John Hancock’s retirement planner marks first year of use with 23% of plan members increasing payroll contribution rates
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BOSTON, October 1, 2021 / PRNewswire / – John Hancock Retirement, a Manulife Investment Management firm, today announced encouraging data resulting from the first year of using its new retirement planner. Presented to participants of May 2020, the retirement planner has enhanced people’s online and digital experience in their retirement plans to help them easily project their own retirement preparation and model the impact of taking different steps to improve it. Over the past year, despite the COVID-19 pandemic, 23.6% of pension plan users have positively changed their contribution rate and increased their employee contribution rate by 4.2% on average.1 Additionally, in the first six months of use, 94% of retirement planners users added information to personalize their projections, with 66% of users making 10 or more changes during the experiment to further refine their projections. and their retirement plan.2
“Our retirement planner is just one of many tools we offer as part of a comprehensive plan design to help plan members achieve the retirement outcomes they envision,” said Sue Reibel, CEO, John Hancock Retirement. “We believe that helping employees plan and save for their retirement with a workplace plan is the best and easiest way for people to reach their individual retirement savings goals. . If we want participants to commit to their plans, we need them to take those steps. to help visualize what their retreats will be like.
The retirement planner uses proprietary predictive analytics to project a member’s income and expenses each year of retirement.3, break down expenditure into items such as health care4, food and accommodation. This detailed view of retirement expenses makes the need to save more tangible and relevant to the member. The results for the first year of using the retirement planner are in line with responses from the John Hancock Financial Stress Survey 2020, where 95% of respondents said that their estimated retirement income and expenses were projected to be the highest. would help motivate them to plan.5
The retirement planner can accommodate all types of income sources including defined contribution plans, defined benefit plans and unqualified plans under John Hancock Retirement as well as external accounts including the savings, other retirement plans and expected income such as rental income to provide the participant with a realistic holistic approach. retirement photo.
“We could not be happier to mark the retirement planner’s first anniversary with these results,” added Lynda Abend, Chief Strategy and Transformation Officer, John Hancock Retirement. “We are all aware of the difficulty of the past year for both plan sponsors and members and we are really encouraged by the increase in activity that we have seen, including higher contribution rates and adding personalized information to individual plans. These changes help make retirement projections more accurate for participants and also show that participants are increasingly aware of the impact of planning they can do now to achieve their individual retirement results and goals.
- John Hancock internal data based on the 116,589 active participants on John Hancock’s open architecture platform, who used the retirement planner from June 1, 2020 through May 31, 2021.
- John Hancock Internal data based on participants from John Hancock’s group annuity and open architecture platforms, who used the retirement planner from May to November 2020.
- The projected retirement income estimates for current John Hancock accounts, future contributions, employer contributions (if any) and other retirement set aside accounts used in this calculator are hypothetical and for the purposes of illustration only, and does not constitute investment advice. Results are not guaranteed and do not represent the current or future performance of any specific account or investment. All investments involve some degree of risk and past performance is no guarantee of future results. Due to market fluctuations and other factors, the investment objectives may not be achieved.
- Health data is not kept for privacy reasons, but the impact of health information is kept in the projection.
- In july 2020John Hancock commissioned our seventh annual Financial Stress Survey with respected research firm Greenwald & Associates. An online survey of 589 workers was conducted between 07/28/20 and 8/14/20 to learn more about individual stress levels, their causes and effects, and relief strategies. John Hancock and Greenwald & Associates are not affiliated and neither is responsible for the responsibilities of the other.
About John Hancock’s retirement
John Hancock Retirement is the US retirement company of Manulife Investment Management. For almost 50 years, we’ve been helping people plan and invest for their retirement; today we are one of the largest full service providers in United States.1 We take a hands-on consultative approach based on the idea that no two plans – and no two plan participants – are exactly alike. We work in partnership with plan sponsors, financial professionals and third party administrators to ensure that each plan is personal to the member and delivers results.
From June 30, 2021, John Hancock has managed over 52,000 pension plans with over 3.1 million members * and over $ 218 billion at AUMA.2
* The number of participants reflects all active participants with a balance.
- “2020 Survey of those responsible for registration with defined contributions”, PLANSPONSOR, 2020.
- From June 30, 2021, John Hancock Life Insurance Company (United States) supported 47,995 plans, 1,606,720 participants and $ 108,283,261,827.19 at AUMA. John Hancock Life Insurance Company new York supported 2,549 plans, 80,027 participants and $ 6,434,822,673.87 at AUMA. John Hancock Retirement Plan Services, LLC supported 2,207 plans, 1,428,948 members and $ 103,680,838,816.18 at AUMA. The number of participants reflects all active participants with a balance. Approximate unaudited figures for John Hancock, provided on a US legal basis.
About Manulife Investment Management
Manulife Investment Management is the global wealth and asset management segment of Manulife Financial Corporation. We draw on over a century of financial stewardship and all of our parent company’s resources to serve individuals, institutions and pension plan members around the world. Based at Toronto, our cutting-edge capacities in public and private markets are reinforced by an investment footprint that covers 18 geographic areas. We complement these capabilities by providing access to a network of unaffiliated asset managers from around the world. We are committed to investing responsibly in all of our activities. We develop innovative global frameworks for sustainable investing, collaborate with the companies in our securities portfolios and maintain a high level of stewardship where we own and operate assets, and we believe in supporting financial well-being through of our workplace pension plans. Today, plan sponsors around the world rely on our expertise in pension administration and investment to help their employees plan, save and experience a better retirement.
From June 30, 2021, Manulife Investment Management had CAD $ 1.0 trillion (WE $ 834 billion) in assets under management and administration. Not all offers are available in all jurisdictions. For more information, please visit manulifeim.com.
John Hancock Retirement Plan Services, LLC provides administrative or record keeping services to pension plan sponsors and administrators. John Hancock Trust Company LLC provides trust and custody services to these plans.
Group annuity contracts and record keeping agreements are issued by John Hancock Life Insurance Company (United States), Boston, Massachusetts (not allowed in new York), and John Hancock Life Insurance Company of new York, Valhalla, New York. Product specifications and availability may vary by condition.
John Hancock Retirement Plan Services, LLC, John Hancock Life Insurance Company (United States), and John Hancock Life Insurance Company of new York each provides pension plan sponsors or administrators with a platform of investment alternatives without taking into account the individualized needs of any plan. Unless expressly stated otherwise in writing, each of these companies does not provide or undertake to provide impartial investment advice or to give advice in a fiduciary capacity.
John Hancock Life Insurance Company (United States) and John Hancock Life Insurance Company of new York doing business in some cases using the John Hancock name.
JH Enterprise is a registered trademark of John Hancock Life Insurance Company (United States).
JH Signature is a trademark of John Hancock Life Insurance Company (United States) and is used under license by John Hancock Life Insurance Company of new York.
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SOURCE John Hancock