New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

Is a Rollover into an IRA the Right Move for You as a Newell Brands Employee?

Healthcare Provider Update: Healthcare Provider for Newell Brands: Newell Brands employees often utilize a healthcare plan through large national insurers such as UnitedHealthcare, Anthem, and Cigna. Specific offerings can vary based on the employee's location and the plan they choose, and Newell typically provides a comprehensive suite of benefits focused on preventive care, wellness, and prescription medications. Potential Healthcare Cost Increases in 2026: As we approach 2026, Newell Brands employees should brace for significant healthcare cost increases. Premiums in the ACA marketplace are anticipated to rise sharply, with some states seeing hikes over 60%. This surge is primarily driven by expiring federal subsidies and increasing medical costs, leading to a potential 75% increase in out-of-pocket expenses for individuals reliant on these plans. Employees should proactively review their benefit options and strategize to manage these heightened healthcare expenses, considering changes in deductibles and out-of-pocket maximums that employers may implement in response to rising costs. Click here to learn more

Choosing an IRA rollover means that your money remains tax-advantaged and capable of growth, as in a Newell Brands-sponsored plan. You may also gain more investment options than what may have been available in your Newell Brands-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.

'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 Newell Brands-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 Newell Brands should make before rolling over their money into an IRA, these include:

Internal management fees might be higher than in a Newell Brands-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 Newell Brands-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 Newell Brands.

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 type of retirement plan does Newell Brands offer to its employees?

Newell Brands offers a 401(k) retirement savings plan to help employees save for their future.

Does Newell Brands match employee contributions to the 401(k) plan?

Yes, Newell Brands provides a matching contribution to the 401(k) plan, which helps employees maximize their retirement savings.

What is the eligibility requirement to participate in Newell Brands' 401(k) plan?

Employees of Newell Brands are typically eligible to participate in the 401(k) plan after completing a specified period of service, usually within the first year of employment.

How can Newell Brands employees enroll in the 401(k) plan?

Newell Brands employees can enroll in the 401(k) plan through the company’s HR portal or by contacting their HR representative for assistance.

What investment options are available in Newell Brands' 401(k) plan?

Newell Brands offers a variety of investment options within the 401(k) plan, including mutual funds, target-date funds, and company stock, allowing employees to diversify their portfolios.

Can Newell Brands employees take loans against their 401(k) savings?

Yes, Newell Brands allows employees to take loans against their 401(k) savings, subject to the plan's terms and conditions.

What is the vesting schedule for Newell Brands' 401(k) matching contributions?

The vesting schedule for Newell Brands' 401(k) matching contributions typically follows a graded vesting schedule, which means employees earn ownership of the match over a period of time.

Are there any fees associated with Newell Brands' 401(k) plan?

Yes, Newell Brands' 401(k) plan may have administrative fees and investment-related fees, which are disclosed in the plan documents provided to employees.

How often can Newell Brands employees change their contribution amounts to the 401(k) plan?

Newell Brands employees can change their contribution amounts to the 401(k) plan during designated enrollment periods or as allowed by the plan's rules.

What happens to my 401(k) savings if I leave Newell Brands?

If you leave Newell Brands, you have several options for your 401(k) savings, including rolling it over to another retirement account, cashing it out, or leaving it in the Newell Brands plan if allowed.