Hey advisors: Know any 401k participants who are particularly enthusiastic or passionate about their plan and what it has done for their retirement security? You might want to encourage them to enter a competition for the only national award that recognizes participants who understand the value of their 401ks.
This week, the 401(k) Champion Competition announced the deadline to enter the award competition is now Thursday, Nov. 17, 2022.
Now in its fourth year, those who apply for the award will vie for three $1,000 prizes by writing essays explaining how they not only use their 401ks to save for retirement, but also how they might encourage others to do the same.
“A peer-to-peer message from one 401k participant to another can be more powerful than reading a brochure, attending an employee enrollment session, or trying to navigate an online tool,” said Julie Jason, founder and sponsor of the award. “That’s what this award is all about—inspiring grassroots education and encouragement.”
Jason created the 401(k) Champion Award in 2018 after recognizing that, within the 401k space, there were awards that honored plan sponsors and advisors, but none that focused on the participant.
“It was time to shine a light on participants who not only knew how to optimize their 401ks but encouraged others to do the same,” Jason said.
Plan advisors and sponsors can benefit from the competition as well because participants will be talking about their 401ks, which can lead to increased participation rates.
“I have learned from years of experience that 401k success is enhanced when principles are not only taught but reinforced by trusted co-workers,” said David Wray, retired Plan Sponsor Council of America President, who is serving as an adviser to the 401(k) Champion effort.
The award is open to all ages 21 or older who currently participate in their 401ks, whether working or retired, and participants can apply at 401kchampion.com. Plan advisors and sponsors are encouraged to share information about the award with their plan participants. More information is available at 401kchampion.com/for-employers/.
The panel of judges will consider applicants’ answers to two questions: 1) If you were to advise co-workers on why they should participate in (and/or maximize) their 401ks, what would you say?; and 2) What actions have you taken to inspire non-participants to participate in the 401k?
“There’s nothing quite as powerful an inspiration as the first-hand account of an actual 401k saver,” said Nevin Adams, Chief Content Officer with the American Retirement Association and a returning judge for the award. “The award not only acknowledges that impact, it amplifies it and encourages others to emulate that success.”
A 2021 401(k) Champion, Robert Brokamp, senior adviser, author and podcaster at The Motley Fool, attested to the award’s positive impact. “I love the spirit of the 401(k) Champion Award. It acknowledges that everyday employees can be motivators and educators, improving retirement security for themselves and their coworkers,” Brokamp said.
SEE ALSO:
• Revealed! 2022 ‘Top Advisor By Participant Outcomes’ Named at Wealth@wor(k)