Financial wellness decisions rarely happen in isolation. Employees are often weighing health plan costs, household budgets and retirement savings at the same time — which is why some employers are beginning to connect those conversations more intentionally.
During a recent Plan Sponsor University (TPSU) program at Oregon State University’s Portland campus, Fred Barstein spoke with Anna, an HR director at a nonprofit with about 115 employees, about a tool provided by the organization’s benefits broker. The tool helps employees see how different health plan premiums affect their personal budgets and, in turn, how much they may be able to contribute to their 401(k).
Anna said the approach has helped employees better understand choices between plans such as HSAs and HRAs while seeing how benefits and retirement savings fit into their broader financial picture.
Read the Full Transcript Here:
Fred Barstein: Greetings. This is Fred Barstein, CEO and founder of 401kTV and TPSU. Just completed a program here in Portland at the campus of Oregon State University here. And I am here with Anna. Welcome, Anna.
Anna: Thank you. Nice to be here.
Fred Barstein: Okay if we ask you a few questions?
Anna: Yes, absolutely.
Fred Barstein: Before we do, tell our audience a little bit about yourself.
Anna: Sure. My name is Anna. I’m the HR director at a nonprofit organization, and we have about 115 employees.
Fred Barstein: So one of the things you talked about was a tool that your benefit broker made available. Can you explain what it is?
Anna: Sure. So we wanted to invite our broker — both our health insurance brokers as well as our 401(k) brokers — to come to our open enrollment meetings. And we wanted to do this to help people make financial decisions, both with their benefits and 401(k) plan in mind.
So, to help people understand how it’s all connected — their financial wellness is all connected. And what the tool does is it helps people understand how the premiums of the different plans affect their budgets, their personal budgets, and then how they can use that information to help inform them of how much they can afford to put into their 401(k) account.
Fred Barstein: Sounds great. What’s been the feedback for you?
Anna: It’s been really good. It’s been really good. So it’s really helped people make decisions on the benefit plans between, like, an HSA plan or an HRA plan.
Fred Barstein: They’re all connected. Sometimes people keep them separate.
Anna: Right.
Fred Barstein: Final question. What did you learn here today, and would you recommend TPSU?
Anna: Sure. I would definitely recommend it. Yes, I learned quite a bit, actually. The one thing I’m taking away immediately is the auto re-enrollment of participants. So to make sure we’re doing that every year — to do a sweep and get people in who haven’t enrolled previously.
Let’s see, what else? A lot about the market and how it’s changing, and just the common things that are going on in the world and the economy.
Fred Barstein: Common mistakes.
Anna: Common mistakes, for sure. Yes.
Fred Barstein: Well, thank you for your time.
Anna: You’re welcome.
Fred Barstein: And thank you for watching 401kTV. Please stay tuned.
