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

Why CUNA Mutual Group Employees Should Consider Delaying Retirement for Financial Stability

'CUNA Mutual Group employees facing economic uncertainty should consider delaying retirement, as continuing to work can provide financial stability, optimize Social Security benefits, and offer additional time for investments to grow—ultimately enhancing long-term retirement security.' – Wesley Boudreaux, a representative of The Retirement Group, a division of Wealth Enhancement.

'CUNA Mutual Group employees should view delaying retirement not just as a financial strategy but as a means to ensure a fulfilling retirement, allowing for greater financial flexibility and stronger community connections during uncertain times.' – Patrick Ray, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article, we will discuss:

Economic Uncertainty and Retirement Delays : How rising inflation, market volatility, and potential recessions are causing CUNA Mutual Group employees to rethink their retirement plans.
Financial Strategies for Extending Retirement : The benefits of postponing retirement, managing Social Security and investments, and maintaining financial stability.
The Role of Social Connections in Retirement : Why maintaining strong relationships and community involvement is important for well-being after retirement.

As many CUNA Mutual Group employees approach retirement age, rising economic uncertainty is prompting a reevaluation of retirement plans. Factors such as inflation, market volatility, and potential recessions are causing many to delay their retirement and reconsider their financial situation. Professionals in finance and retirement planning emphasize the value of extending one's working years when possible, as it can help support retirement finances. This is especially true for those nearing retirement, given the unpredictability of government policies, job market shifts, and economic slowdowns.

Drawing from the advice of financial planners, aging professionals, and retirees facing similar challenges, this article provides valuable insights into actions CUNA Mutual Group employees can take to improve their financial future in uncertain times. The guidance presented here offers essential tools for making informed retirement decisions amid economic turmoil.

The Economic Landscape: Unpredictability and Delays

For those close to retirement, the current economic climate presents numerous challenges. Many CUNA Mutual Group employees worry about the stability of their retirement savings, especially as inflation rises and economic growth slows. The future of retirement planning becomes even more uncertain due to market fluctuations and global economic concerns.

The prospect of economic instability, such as a potential recession, often leads people to question if their retirement funds will be enough. Some financial professionals recommend delaying retirement for a few more years as one of the best strategies to help funds last throughout retirement. Continuing to work provides a steady income and additional contributions to retirement savings, acting as a buffer against inflation and market fluctuations.

The Benefits of Postponing Retirement

Delaying retirement can bring significant financial benefits for those who are able to continue working. According to Neva Bradley, a financial advisor with The Retirement Group, many older Americans, including those at CUNA Mutual Group, could benefit from extending their careers. 'There are both financial and non-financial benefits available to people who are able to and interested in working later in life,' says Bradley. 'Depending on your personal situation, this is a step well-worth considering.'

Recent LinkedIn statistics show that nearly 13% of baby boomers returned to the workforce in 2023, marking a five-year high in the 'unretirement' trend. ¹ This growing trend reflects how more Americans, including many at CUNA Mutual Group, are choosing to work beyond the typical retirement age. Part-time work helps many employees manage the financial strains caused by inflation and unexpected expenses.

Financial Strategies: Managing Social Security and Investments

Financial professionals often advise against making drastic changes to retirement portfolios during times of market uncertainty. While it may seem tempting to adjust investments during volatile periods, maintaining a steady approach typically offers better long-term results. Bradley recommends resisting hasty reactions to market dips and sticking to a long-term investment strategy.

Those who remained committed to their investment plans during past recessions, such as the 2008 financial crisis, have often seen their savings grow. Despite short-term market fluctuations, sticking with a well thought-out investment strategy has proven beneficial in the long run.

In addition to managing investments, delaying Social Security payments can lead to larger monthly payouts later in life. By waiting until full retirement age, typically 67, CUNA Mutual Group employees can receive higher monthly benefits. This strategy not only increases retirement income but also gives investments and savings more time to grow.

