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Healthcare Provider Update: Healthcare Provider for New Jersey Resources New Jersey Resources (NJR) is a publicly traded energy services company that provides natural gas and energy services to support their customers. They have partnered with various healthcare insurers to offer health benefits to their employees. While the specific healthcare provider for NJR does not seem to be explicitly documented, they typically leverage local and nationwide providers suited for corporate health benefits under state and federal health regulations. Potential Healthcare Cost Increases for New Jersey Resources in 2026 As we look ahead to 2026, healthcare costs are anticipated to rise significantly for New Jersey Resources employees. Due to factors such as escalating medical services costs and the expiration of enhanced ACA premium subsidies, individuals could face premium increases averaging nearly 36.5% for local government employees and 29.7% for school employees. This perfect storm of rising healthcare expenses, coupled with the pressure on insurers to maintain profitability, poses the risk of out-of-pocket expenses soaring, thereby underlining the urgent need for strategic financial planning in the upcoming year. Click here to learn more
Choosing an IRA rollover means that your money remains tax-advantaged and capable of growth, as in a New Jersey Resources-sponsored plan. You may also gain more investment options than what may have been available in your New Jersey Resources-sponsored plan. You may also gain oversight of managing these important retirement assets from your trusted Advisor.
If you roll your retirement plan assets over into an IRA account that you already own through your Advisor, you also receive the benefit of combined statements and holistic investment planning, making it easier to track your overall financial situation.
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Some of the benefits of rolling your money into an IRA include:
Tax-deferred growth potential: This generally avoids current income tax and distribution penalties when removed from a New Jersey Resources-sponsored retirement plan.
More investment choices: This allows for additional contributions, if eligible. IRAs can be combined and handled by one provider, thereby reducing trustee costs and consolidating statements. Protection from creditors in federal bankruptcy proceedings. The combined amount of your required minimum distributions (RMDs) can be taken from any of your Traditional, SEP or SIMPLE IRAs.
However, there are also some important considerations that New Jersey Resources should make before rolling over their money into an IRA, these include:
- Internal management fees might be higher than in a New Jersey Resources-sponsored retirement plan.
- Fees and expenses depend largely on the investments you choose.
- Loans from an IRA are not allowed.
- Early distributions may be subject to a 10% IRS tax penalty in addition to income tax.
- RMDs begin April 1 following the year you reach 70½ and annually thereafter; leaving the money in the former Fortune-500 plan may allow RMDs to be delayed until separation from service.
- IRAs are subject to state laws governing malpractice, divorce, creditors (outside of bankruptcy), and other lawsuits; leaving the money in the former New Jersey Resources-plan may provide additional protection against creditors.
- Net unrealized appreciation (NUA) is the difference between what you paid for employer securities and their increased value. You lose favorable tax treatment of NUA if the funds are rolled into an IRA.
Hopefully, these insights will be helpful as you plan your retirement from New Jersey Resources.
For more information about this topic, view our e-book here: https://retirekit.theretirementgroup.com/will-your-retirement-plan-retire-with-you-e-brochure-offer
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What is the 401(k) plan offered by New Jersey Resources?
The 401(k) plan at New Jersey Resources is a retirement savings plan that allows employees to save a portion of their paycheck before taxes are taken out.
How can employees enroll in the New Jersey Resources 401(k) plan?
Employees can enroll in the New Jersey Resources 401(k) plan by completing the enrollment form available through the HR portal or by contacting the HR department for assistance.
Does New Jersey Resources match employee contributions to the 401(k) plan?
Yes, New Jersey Resources offers a matching contribution to the 401(k) plan, which helps employees grow their retirement savings.
What is the maximum contribution limit for the New Jersey Resources 401(k) plan?
The maximum contribution limit for the New Jersey Resources 401(k) plan is in line with IRS guidelines, which are subject to change annually.
When can employees start contributing to the New Jersey Resources 401(k) plan?
Employees can start contributing to the New Jersey Resources 401(k) plan after completing their eligibility period, typically within the first few months of employment.
Are there any fees associated with the New Jersey Resources 401(k) plan?
Yes, there may be administrative fees associated with the New Jersey Resources 401(k) plan, which are disclosed in the plan documents provided to employees.
Can employees take loans against their 401(k) balance at New Jersey Resources?
Yes, New Jersey Resources allows employees to take loans against their 401(k) balance, subject to specific terms and conditions outlined in the plan.
What investment options are available in the New Jersey Resources 401(k) plan?
The New Jersey Resources 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles.
How often can employees change their contribution amount to the New Jersey Resources 401(k) plan?
Employees can change their contribution amount to the New Jersey Resources 401(k) plan on a quarterly basis or as specified in the plan guidelines.
What happens to the New Jersey Resources 401(k) plan if an employee leaves the company?
If an employee leaves New Jersey Resources, they can either roll over their 401(k) balance to another retirement account, cash out, or leave the funds in the plan, depending on the plan's rules.
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