Retirement Plan Reselection Deadline Is June 1; Eligible Members Can Enroll Online
Last month, STRS Ohio sent reselection packets to members who are eligible to make their retirement plan reselection in 2022. The final reselection option is now open to those who enrolled as new members between July 1, 2017, and June 30, 2018, and selected either STRS Ohio’s Defined Contribution Plan or Combined Plan.
Members who are now eligible for their plan reselection have until June 1, 2022, to make their selection. If you are eligible for reselection and do not choose a plan by the June 1 deadline, you will remain in your current plan with your current allocation. The decision you make now will be permanent and the plan you select will remain your retirement plan for the duration of your STRS Ohio membership. The packets mailed in March included personalized account information, an overview of each retirement plan and a plan comparison chart.
You can make your plan reselection through your Online Personal Account. From your Online Personal Account, click on “Member Information” in the top menu and then “Retirement Plan Reselection” under Useful Links.
If you have questions or need more information, please call the STRS Ohio Member Services Center toll-free at 888‑227‑7877. Plan reselection information is also available on our website.
Total Guaranteed Return Choice 2022 Term Ends June 30; New Allocation Must Be Selected
Members who allocated contributions to the Total Guaranteed Return Choice 2022 (for contributions made between July 1, 2017, and June 30, 2018) have an important decision to make about their asset allocation. The five-year term for this choice ends on June 30, 2022. At that time, if you have funds in this investment option, you will need to transfer the accumulated value to other STRS Ohio investments choices. If no action is taken, the accumulated value of the Total Guaranteed Return Choice 2022 will automatically be rolled into the STRS Target Choice option that falls immediately before your 60th birthday (or the next closest STRS Target Choice option if you have already reached age 60). In the coming weeks, STRS Ohio will share more information and instructions about how to make your selection.
Additional Savings Options
If you’re looking for ways to supplement your STRS Ohio retirement plan, an individual retirement account (IRA), 403(b) plan or a 457(b) plan may provide the right fit. These accounts each have their own plan characteristics, including maximum annual contribution limits, withdrawal limitations and fees. A financial advisor can help you determine if one of these plans is right for you. The Ohio Public Employees Deferred Compensation Program is a supplemental 457(b) retirement plan that is available to all Ohio public employees. You can learn more about this program at www.ohio457.org.
Investment Choice Profile
This quarter’s SmartTALK profiles the STRS Russell Midcap Index Choice.
The STRS Russell Midcap Index Choice is composed of approximately 800 U.S. companies selected for their market size (mid-cap), liquidity and industry group representation. Returns consist of capital appreciation plus dividend yield.
This investment choice is intended to closely match the performance of the Russell Midcap Index, before fees. This choice is subject to a variety of risks which can adversely affect performance. Some of these risks include stock market risk and investment style risk. Intermediate- and long-term performance figures for this and all investment choices are provided on the Investment Performance Report.
How do I know if I’m saving enough for retirement?
The first step is to put together a retirement plan that takes into account the lifestyle you’d like to lead in retirement, how long you expect to live in retirement and your current savings plan. STRS Ohio has contracted with Nationwide Retirement Solutions (NRS) as an administrative service provider for the defined contribution aspects of STRS Ohio’s benefits. The NRS/STRS Ohio website offers an online retirement planning tool called My Interactive Retirement Planner℠ that can help you assess your retirement readiness. If you need more personalized assistance, you can reach an NRS Retirement Specialist toll-free at 866‑332‑3342.
If you have any questions about the material in this newsletter, please contact STRS Ohio toll-free at 888‑227‑7877. This newsletter is intended merely as a general information reference for members of STRS Ohio. This newsletter is not intended as a substitute for applicable federal or state law, nor will its interpretation prevail should a conflict arise between its contents and applicable federal or state law. Before making decisions regarding your retirement, you should always consult with STRS Ohio as well as your personal tax, legal and financial advisors, as appropriate.