Hueler Income Solutions®
PSCA is now making available to its plan sponsor member companies the Hueler Income Solutions® platform, effective April 5, 2011. This enables PSCA plan sponsor member companies to provide their retiring employees, who are interested in investigating the benefits of a fixed payment stream, with access to a web-based annuity purchasing option that allows employees to compare income annuities from leading insurance companies. This annuity purchasing portal includes a robust education component but does not include access to guidance. Income annuities are insurance contracts purchased with a single lump sum that offer immediate income payments (usually monthly) for a specified period or for the annuitant’s lifetime.
“Plan sponsors want to help their retiring employees,” said PSCA President David L. Wray. “This new member benefit will allow plan sponsors to give their employees who are interested in annuitizing some or all of their retirement account balances access to information concerning competitively priced annuities.”
Also, because many sponsors are concerned that “in-plan” options such as income annuities will lead to added fiduciary responsibility and increased plan complexity, this program will be offered to participants as an IRA rollover option. Accessing the Hueler Income Solutions® platform through PSCA affords member firms access without the standard connection fee charged to individual plan sponsors.
The Hueler Income Solutions® platform is designed for individuals seeking a fixed stream of income in retirement to augment their investment holdings, workplace retirement plan, and Social Security benefits. It allows retirement plan participants to obtain customized quotes on a real-time basis and evaluate directly comparable contracts from multiple companies.
Costs are another important consideration. The investment management, distribution, administrative and other costs associated with fixed annuity products are reflected in annuity quotes. As a result, the “apples-to-apples” comparability of quotes at the time they are obtained is critical in evaluating whether contracts are competitive among their peers. Annuity quotes through the platform will be competitive due to competition and the low, fully disclosed, transaction fee. PSCA will not receive any remuneration in the event a plan participant chooses to purchase an annuity through the Income Solutions® platform.
“This collaborative effort presents a tremendous opportunity for plan sponsors to provide information about this increasingly important form of benefit to their employees.” said Kelli Hueler, CEO of Hueler Companies. “Access to low cost annuities through a transparent, objective platform can meaningfully improve monthly income amounts for transitioning employees who seek to ‘pensionize’ their hard earned retirement savings and maximize their lifetime income stream.”
Hueler Companies has been a leading provider of low cost web-based annuity purchase systems since 2004. The firm now provides participants in more than 2,000 defined contribution plans access to income annuities as a tax-deferred rollover option for their retirement assets.
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