The new program grants employees nearing retirement access to a low-cost, professionally managed fund that adjusts with age. When paired with the managed cash flow withdrawal option, it forms a steady stream of income in retirement. Employees can choose to keep their savings in Unum’s 401(k) plan after retirement as an affordable option to managing their savings. They can also select how often they receive withdrawal payments, including the option to mirror biweekly paychecks they received while working.
“We want our financial wellbeing benefits to support employees of all ages and stages of life,” said Carl Gagnon, assistant vice president of Unum Global Financial Wellbeing. “This program gives employees more flexibility in how they manage their 401(k) savings and withdrawals in retirement.”
The interest in and need for better retirement solutions is clear: more than 4 out of 5 workers say help from their employer converting savings into income would be helpful, according to the Employee Benefits Research Institute. And a quarter of workers said they feel their workplace retirement plan would be better if there were more investment options designed for people after retirement. 1
“Getting ready for retirement can be daunting, but this solution, along with the many other financial benefits Unum provides, makes me feel more prepared for what’s ahead,” said Cindy, Unum employee, age 56. “It gives me a sense of financial stability and will help ease the transition into retirement.”
This new program is part of a suite of financial benefits Unum provides its multigenerational workforce, including:
- A student debt relief program.
- A 401(k) program with company match.
- A 4.5% company-provided defined contribution for retirement savings.
- One-on-one financial advice through Fidelity and Ameriprise.
- Disability, life, and supplemental health insurance.
- Online investment and financial modeling tools.
- Employee stock purchase plan.
For more information about Unum benefits and other industry information, visit Unum’s newsroom.
About Unum Group
Unum Group provides a broad portfolio of financial protection benefits and services through the workplace, and is the leading provider of disability income protection worldwide. Through its Unum US, Unum UK, Unum Poland, and Colonial Life businesses, the company provides disability, life, accident, critical illness, dental and vision benefits that protect millions of working people and their families. Unum also provides leave and absence management services that streamline the leave experience for employers and employees and stop-loss coverage to help self-insured employers protect against medical costs. Unum reported revenues of $13.2 billion in 2020 and paid $7.6 billion in benefits.
1 Employee Benefits Research Institute “2020 Retirement Confidence Survey Summary Report” (April 2020)
SOURCE Unum Group