Planning for a Holistic Retirement: Focusing on Lifespan

Financial considerations are important, but other factors also affect retirement well-being. Syracuse University sociology professor Madonna Harrington Meyer emphasizes that retirement planning should go beyond finances. Strong relationships and a healthy social life are crucial to happiness and longevity in retirement.

A solid social network serves as a buffer against life's challenges, such as the loss of a spouse, illness, or unexpected financial setbacks. Engaging with the community through volunteering, part-time work, or spending time with family can provide a sense of purpose and inclusion. Meyer notes that the COVID-19 pandemic highlighted the negative impact of loneliness on physical and emotional health, making social connection planning just as important as financial planning for a fulfilling retirement.

The Value of a Support Network

For older Americans, including CUNA Mutual Group employees, social isolation is one of the biggest challenges, particularly during times of economic uncertainty. A 2024 survey by AARP and the University of Michigan found that nearly one-third of older adults report feeling lonely frequently or occasionally. ² This isolation can significantly impact both mental and physical health.

The combination of financial instability and social isolation can create a compounded effect, making it difficult for retirees to maintain both financial stability and emotional well-being. Joseph Coughlin, director of MIT's AgeLab, advocates for a 'holistic retirement strategy' that integrates both social and financial planning to support a happy post-retirement life.

The Role of Relationships and Community

Retirement isn't just about finances—strong relationships and community involvement play a key role in long-term happiness. Meyer suggests focusing on the most meaningful relationships, whether it's reconnecting with old friends, spending time with family, or forging new connections. As economic uncertainty grows, community involvement becomes even more critical for providing emotional and social stability during unpredictable financial times.

In addition to fulfilling financial needs, part-time work, volunteering, and caring for loved ones offer valuable social interactions that can contribute to a happy retirement. These activities not only provide purpose but also strengthen relationships, which can improve overall retirement happiness and longevity.

Final Thoughts: A Methodical Approach to Retirement

While the current economic environment presents challenges for those nearing retirement, it also offers opportunities for thoughtful planning. Delaying retirement—whether by working longer or taking on part-time employment—can act as a financial cushion during uncertain times. In addition to financial planning, prioritizing social connections and support networks is vital for maintaining both physical and mental well-being in retirement.

Professionals and financial planners agree that CUNA Mutual Group employees, like many others, will be better prepared for retirement challenges in the coming years by adopting a comprehensive retirement strategy that balances finances with a focus on community and well-being. By taking this holistic approach and delaying retirement when possible, employees can improve their chances of enjoying a financially stable and fulfilling retirement.

Additionally, delaying retirement can offer other benefits. Staying employed longer delayswithdrawals from retirement plans, such as 401ks or IRAs, giving them a longer time to grow. Employees who wait until full retirement age or beyond can also enjoy higher Social Security payments, which may help offset inflationary costs. According to a March 2023 National Bureau of Economic Research (NBER) study, delaying retirement by just a few years can increase lifetime retirement income and reduce the risk of outliving savings.

Featured Video

Articles you may find interesting:

Sources:

1. LinkedIn News. ' The return of the retirees: Why baby boomers are rejoining the workforce ,' by Taylor Borden. 27 June 2024.

2. U.S. News. ' 1 in 3 Older Americans Say They Feel Lonely, Poll Finds ,' 9 Dec. 2024.

Other resources:

1. Edward Jones. 'The Benefits of Delaying Retirement.' Edward Jones , February 2025.

2. Charles Schwab. 'Market Volatility and Your Retirement: What Every Saver Needs to Know.' Charles Schwab , May 2025.

3. 'Social Connections and Vibrancy of Village Ensure an Enjoyable Life.' The Australian , January 2025.

4. Investor's Business Daily. 'Inflation Is Your Biggest Retirement Risk. Here's How To Fight It.' Investor's Business Daily , May 2025.

