ECC Retirement Plan Transition
Plan your financial future
See The Changes
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Introduction
Why Transition to Nationwide Plan?
Lower Fees
All participants will experience a reduction in plan fees as compared to our current plan with Empower/Prudential.
Strong Partnership
Clergy Expertise
Join us for a Nationwide Contribution Processing Training.
Summary
All The Necessary Information
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1) Lower Fees
About $6,000 less in annual plan fees. Plan fees are paid by participants dependent upon the value of their account balance. Individual investment options have separate fees that are not impacted by the transition to Nationwide.
Who Should Know This?
Everyone
2) Simpler Processing
Churches will process the employer and employee 403(b) plan contributions. Churches will enter the contributions online via the Nationwide website and the funds will be withdrawn from the churches bank account.
Pension contribution checks will no longer be sent to EC Benefits Corporation for processing.
Who Should Know This?
Those Who Handle Payroll
3) Easy Access
Who Should Know This?
Anyone With a Retirement Account
4) Easier Documents
The 1099R will reflect the correct amount of taxable income, net of housing allowance, and no tax will be withheld on the designated housing allowance.
Retirees will be required to report an annual housing allowance to Nationwide for their 1099R and tax withholding on distributions to be accurate.
Details on the annual housing allowance reporting process to be released later.
Who Should Know This?
Current Retirees.
But Kind of…
Everyone.
Life Comes at You Fast.
Other Changes
Variety of Funds
There will be thirty (30) investment funds available.
A selection of faith-based funds, target date funds, index funds and sector specific funds such as healthcare, precious metals and real estate will be available.
Some of the current Empower Retirement/Prudential funds are available with Nationwide and those funds will continue.
For current investment options that are not available with Nationwide a similar investment option will be available.
The details of how and when the plan assets will be transferred to Nationwide will be released later when the details are known.
Guaranteed Interest Account Rate Reduction
There will be a slight decrease in the Guaranteed Interest Account (GIA) rate. Currently the GIA rate with Empower Retirement/Prudential is 2.64% net of fees. Nationwide has offered 2.5% for twelve months with no fees. Nationwide will reset the GIA rate annually.
Housing Equity Account Discontinued
Who Should Know This?
Everyone
Important Files
Click to Access Important Documents
403(b) Transition Detail Communication
Fee Disclosure 404(a)(5) Statement
Fund Mapping Information
How To Process Contributions Online
Important - Blackout Notice
Qualified Default Investment Alternative Notice
Summary Plan Description
Attend the Next Contribution Processing Training…
We have blocked out time specifically to answer any questions you may have. If you are confused about any part of this process, simply click the button above to schedule time to talk it out! We are here for you.