The Importance of Reviewing Plan Statements

As a member of a pension or other retirement savings program, it’s important to stay up-to-date with what’s going on with your plan. Quarterly, semi-annual and annual plan statements provide key information to keep you updated and informed.

Once you receive them, it’s important to review them. Here’s why:

  • Statements have a lot of important, structured information that are constructed for specified time periods. No two statements are the same.
  • Your statements include personal rates of return for your various plans and individual fund returns.
  • Statements often include important plan member messages, which may relate to investment fund changes, investment fee changes or account management tips.
  • Statements typically have various forms of income projection at retirement based on existing assets you have and current contribution levels. Look at the results and see if they reflect all of your retirement assets outside of the plan.
  • Statements include comparable benchmarks, which let you review how well your investments are performing.
  • Statements also include fees. It’s important to understand the fees that are associated with your plan, including withdrawal fees. You wouldn’t want to pay a sizeable fee for a small withdrawal.
  • Once your statement is issued, spend a few minutes reviewing it. Ensure your personal information is up-to-date and correct – like your birthdate and marital status. File your statements away in a safe place and stay in touch with your account. Your retirement savings are a product of all your hard years of work - your statements reflect that!