PLANSPONSOR - February/March 2019 - 45

sponsors receive points. This allows an awareness of plan nuances,
as to size, industry or other demographics. However, there are
some best practices that all plans should employ, such as creating
and using an investment policy statement (IPS) and making automatic
deferral increases to help participants save more.
Overall, benchmarking plan design is essential for understanding
how a plan compares with competitors. Plan sponsors
can turn to advisers, consultants, recordkeepers, this BIC
list, or informal settings such as the PLANSPONSOR National
Conference (PSNC) as sources of benchmarking insight.
" Plan design is sometimes made unintentionally, and benchmarking
allows sponsors to carefully consider whether the design
works for the plan, " says Alison Cooke Mintzer, PLANSPONSOR's
editor-in-chief. " It's not where you fall on the benchmarking scale
necessarily but what you do after learning that information that
may make the difference in plan success. " -PS
Methodology
Recipients of the 2019 Best in Class 401(k) Plan designation
were selected from the 3,495 401(k) plans that responded
to the 2018 PLANSPONSOR Defined Contribution (DC)
Survey. Plans were rated using a proprietary system that
weighted usage and implementation of 35 criteria related to
plan design, oversight/governance and participant outcomes.
Numeric scores were then assigned to each attribute, with
higher scores given for use of features that were viewed as
having greater correlation with improved participant and plan
outcomes-e.g., plans with immediate vesting received higher
scores than plans with three-year vesting schedules. Plans that
achieved a total score of more than 90 points, on a 120-point
scale, joined the list of 115 prior winners (see page 51) in
receiving our Best in Class designation.
2019 Best in Class 401(k) Plans
Agilent Technologies, Inc.
(Santa Clara, California)
$1.41b / 4,950 participants / Life Sciences
97%
PARTICIPATION RATE:
AVG DEFERRAL RATE:
# OF FUNDS OFFERED:
INVESTMENT REVIEW:
TRUE-UP FEATURE:
MATCH VESTING PERIOD:
MATCH RATE:
% RECEIVING FULL MATCH:
ELIGIBILITY:
9.3% DEFAULT DEFERRAL RATE:
15
Every 1 - 2 yrs
Yes
Immediate
DEFAULT INVESTMENT:
AUTO-ESCALATION:
Immediate
6%
Institutional TDF
Opt-out
SYSTEMATIC WITHDRAWALS:
FEE EQUALIZATION:
100% of first 6% of salary deferrals
>90%
No
Not applicable
MAX EMPLOYER CONTRIBUTION:
>11%
FINANCIAL EDUCATION:
o Saving/Budgeting o Investing strategies o Tax/Estate planning
o College saving o Credit/Debt mgmt o Retiree health costs/savings options
RECORDKEEPER:
Fidelity Investments
Albemarle Corporation
(Charlotte, North Carolina)
$721.1mm / 3,500 participants / Chemicals
94%
PARTICIPATION RATE:
AVG DEFERRAL RATE:
# OF FUNDS OFFERED:
INVESTMENT REVIEW:
TRUE-UP FEATURE:
MATCH VESTING PERIOD:
MATCH RATE:
% RECEIVING FULL MATCH:
ELIGIBILITY:
9.7% DEFAULT DEFERRAL RATE:
Quarterly
Yes
Immediate
AUTO-ESCALATION:
Immediate
5%
25 DEFAULT INVESTMENT: Managed account
Opt-in
Yes
SYSTEMATIC WITHDRAWALS:
FEE EQUALIZATION:
Planned for 2019
100% of 1st 3% of salary deferrals, then 50% of the next 6%*
>65%
MAX EMPLOYER CONTRIBUTION:
>10%
FINANCIAL EDUCATION:
o Saving/Budgeting o Investing strategies o Tax/Estate planning
o College saving o Credit/Debt mgmt o Retiree health costs/savings options
RECORDKEEPER:
Bank of America Merrill Lynch
Altra Federal Credit Union
(Onalaska, Wisconsin)
$31.9mm / 100 - 499 participants / Banking - Commercial, Retail
98%
ELIGIBILITY:
7% DEFAULT DEFERRAL RATE:
Quarterly
Yes
AUTO-ESCALATION:
PARTICIPATION RATE:
AVG DEFERRAL RATE:
# OF FUNDS OFFERED:
INVESTMENT REVIEW:
TRUE-UP FEATURE:
MATCH VESTING PERIOD:
MATCH RATE:
% RECEIVING FULL MATCH:
After 1 month
6%
22 DEFAULT INVESTMENT: Retail TDF (active)
Opt-in
Yes
4 yrs (graded)
SYSTEMATIC WITHDRAWALS:
FEE EQUALIZATION:
100% of first 6% of salary deferrals
>90%
Not applicable
MAX EMPLOYER CONTRIBUTION:
9%
FINANCIAL EDUCATION:
o Saving/Budgeting o Investing strategies o Tax/Estate planning
o College saving o Credit/Debt mgmt o Retiree health costs/savings options
RECORDKEEPER:
CUNA Mutual Retirement Solutions
American Bankers Association
(Washington, D.C.)
$114.6mm / 500 participants / Trade Association
92%
PARTICIPATION RATE:
AVG DEFERRAL RATE:
# OF FUNDS OFFERED:
INVESTMENT REVIEW:
TRUE-UP FEATURE:
MATCH RATE:
% RECEIVING FULL MATCH:
ELIGIBILITY:
10% DEFAULT DEFERRAL RATE:
Twice a year
AUTO-ESCALATION:
Within 3 months
6%
MATCH VESTING PERIOD: 3 yrs (graded)
11 DEFAULT INVESTMENT: Retail TDF (active)
Opt-out
Yes
Yes
MAX EMPLOYER CONTRIBUTION:
9%
No SYSTEMATIC WITHDRAWALS:
FEE EQUALIZATION:
50% of first 6% of salary deferrals
>75%
FINANCIAL EDUCATION:
o Saving/Budgeting o Investing strategies o Tax/Estate planning
o College saving o Credit/Debt mgmt o Retiree health costs/savings options
RECORDKEEPER:
Voya Financial
*The most common match formula. The Albemarle plan also matches 100% of the first 5% of salary deferrals for some union participants.
Note: Match rates and employer contributions are simplified for reporting purposes and may have other attributes (e.g., caps/limits, tiers, etc.) not listed here.
PLANSPONSOR.com February - March 2019 45
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