Unlocking Retirement Potential: 5 Essential Updates to Your Marsh & McLennan 401(k) You Need to Know

Over the last forty years, the 401(k) plan has become the most popular retirement savings vehicle for Marsh & McLennan employees, outpacing both individual retirement accounts (IRAs) and traditional pension plans. This change highlights a major shift in retirement planning, as employees are now more responsible for shieldinging their financial security than they were in the past when employers handled defined benefit pension plans. The shift from self-managed 401(k) plans to guaranteed company pensions is a significant shift in the design of retirement benefits. Even though the 401(k) has many benefits, improvements might be made to better serve the needs of Marsh & McLennan retirees in the future.

According to recent findings from the Employee Benefit Research Institute (EBRI) , raising catch-up contributions might greatly increase retirement savings for Marsh & McLennan employees who are getting close to retirement. In addition to the regular cap, individuals 50 years of age and beyond can contribute an extra $6,500 to their 401(k) plans as of 2021. Marsh & McLennan employees in their later years of employment who need to increase their retirement savings will find this option especially helpful. Improving these contributions could further assist retirees' financial stability and better prepare them for longer retirement periods, as life expectancy continues to rise. These changes would be an essential improvement over the 401(k) plans that are in place.

Examine the development and significance of the 401(k) plan, which has surpassed IRAs and traditional pensions to become the most popular option for retirement savings for Marsh & McLennan employees. Discover how these programs, which give you flexibility and control over your retirement funds, have evolved to meet the demands of contemporary finance. To better prepare for a secure future, recognize the need for self-managed retirement planning and the possibility of increasing 401(k) contributions. This is perfect for Marsh & McLennan professionals aiming to maximize their financial stability as they approach retirement.

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Think of the 401(k) as the flagship ship cruising the wide retirement waters for Marsh & McLennan employees. Previously, retirees depended on the crew of the ship—traditional pensions—to lead them securely to their final destination: retirement. But as times have evolved, Marsh & McLennan employees are now in control and using contemporary navigational aids (401(k) plans) to design their own path. These tools have developed to provide greater flexibility and control, but just as improving a ship's equipment can increase its effectiveness and safety, so too can improving a 401(k) plan's features, such as adding more investment options and raising contribution limits, assist in a a safer and more comfortable transition to retirement.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Name of Pension Plan: Marsh & McLennan does not typically offer a traditional defined benefit pension plan. Instead, it offers a defined contribution plan. Years of Service and Age Qualification: The detailed eligibility criteria can be found in the Summary Plan Description (SPD) or 10-K filings. Pension Formula: As Marsh & McLennan primarily offers defined contribution plans, a pension formula might not be applicable Name of 401(k) Plan: Marsh & McLennan 401(k) Savings Plan. Eligibility Criteria: Generally available to full-time employees. Eligibility may require a waiting period.

Restructuring and Layoffs: Marsh & McLennan announced a restructuring plan in late 2023 to streamline operations and integrate their various business units more effectively. This restructuring involved the consolidation of certain departments and led to a reduction in workforce by approximately 5%. The move aimed to improve operational efficiency and align with the company’s strategic objectives for growth and innovation. Given the current economic climate, it's crucial for employees and investors to stay informed about these changes, as they impact job security and company performance. Benefit and Pension Changes: In 2024, Marsh & McLennan also updated its benefits package and pension plans. The company introduced enhanced retirement savings options, including increased 401(k) match contributions and expanded investment choices. These changes were made to attract and retain top talent amid a competitive labor market. Additionally, adjustments to the pension plan were implemented to ensure long-term financial stability and compliance with new regulations. These updates are significant in the context of current investment and tax environments, making it essential for stakeholders to review these changes carefully.

Marsh & McLennan (MMC) offers stock options primarily to senior executives and key employees. For 2022 and 2023, stock options were granted based on performance targets and individual roles. Marsh & McLennan (MMC) provides RSUs to a broader range of employees, including mid-level managers and above. In 2023, RSU grants were made as part of a broader incentive plan to align employee interests with shareholder value.

Healthcare Plans: Marsh & McLennan offers comprehensive healthcare plans, including medical, dental, and vision coverage. They provide various plan options to suit different needs, including PPO and HMO plans. Wellness Programs: The company emphasizes wellness programs and preventive care, with resources such as wellness coaching and fitness incentives.