BISYS have launched an auto-enrollment feature and capability designed to increase participation and deferral rates in company retirement plans. It is called (k)ruiseControl.
It will also allow plan sponsors to define initial, minimum as well as maximum deferral rates, the schedule by which deferral increases occur for all eligible employees and to define the default investments. The program will allow plan sponsors to include the additional options created by the Pension Protection Act 2006, when they take effect in 2008.
“For some time now, we have focused on the best ways to encourage investment in retirement plans as the fundamental objective in facilitating retirement preparedness,” says Bob Guillocheau, the president of BISYS Retirement Services. “It’s understandable that employees lead very busy lives, or may not fully realize the importance of this part of their benefits package. We concur with those in the industry that an auto-enrollment program is perhaps the best way for employees to save for their retirement.”
“This is one more tool that financial advisors and plan sponsors can utilize to drive participation,” adds Michael Nark off, a senior vice president at Distribution Services for BISYS Retirement Services. “(k)ruiseControl automatically and systematically increases deferral percentages over time up to a pre-defined maximum, while simultaneously empowering employees to retain control over their account. It truly gives plan participants a co-pilot to help them achieve their retirement savings objectives.”