Your Anne Arundel County Public Schools Supplemental Retirement ProgramInitial Election Period: October 18 – November 30, 2009

Educate Evaluate Elect

Meeting Agenda

What’s Changing?Why Change Now?What are Your Choices?How You Can PrepareRetirement Program EventsAdditional Resources

Sources of Retirement Evaluate Your SiteOne-on-One MeetingProvider ComparisonEvaluate Your Investment OptionsEvaluating a Financial AdvisorYour Decision Guide

Ready. Set. How to EnrollWhat’s Retirement Manager?How Will You Elect Your New Investment Providers?Using Retirement ManagerWhat Happens After You EnrollYour Action Plan

EDUCATE

EVALUATE

ELECT

EDUCATEIn this section, we’ll discuss: What’s changing and when Who are the new investment

providers for the AACPS Supplemental Retirement Program

What can you do to educate yourself on your new options

What’s Changing?

• Investment providers will offer mutual funds in the 403(b) and 457(b) plans. No individual annuity contracts will be offered.

• Advantages include:– Lower fees and expenses– Flexibility to “mix and match” fund options to meet

your needs– Easily move balances between funds without penalty

(although short-term trading fees may apply)– Diverse range of investment options

Why Change Now?

• IRS has issued new regulations that govern 403(b) plans:– AACPS has increased reporting, oversight, and plan

administration duties, and– Must actively select investment options that are

appropriate for the plans to offer

What’s Changing?

• These investment providers will no longer be offered in 2010:– Horace Mann– INA– Merrill Lynch– Northwestern Mutual Financial (John Hancock)– Prudential Retirement/Securities– Symetra (Safeco)

What Are Your Choices?

• Effective January 1, 2010• Choose from:

– Lincoln Financial– MetLife– VALIC– And a new provider, ING

• Choose to invest with one or more investment providers

What’s Changing? Investment Options

Money MarketShort Term BondCore BondBalancedExtended Market IndexInternationalLifecycle

Large Cap ValueLarge Cap IndexLarge Cap GrowthMid Cap ValueMid Cap GrowthSmall Cap ValueSmall Cap Growth

A diverse range of investment options will be available to you. Visit the AACPS intranet for a list of funds in each asset class.

How You Can Prepare

• Look at your recent SRP statement to review your current investment options

• Brush up on investment fundamentals – Time horizon, diversification, compound interest

• Read all communication materials you receive• Meet with one or more investment provider

representatives

Retirement Program Events

Event Date

Employee Meetings October 14 – 24, 2009

Decision Guide October 18, 2009

National Save for Retirement Week October 18 – 24, 2009

Pre-Retirement Seminar November 7, 2009

Investment Provider “Office Hours” October 26 – November 12

Election Period/Web Site– Make your election

October 18 – November 30, 2009

Confirmation Statements December 2010

Investment Elections Effective January 1, 2010

First payroll deduction January 13, 2010

How You Can Prepare

• What you’ll find on the AACPS intranet (aacps.org>HR/Employment>Benefits):– FAQs and articles– Enrollment instructions– Links to online resources– Fund lineup by asset class

Additional Resources These websites can also help:

www.retirementweek.org Use tools and online resources to help you plan for retirement as

part of National Save for Retirement week

– www.403bwise.com– www.457bwise.com

Access online tools, resources and FAQs to get all of your 403(b)/457 questions and concerns answered

– www.choosetosave.orgTips on how to save for retirement including the ballpark estimate feature that can help you figure out how much you will need for retirement

- www.finra.org/InvestorsLearn about investing and how to build your financial knowledge

EVALUATE

In this section, we’ll discuss: What should you consider as

you Evaluate your choices? What tools will be available?

Sources of Retirement Income

Social Security+

Medicare

State of Maryland

You Government-Provided

Maryland State Retirement System

Personal Savings+

Supplemental Retirement Program

Contributions+

Previous Employer Benefits

Target 75% – 90% of pre-retirement income**The amount of pre-retirement income needed will vary for each individual and could be outside this range.

Evaluate Your Situation

• Career goals– How long do you plan to work at AACPS?– What is your current and estimated future compensation?

