ECC Retirement Plan Transition

Plan your financial future

Use this page to make sure you don’t miss any important steps as we prepare to transition the 403(b)-pension plan from Empower Retirement/Prudential to Nationwide

See The Changes

Scroll to the bottom of the page for detailed information

Introduction

Learn about the why and the what of the Nationwide transition.

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

Nationwide has a long successful history administering retirement plans, both for clergy and otherwise.

Clergy Expertise

Nationwide was selected primarily due to their understanding of the tax-ability of the retired clergy housing allowance

Join us for a Nationwide Contribution Processing Training.

Summary

All The Necessary Information

Only have time to skim? Read the “Who Needs to Know This?” answer at the bottom of each box to decide if you need the information contained in that box.

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 Churches will enter the contributions online via the Nationwide website and the funds will be withdrawn from the churches bank account.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

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3) Easy Access

Pastors will have the ability to maintain their personal and demographic information with Nationwide via the online participant portal. This will allow you to easily update important information.

Who Should Know This?

Anyone With a Retirement Account

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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

The Housing Equity account will be discontinued. Participants with funds in the housing equity account will be contacted with options for the disposition of their Housing Equity account.

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.

…or watch it on-demand.