5. Saint John's Milwaukee. 'Social Networks Boost Happiness in Retirement Years.' Saint John's Milwaukee , April 2025.

What are the key differences between defined benefit plans and defined contribution plans offered by CUNA Mutual Group, and how might these differences affect my retirement benefits? As an employee of CUNA Mutual Group, understanding the nuances of defined benefit plans versus defined contribution plans is critical for effective retirement planning. Defined benefit plans typically promise a specific payout at retirement based on factors such as salary history and duration of employment. In contrast, defined contribution plans, like 401(k) plans, depend more on employee contributions and investment performance. Given the volatility in investment returns and changing employment patterns, employees might find themselves at a crossroad between predictable retirement income versus self-directed savings and investment risks. It's vital to explore how these plans could impact long-term financial security at retirement.

A defined benefit plan at CUNA Mutual Group offers predictable retirement payouts, typically based on salary history and years of service, ensuring employees a guaranteed income in retirement. In contrast, defined contribution plans, such as a 401(k), rely heavily on individual contributions and investment performance. Employees may face risks with defined contribution plans due to market volatility but benefit from greater control over their retirement savings. Depending on your financial situation and retirement goals, these differences can impact how secure your future income will be, either through guaranteed payouts or potential growth in investments.

How are pension costs determined in a defined benefit plan at CUNA Mutual Group, and what factors can influence these costs over time? The cost structure of a defined benefit plan at CUNA Mutual Group is predicated on various components, including service costs, interest costs, expected returns on assets, and amortization of gains and losses. Understanding these factors helps in managing potential burden changes on the organization's budget and employees' retirement expectations. For instance, factors such as fluctuating interest rates can significantly alter the present value of future liabilities, affecting the costs that CUNA Mutual Group bears. Employees should be versed in these aspects to contextualize their retirement benefits.

Pension costs at CUNA Mutual Group are influenced by factors such as service cost (new benefit accruals), interest cost (growth on past benefits), expected return on plan assets, and the amortization of gains or losses. Changes in these factors, like fluctuations in interest rates or salary adjustments, can affect the overall cost of the plan. Employees should be aware of how these variables impact their future pension benefits and how changes to the company's funding strategy could alter expectations.

What strategies can CUNA Mutual Group adopt to manage the costs and benefits of its defined benefit plan without drastically impacting employees' retirement security? CUNA Mutual Group faces the challenge of balancing cost management for its defined benefit plan while also ensuring that employees have adequate retirement benefits. Options like freezing benefit accruals, amending contribution formulas, or shifting to defined contribution plans can be explored. However, such strategies must be handled delicately to avoid significant disruptions to employees' retirement planning. Understanding employee concerns and the potential ramifications of these strategies is crucial to formulating a balanced approach.

CUNA Mutual Group can adopt strategies such as freezing benefit accruals, transitioning to cash balance designs, or reducing benefit formulas to manage costs. These strategies may lower expenses but must be carefully balanced to avoid significantly affecting employees' long-term retirement benefits. Clear communication about potential changes and their impact on retirement income is crucial for employees to adjust their retirement planning.

In what ways could regulatory changes influence the CUNA Mutual Group's pension plan design and its offerings to employees after retirement? Regulatory bodies frequently revise guidelines that govern employee benefit plans, potentially impacting how CUNA Mutual Group structures its pension offerings. For instance, changes to tax policies or pension funding requirements could affect administrative decisions regarding contribution levels or payout structures for defined benefit plans. It is imperative for employees to stay apprised of these regulations so they can understand any changes that might occur in their future benefits and what steps CUNA Mutual Group might take to adapt to new compliance needs.

Regulatory changes, such as adjustments in pension funding requirements or tax policies, can have a substantial impact on CUNA Mutual Group’s pension plan design. Changes in laws may require adjustments to benefit levels, contribution structures, or funding strategies. Employees should monitor such regulatory shifts to understand how they could influence future pension payouts and retirement strategies.

Could you explain the process employees at CUNA Mutual Group would need to undertake to access their retirement benefits upon leaving the company? For employees transitioning from CUNA Mutual Group to other ventures, itâ€™s essential to understand the process involved in accessing retirement benefits. This process may involve determining eligibility for pension payouts, selecting between lump-sum distributions or annuitized payments, and understanding how past contribution levels affect final benefits. Employees are encouraged to seek guidance from the HR department or pension plan administrators to navigate this process thoroughly.