• Retirement goals– At what age do you plan to retire?– Will you work part-time?

• Family needs– Are you single or married?– Do you have beneficiaries?

• Investment experience– Are you comfortable managing your retirement assets?– Do you believe there is risk of inflation?

One-on-One Meetings

• Meeting with a representative from one or more of the AACPS investment providers can help you evaluate your options

• What you’ll need:– Current statements for your investments– Recent Social Security benefit statement

– W-2s – Recent MSRA statement (if a participant in the MRSA

program) and/or other defined benefit retirement plan statement (if you worked with another employer)

Evaluate Your Investment Options

• Fund performance• Fund volatility• Fund manager’s history• Fees and share classes• Diversification among funds• Your own personal risk tolerance

Your Decision Guide

Coming to home address in mid October:• Detailed comparison of investment providers• Easy to read and understand• Highlights key decision factors to help you make

your investment fund choices• Provides contact information for all approved

investment providers

AACPS Retirement Tools

Educate Evaluate Elect

•Decision Guide•Employee Meetings

•National Save for Retirement Week

•Ongoing Print and Web-based Communications

•Supplemental Retirement Program Statement

•Social Security Statement

•Maryland State Retirement Statement

•Personal Financial Advisor

• Investment Provider Web Sites

•Retirement Manager

•Individual Investment Provider Web Sites

ELECT

In this section, we’ll discuss: How will I make my election

in Retirement Manager?

Ready. Set. How to Enroll

• Enroll online or in-person during your one-on-one meeting with an investment provider representative

• Make your elections during the initial Election Period, October 18 – November 30, 2009

What is Retirement Manager?

• It’s where you start• Your online Supplemental Retirement Program election

web site• Access from the internet or intranet• Links to each of the four investment providers under our

program• Offers online tools – including calculators, worksheets,

reports, and more!

How Will You Elect Your New Investment Providers?• Go to Retirement Manager web site at

www.myretirementmanager.com• Make your deferral election

– Decide how much to contribute per pay period– Elect your investment provider or providers

• If more than one provider, indicate the % to each

– Submit

Using Retirement Manager

Go to www.myretirementmanager.com home page:

Using Retirement Manager

You will click the “I’m a New User” link at the top and you will be directed to select your school system:

Using Retirement Manager

After selecting Anne Arundel County Public Schools, you will enter your data to login:

After logging in, you will see the Anne Arundel County Public Schools Retirement Manager home page:

Using Retirement Manager

Click here to enroll or make

a change.

How Will You Elect Your New Investment Providers?

• To select investments with one investment provider:– Click on the link to the investment provider from the

Retirement Manager– Once on the investment provider site, enter your

investment allocations in each of your elected funds totaling 100% of your contribution amount

– Select a beneficiary and include your beneficiary information

• To select investments with multiple providers:– Repeat above steps for each provider elected– Establish your account with the provider at each

investment provider site, then elect investment allocations, then a beneficiary (or beneficiaries)

What Happens After You Enroll?• You will receive a confirmation statement on the website

– You will also receive a confirmation statement from each of the investment providers you select

• You may change your elections up until midnight on November 30, 2009

• Your 2009 deferrals will be invested in your current contracts through December 31, 2009

• Your new deferral amount and investment elections will be effective January 1, 2010

• The first payroll deduction will take effect on January 13, 2010

If You Don’t Select Investments

• Your future deferrals will be defaulted into a lifecycle fund • To change your default election in the future, visit the

investment provider web site• Your changes will be effective as soon as administratively

possible after the first pay of the year

Your Action Plan

• Take advantage of your resources– Review your current SRP statement– Read all materials you receive and go online to learn

more– Review your overall retirement strategy with a financial

advisor Ask each of the investment providers what’s available

– Make your election!

Your Supplemental Retirement Program investment fund elections must be registered by Monday, November 30

to be effective for the first payroll of 2010.

Breakout Sessions

• Introductions– ING Room– Lincoln Room– MetLife Room– VALIC Room

Educate Evaluate Elect

Your AACPS Supplemental Retirement Program.It’s up to you.