Employer Update

Although the road to retirement is an individual journey, many employees benefit from a nudge along the way.

The big questions to pose: Are you saving enough for the future? Do you have a plan to get there?

National Retirement Security Month, observed every October, is the perfect time to remind employees to take actions that will help them build a more secure future.

Nationwide, workers remain confident in their ability to fully retire with a comfortable lifestyle, according to recent datafrom the Transamerica Center for Retirement Studies. Millennials (27%) and Generation Z (23%) have the most confidence. Confidence starts to dip among Baby Boomers (21%) and Generation X (17%).

The Transamerica study also found that more than two-thirds of workers want more information and guidance from their employers on how to reach their retirement goals.

VRS offers resources and tools that you can pass along to help employees learn more about their retirement benefits, supplemental savings plans and employer-match options while engaging in long-term financial planning.

1. Start With myVRS

When members register for myVRS and log in regularly, they can take advantage of the growing library of retirement planning resources and self-service features. They can use the myVRS Benefit Estimator to see what their VRS benefit in retirement might look like under different scenarios. With the myVRS Retirement Planner, members can set an income-replacement goal and enter expected income sources. The planner includes calculators and a budgeting worksheet to help members meet their future goals.

2. Review MBP as a Retirement Checkup

Encourage employees to use their 2023 Member Benefit Profiles (MBPs) and myVRS accounts jointly to help them stay on track with their retirement goals. If you have members who do not have online access, you can look up and print their current MBPs in myVRS Navigator through your employer access view.

3. Maximize Savings

For Hybrid Retirement Plan members, saving for retirement means making voluntary contributions. Members who make the maximum 4% voluntary contribution qualify for 2.5% in employer matching contributions.

Deadline Soon: September 15, 4 p.m., is the next quarterly deadline for hybrid voluntary contribution changes.

If you participate in the Commonwealth of Virginia 457 Deferred Compensation Plan and the Virginia Cash Match Plan, remind new employees about their option to participate in these plans.

Hybrid plan members who are also eligible for the Virginia Cash Match Plan should first maximize their voluntary contributions to the Hybrid 457 Deferred Compensation Plan to receive the full employer match, before contributing to the Commonwealth of Virginia 457 Plan.

4. Take Advantage of VRS Learning Opportunities

Point Plan 1 and Plan 2 members to the Education and Counseling page on the VRS website, where they can register for webinars and workshops to increase their knowledge of VRS benefits and how to plan for retirement.

Hybrid Retirement Plan members can learn more about their plan by watching the short videos featured on the Hybrid Plan Learning Channel. They also may access webinars and register for one-on-one consultations to learn more about the defined contribution component of their plan.

5. Build Knowledge With myVRS Financial Wellness

The nationally recognized myVRS Financial Wellness program aims to help VRS members make informed and educated decisions on everyday financial matters while saving for the future. Through their secure myVRS accounts, employees can tap into articles, videos, mini-courses and customized action plans to help them pay down debt and pursue financial goals.