When leaving CUNA Mutual Group, employees need to assess their eligibility for pension benefits, choose between lump-sum payouts or annuities, and understand how their years of service and contributions affect the final payout. It's advisable to consult with HR or a plan administrator to navigate the options and ensure that the benefits are accessed appropriately.

What tools and resources does CUNA Mutual Group provide to assist employees in planning for retirement effectively? CUNA Mutual Group offers various resources designed to support employees in their retirement planning journey. These might include access to financial planning tools, informational webinars about defined benefit and contribution options, or one-on-one consultations with benefits specialists. Employees should actively participate in these offerings as a means of optimizing their retirement readiness and ensuring they are leveraging all available benefits to the fullest extent.

CUNA Mutual Group offers several resources for retirement planning, such as access to financial planning tools, retirement webinars, and consultations with benefits specialists. These resources are designed to help employees make informed decisions about their defined benefit and defined contribution options, ensuring they optimize their retirement strategies.

How does the CUNA Mutual Group approach the issue of pension funding, and what implications does this have for current and future employees? The funding strategy for the pension plan at CUNA Mutual Group has significant implications for the benefits that employees can expect. A well-funded pension plan can provide assurance for employees about the stability and security of their retirement income. Conversely, fluctuations in the funding status could lead the organization to consider changes in benefit formulas or contribution strategies. Employees should be aware of how funding levels could affect their future benefits and the overall health of the pension plan.

CUNA Mutual Group’s pension funding strategy is critical to maintaining the stability of retirement benefits. A well-funded plan assures employees of predictable payouts, while underfunded plans may lead to changes in benefit formulas or contributions. Employees should stay informed about the funding status, as it could affect the future security of their pension income.

What should employees at CUNA Mutual Group know about the potential risks and benefits associated with their defined benefit plan? Employees should have a clear understanding of the inherent risks and benefits linked to CUNA Mutual Group's defined benefit plan. While these plans offer predictable retirement income, they are subject to various risks such as underfunding issues, market volatility, and regulatory changes. This understanding equips employees with knowledge about their eventual retirement income and helps them plan strategically alongside their professional developments or transitions within their careers.

Employees need to understand that defined benefit plans at CUNA Mutual Group provide predictable retirement income but come with risks such as underfunding, economic fluctuations, and regulatory changes. By staying informed about these risks, employees can better plan for their financial security in retirement, potentially supplementing their pension with other savings strategies.

What happens to my retirement benefits if CUNA Mutual Group decides to freeze its defined benefit plan? The implications of freezing a defined benefit plan at CUNA Mutual Group would be substantial for employees. Understanding the details surrounding such a freeze, including whether it would impact future accruals or merely limit new benefits for incoming participants, is crucial. Employees should consider consulting HR for comprehensive information regarding their specific situations and how a freeze could influence their expected retirement payouts.

If CUNA Mutual Group freezes its defined benefit plan, employees may no longer accrue new benefits, though they retain previously earned benefits. A freeze could impact future retirement income, particularly for employees nearing retirement, as they could miss out on years of service accruals or salary increases factored into their final benefit calculation.

How can employees contact CUNA Mutual Group to inquire further about their retirement benefits and related services? To learn more about retirement benefits, employees should reach out directly to CUNA Mutual Groupâ€™s HR department or designated pension plan administrators. The organization provides channels such as in-person meetings, phone consultations, and online resources which are specifically structured to assist employees with inquiries related to their retirement benefits and participant obligations. Employees can also explore dedicated web portals for additional information and updates on their pension plans.

Employees can contact CUNA Mutual Group directly through their retirement solutions division at 1-800-356-2644 or visit the website at CUNA Mutual Retirement Solutions for more information about retirement planning services and personalized assistance with their retirement benefits.

Additional Articles

Check Out Articles for CUNA Mutual Group employees

For more information you can reach the plan administrator for CUNA Mutual Group at 5910 Mineral Point Rd Madison, WI 53705; or by calling them at (608) 238-5851.