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Target date funds: Who uses them the “right” way?

With their “all-in” investment simplicity and automated de-risking, target date funds (TDFs) were seen as a panacea for the investing woes of defined contribution investors. However, Alight Solutions finds that TDFs are actually more of a blunt instrument and aren’t being used in the way that they were originally designed to be used.

This white paper shares data from over 1.5 million TDF users across roughly 100 large DC plans to show:

  • The demographics of TDF users

  • The prevalence of partial TDF users

  • The impact of automatic enrollment on TDF use

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IRS Private Letter Ruling — New flexibility in employee benefit design, a step in the right direction

The IRS has issued a Private Letter Ruling (PLR 202434006) that provides a mechanism for employers to allow employees some level of choice about how to allocate employer contributions amongst various employee benefits.

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Introducing Alight IRA

To uphold Alight’s commitment to helping people achieve better financial security, Alight has introduced the Alight IRA.

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What is a Roth IRA and how does it work? Ask Alight.

Learn more about Roth IRAs and how they may be an option for your retirement savings.

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