National Save for Retirement Week:
October 21 through 27, 2007

National Save for Retirement Week is the first congressionally endorsed, national event that formally calls on employers to promote the benefits of saving for retirement, and encourage their employees to take full advantage of employer-sponsored plans.

At IMRF we stress to our members that it’s never too early to begin thinking about retirement. Retirement is the largest ‘purchase’ you will make during your lifetime. It’s critical to think ahead about the kind of lifestyle you want once you are no longer working, so you can start taking the necessary steps toward achieving it.

The retirement plan IMRF offers

The retirement plan IMRF offers is a defined benefit plan—a traditional pension plan. With an IMRF pension, you are on the road to building a secure future.

IMRF believes secure pensions for municipal workers help them remain financially independent when they retire as well as help minimize the likelihood that they will become financially dependent on government programs or on family members.

But your IMRF pension is only one part of your retirement savings.

IMRF also offers an additional retirement savings tool

IMRF also offers an additional tool to save for retirement, the Voluntary Additional Contribution plan. With IMRF’s Voluntary Additional Contribution plan, you can contribute up to an additional 10% of your earnings to IMRF.

At retirement, your Voluntary Additional Contributions plus interest may be taken as a lump sum or as an additional monthly pension. Currently, members earn 7.50% on their Voluntary Additional Contributions.

A different type of retirement savings plan: defined contribution

A different type of plan that helps you save for retirement is a defined contribution plan.

If you work for a school district or a public hospital, you may be familiar with an Internal Revenue Code Section 403(b) tax-deferred annuity. If you work for some other IMRF employer, you may be familiar with a 457 deferred compensation plan.

These plans function like defined contribution plans. If your employers offers such a plan, you should take advantage and start contributing today!

Any contribution you can make to your retirement savings is helpful. Not everyone can afford to max out contributions to optional plans, but even if you can put away $10, at least your moving toward a goal.

Additional retirement savings information to share with your employees:

• Top Tips For Making Retirement A Reality
  
  
• Planning for retirement
  • What’s your retirement personality profile?
    Planner, saver, impulsive, struggler, or denier?
  • Five ways to build a great retirement
  • A lifetime plan for a successful retirement
    
    
• Getting out of debt
  • Find your own plan for getting out of debt
    Credit card debt leads to a lower standard of living...
  • Manage your debt, manage your future
  • Too much month at the end of your money?
    Tracking what you spend against what you earn—a necessary first step...
    
    
• The importance of starting now, no matter how small
  • The power of saving early and regularly
    An example of one couple’s commitment to sacrifice for the future
  • Don’t put off until tomorrow...
    The cost of procrastination can be great and varied
    
    
• You're never to young to start
  • So you’re in your 20s or 30s.
    Why think about retirement planning?
  • Generation X carves out its own retirement savings style