This year marks my son’s first day at school. He’s just under two years old, but my wife and I felt that getting him into a school setting (it’s actually a “pre-preschool”) would provide him a ton of opportunities that he wouldn’t get if he stayed home. Not only would he be able to meet new friends and learn how to take instructions from adults who aren’t his parents, but he would also become accustomed to the kind of “structure” that comes with going to school, setting him up for success in the future. Having said all that, what opportunities does going back to school mean for financial advisors?
Our kids going back to school means educators and other school employees, along with their retirement plans (typically a 403(b)/tax-sheltered annuity), also "come back." And with an employee-participation rate that is generally lower (as compared to 401(k)-participation rates), this retirement plan niche is largely an untapped market for advisors.
This low participation rate is mainly because school districts are not very engaged in their supplemental savings plans. A possible solution would be for advisors to meet with school administrators and superintendents to educate them on the benefits of their 403(b) plan, such as:
To get started, an easy way to approach a 403(b) plan is to do the following:
Entering into a new arena of retirement plans may be a little overwhelming, but luckily for you, Pacific Life offers educational resources via different marketing materials, your consultative wholesaler, and our Retirement Strategies Group.
If you have any questions along the way, please feel free to contact the Retirement Strategies Group at (800) 722-2333, ext. 3939, or send an e-mail to RSG@pacificlife.com.
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