New Principal® IMPACT 401k Package Helps Businesses Provide an Efficient Savings and Retirement Plan Designed to Attract and Retain Employees

2019 MAY 24 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- Principal Financial Group® continues to innovate retirement plan solutions for small- and medium-sized businesses (SMBs) with the launch of Principal® IMPACT. This next-generation 401(k) retirement plan package is designed specifically to deliver best-in-class resources and support to advisors and their clients new to Principal from $1 million to $10 million in plan assets.

Principal® IMPACT rounds out an impressive full-service continuum of solutions for plan sponsors of all sizes, including defined contribution plans, defined benefit plans, employee stock ownership plans, and non-qualified deferred compensation plans.

“We are really excited about the introduction of Principal® IMPACT, which amplifies the ability of Principal® to serve as a ‘one-stop-shop’ for multiple retirement plan needs across all employer market segments,” said Jerry Patterson, senior vice president of Retirement and Income Solutions at Principal. “This new offering brings together competitive pricing and services that are often reserved for large employers.” Capitalizing on Market Insights and NeedsIn combination with our market experience, the development of Principal® IMPACT was driven by the needs of retirement plan advisors and sponsors. Among advisors, the number one expectation is flawless service, closely followed by need for responsiveness.1 And, with a strong economy and more SMBs than ever before, there’s lots of continued growth. Today, 95% of all retirement plans are in the under $10 million market [600,000 plans].2 “Small- and medium-sized businesses are motivated to support their people,” said Patterson. “Principal® IMPACT helps employers take care of their employees’ future lives while spending less time on administrative complexity.” Powered by People and TechnologyPrincipal® IMPACT is built on a foundation of 75 years in the retirement plan business and a commitment to deliver high touch service to our customers by a workforce dedicated to serve. Principal couples that with the latest in technology designed to help make plan administration easier for plan sponsors and make retirement savings and financial wellness inviting and engaging for employees. Client-Focused Service Approach: Employs a dedicated, cross-disciplinary team with service expertise to address the specific needs of Principal® IMPACT clients and their advisors. The collaborative team provides personalized support - from onboarding to annual review. Industry Leading Technology and Digital Resources: Boosts saving rates for participants with interactive, digital resources that help improve their financial confidence. The broad range of resources help make saving for retirement unintimidating and easy to understand and implement for employees. Participants who use our digital resources have a 10-point higher average Retirement Wellness Score, an indicator that helps retirement plan participants quickly see how well they’re tracking toward their retirement goals.3 Financial wellness beyond retirement savings: From helping younger workers manage student loan debt and supporting parents exploring scholarship options for kids headed for college to preparing a will or leveraging the power of a well-constructed target date fund, Principal® IMPACT is designed to address financial needs and more for the SMBs Principal serves. Modern investment lineup: Features institutionally managed, zero revenue investments designed specifically for retirement plans. Based on 2018 research from Principal, approximately 78% of the Z share class of Principal-branded investment options are in the top half of Morningstar category peer groups.4 Ongoing Fiduciary Support: Services to help manage fiduciary responsibilities and reduce administrative work so SMBs can have more time to focus on their business. Low Cost and Transparent Pricing: Given the constant pressures on SMBs to be efficient, Principal® IMPACT also features very competitive and transparent pricing. SMBs can be confident in understanding the value they are getting for their investment in this benefit.

“At the end of the day, participant outcomes are the top focus,” said Patterson. “Principal® IMPACT models our holistic approach to retirement planning, as we recognize that it is only one component of participant’s broader financial wellness journey.”

For more information about Principal® IMPACT, please visit http://principal.com/smb. About Principal®Principal helps people and companies around the world build, protect and advance their financial well-being through retirement, insurance and asset management solutions that fit their lives. Our employees are passionate about helping clients of all income and portfolio sizes achieve their goals - offering innovative ideas, investment expertise and real-life solutions to make financial progress possible. To find out more, visit us at principal.com.

Principal, Principal and symbol design and Principal Financial Group are trademarks and service marks of Principal Financial Services, Inc., a member of the Principal Financial Group.

The Retirement Wellness Planner information and Retirement Wellness Score are limited only to the inputs and other financial assumptions and is not intended to be a financial plan or investment advice from any company of the Principal Financial Group® or plan sponsor. This calculator only provides education which may be helpful in making personal financial decisions. Responsibility for those decisions is assumed by the participant, not the plan sponsor and not by any member of Principal®. Individual results will vary. Participants should regularly review their savings progress and post-retirement needs.

Insurance products and plan administrative services provided through Principal Life Insurance Co. Principal Funds, Inc. is distributed by Principal Funds Distributor, Inc. Securities offered through Principal Securities, Inc., 800-547-7754, member SIPC and/or independent broker-dealers. Principal Life, Principal Funds Distributor, Inc. and Principal Securities are members of the Principal Financial Group®, Des Moines, IA 50392.

Certain investment options and contract riders may not be available in all states or U.S. commonwealths. 1 BrightWork Partners. Absolutely Essential Criteria. 2017.2 Retirement Markets. Retirement Insights, LLC. February 2019.3 Principal Financial Group. Participant Data Report: Jan. 1 through Dec. 31, 2017. January 2018.4 Principal Financial Group. Principal® IMPACT: Retirement Plan Best Practices. December 2018. View source version on businesswire.com: https://www.businesswire.com/news/home/20190513005007/en/

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