every type of investor, at every stage of the retirement planning process. –Customized retirement planning website Interactive calculators Educational articles Retirement resources –Morningstar® Online Advice Great for the Do it For Me investor When you provide some basic information, Morningstar answers these critical questions: –How much do I need to contribute? –Where do I invest my contributions? Creates a personalized retirement strategy Provides personalized investment advice based on your plans available investment options
Whats in it for you? In print and online educational resources – for every type of investor, at every stage of the retirement planning process. Personalized retirement planning advice from an independent third party, Financial Soundings* –Participants and eligible employees (as determined by the County) will receive personalized investment advice each year via the Annual Portfolio Review – Includes retirement income gap analysis and recommendations –No cost to you *The Hartford and its affiliates are not affiliated with Financial Soundings, Inc. (FS). Investment advisory products and services are provided by Financial Soundings, Inc, a registered investment adviser and a wholly owned subsidiary of Financial Soundings, Incorporated..
Whats in it for you? New investment option lineup –Effective at the close of business on November 13, 2009, the County will add 20 new investment options –Reduced expenses on six (6) existing investment options, effective at the close of business on November 25, 2009 –Elimination of 14 existing investment options that no longer met the County of San Mateos criteria, effective at the close of business November 25, 2009
Whats in it for you? Investment lineup changes For more information about these changes, please refer to the Mapping Schedule for a list of the funds that will be eliminated and all of the investment options that will be available under the Countys plan, as part of The Hartfords program. NOTE: Mapping involves the transfer of assets from one investment option to another, like investment option, based on the investment options asset class and investment objective, ex: Small cap investment option A to Small cap investment option B
Whats in it for you? Competitive fees –No sales charges or CDSC as a result of this transfer –No administrative/recordkeeping fees –No withdrawal (surrender) charges on distributions for The Hartfords program For more information about contract charges and expenses and/or underlying fund-level expenses: Please call The Hartford at (800) 528-9009 and request a service specialist, or See the investment option fee schedule in your education kit.
Transition overview Current participants in The Hartfords program will automatically receive these service enhancements. Things you need to know/do: –You will be able to make investment option changes to your account until the close of business on December 11, 2009 –You will be unable to perform transactions on your account from the close of business on December 11 through 5 a.m. PT on December 24, while the transition occurs –Please review all information relevant to the new investment options, along with your overall account allocation, to determine if you wish to make changes prior to the transition period
Transition overview If you currently participate in Nationwides program, your account will transition to The Hartford, beginning after the close of business on December 11, 2009. –Assets in your account will remain invested with your current provider until transferred to The Hartford; you will not incur any transaction fees as a result of this change –You will be unable to access your account from the close of business on December 11 through 5 a.m. PT December 24, while the transition occurs –Your account will remain invested at Nationwide through December 17; the assets will be reinvested at The Harford on December 18. You will be out of the market for one day –Beginning December 24, you will have access to your account at The Hartford and may resume transaction activity –Your first quarterly Statement of Account from The Hartford will be issued on December 31, 2009 and will reflect your accounts transition to The Hartford; you also will receive a confirmation of the transfer of assets to The Hartford
Transition overview Will my payments be disrupted during this transition? If you receive periodic installment payments, they will be accelerated for the month of December so they are not disrupted by the transition period. Any payments scheduled for distribution after the transition will be generated by The Hartford beginning in January, 2010. –Your current distribution method (direct deposit or regular mail) will not be affected by this transition.
Transition overview Will these changes affect my loan? No changes to loan(s) for current Hartford participants Nationwide participants with active loans have the following options –1) pay your loan in full with Nationwide; –2) allow Hartford to take over the loan and then pay the loan in full or –3) have Hartford continue to service the loan which requires the completion and return of a new ACH form* that will be included in the mailing. PLEASE NOTE: –If ACH information is not provided to Hartford, and the loan is not paid off, then the loan may be subject to default and tax consequences will result. –The date by which you need to provide this information will be included in the mailing you will receive during the week of November 9.
Transition Timeline: Nationwide to Hartford December 11, 2009 Transition Period begins at 1:00 p.m. PT December 17, 2009 Assets are liquidated December 18, 2009 Assets transferred and invested at The Hartford December 18, 2009 First payroll contribution to The Hartford December 24, 2009 Transition Period ends at 5:00 a.m. PT December 4, 2009 Last payroll contribution to Nationwide
Transition overview How will my account transition from Nationwide to The Hartford? –The Hartford will transfer (map) your account assets, and your future contribution allocation, to investment options within Hartfords retirement program based primarily on two things, as determined by the County of San Mateo: 1.Like asset classes Example: An investment option in the asset class of mid-cap growth at your current provider would be transferred, or mapped, to another investment option in the mid cap growth category in The Hartfords retirement program. 2.Like investment objectives Example: An investment option with an objective of long-term growth would be transferred to another investment option with an objective of long-term growth PLEASE NOTE: If you have an account with both Hartford and Nationwide, future allocations will be recalculated so that your total allocation remains consistent with your current allocation mix.
Transition overview What do I have to do? NOTHING. Current Hartford participants will not have account access following the market close on December 11, 2009 through 5 a.m. PT on December 24, 2009 Participants transitioning from Nationwide need to do nothing to effect the transfer. –The transition will occur automatically, and all details will be reported on the written confirmation of the transfer and the first Statement of Account from The Hartford. – As mentioned earlier, if you have a loan that you want The Hartford to service after the transition, you will need to provide us with ACH banking information.
Transition overview How will my assets in a Certificate of Deposit (CD) be transitioned to The Hartford? The CD option currently offered through the Nationwide program will be terminated Account balances in the CD option will automatically be transitioned to the General (Declared Rate) Account, available under The Hartfords program –The General Account rate for December 2009 will be 4.0% –The General Account rate for 2010 will be 4.25% –The minimum guaranteed rate of interest for the life of The Hartfords contract with the County of San Mateo will be 4.0% –You will not incur any early withdrawal penalties as a result of this change
Transition overview What if I have a PST (Part Time Seasonal and Temporary Worker) Plan ? If you PARS participant, your current account will terminate effective November 30, 2009 –Your December contributions will be made to the new PST program with The Hartford Your PARS account assets will be valued as of December 31, 2009 PARS account assets will transfer to The Hartford in three payments in January, February, and March 2010 Additional details will be outlined in a mailing that you will receive in the fourth quarter of 2009
Contact information Hartford Representative –Lauren Bowes: (650)207-4415 Hartford Service Center –(800) 528-9009 –ask to speak to a service specialist
Important information The Hartford is The Hartford Financial Services Group, Inc. and its subsidiaries, including issuing company Hartford Life Insurance Company. The Possibilities TM program is funded by a group variable funding agreement (HL 16553) issued by Hartford Life Insurance Company (Simsbury, CT). This presentation must be preceded or accompanied by currently effective disclosure documents (including the Program Overview, Program Highlights, Investment Option Fee Schedule and applicable historical investment option performance information). Read this material carefully before you invest or send money. This information is written in connection with the promotion or marketing of the matter(s) addressed in this material. The information cannot be used or relied upon for the purpose of avoiding IRS penalties. Neither The Hartford, nor its agents or employees, provide tax or legal advice. As with all matters of a tax or legal nature, you should consult your own tax or legal counsel for advice.