Empower reviews Norwalk deferred-comp and 401(a) plans, outlines SECURE Act changes and optional provisions

Empower, the retirement record‑keeper for Norwalk City, presented plan demographics, participant behavior and administrative items to the Norwalk City Pension Board, covering the city’s deferred compensation plan and the 401(a) money‑purchase plan and outlining optional and mandatory provisions in the SECURE Act that may affect administration.

In an executive summary, Bridal Walsh, relationship manager for Empower, told the board the deferred compensation plan held “a little over $55,000,000 in assets” as of the February report and that 451 participants had a balance, of which 392 were active participants. Walsh said about 64% of deferred‑comp participants use a target‑date strategy; 23.1% use a do‑it‑yourself allocation and 13.1% use Empower’s managed‑account solution. Average participant deferral was 7.5% and 27.2% of participants were contributing more than 10%.

Walsh said the plan recorded 95 distributions over a rolling 12‑month period (including separations from service, required minimum distributions, hardship and death claims) and that…