Mutual of America 2018 Annual Report – Getting Started

Building a Strong Foundation

If there is one thing every young person should know about saving for future goals like retirement, it’s that getting an early start is one of the best ways to set yourself up for success. To understand how, meet Hope Morgan.

When Hope Morgan began her career at South Central Regional Medical Center 11 years ago, she immediately signed up for all the available benefit programs except one: her employer’s 403(b) plan.

“Retirement wasn’t on my mind at the time, not with rent, everyday bills and other expenses chipping away at my paycheck,” said Hope. “But the invitations to Mutual of America’s enrollment meetings kept coming, and eventually, I decided to go listen to what they had to say.”

What Hope learned that day completely shifted her mindset about saving for retirement. “Tina Robertson, our local Mutual of America Participant Account Representative, talked about how time can play a crucial role in the ultimate value of your savings and why the steps you take today can have a huge impact on your quality of life in the future. I decided to put time on my side; I enrolled in the hospital’s 403(b) savings plan that very day.”

Since then, Hope has consistently contributed to the plan, taking full advantage of her employer match and utilizing Mutual of America’s online resources to track her progress. “Mutual of America has a choice of tools and calculators on their website that can take you through the entire retirement journey. By using these, I can determine things like how much I need to save to retire comfortably and how an increase in my contributions will affect my paycheck.”

3 Quick Tips

FOR SAVERS GETTING STARTED

  1. Don’t let “life” get in the way of your “someday.” Spend less than you make.

  2. Take full advantage of your retirement plan, and contribute at least enough to qualify for any matching contribution your employer may offer.

  3. If you’re already enrolled in your plan, bump up your contributions at least once a year or whenever you get a raise.

Hope also tracks her progress online to measure how she’s doing financially in reaching her long-term goals. “I go to the My Account section to check my account balance details, recent transactions and allocations. I especially like that I can see my personal rate of return and how contributions coming into my account impact my account balance in the funds. When I meet with Tina or one of her coworkers, we use that as a starting point for discussing whether I’m doing everything I can to maximize my plan.”

Hope credits having easy-to-understand account information as well as Mutual of America’s personal approach to participant education for helping her to become more confident in managing her retirement savings.

“I know that by getting an early start, my money will have more time to grow for my future. And it all started the day I enrolled in my employer’s retirement plan.”

“When I enrolled in the plan, I opted to direct my contributions to a very conservative investment option. Tina eventually took me through an investment questionnaire that helped me to focus on the right target-date fund for my goals, time frame and feelings about risk.

“With her help, I’ve become more comfortable with the idea that I have enough time to ride out typical downturns in the market on my road to retirement. I also know that by getting an early start, my money will have more time to grow for my future. And it all started the day I enrolled in my employer’s retirement plan.”

You should consider the investment objectives, risks, and charges and expenses of the variable annuity contract and the underlying investment funds carefully before investing. This and other information is contained in the contract prospectus or brochure and underlying funds prospectuses and summary prospectuses, which can be obtained by calling 1-866-954-4321 or by visiting mutualofamerica.com

Mutual of America’s group and individual retirement products are variable annuity contracts and are suitable for long-term investing, particularly for retirement savings. The value of a variable annuity contract will fluctuate depending on the performance of the Separate Account investment funds you choose. Upon redemption, you could receive more or less than the principal amount invested. A variable annuity contract provides no additional tax-deferred treatment of benefits beyond the treatment provided to any qualified retirement plan or IRA by applicable tax law. You should consider a variable annuity contract’s other features before making a decision.

There is a contract fee (unless you elect to receive documents electronically), and investments in the Separate Account investment funds are subject to Separate Account charges and underlying funds investment management fees and expenses. Withdrawals of the tax-deferred interest and any investment earnings are subject to income tax at your ordinary income tax rate at the time of withdrawal, and if made prior to age 59½, a 10% federal tax penalty.

Statements made in this interactive annual report by clients of Mutual of America are not paid testimonials. These testimonials may not be representative of the experience of other clients and are not indicative of future performance or success.

Past performance is no guarantee of future results.

The target date set forth in each Retirement Fund's name is the approximate date that the fund expects investors to retire and begin withdrawing their account balance. The value of a Retirement Fund is not guaranteed at any time, including at and after the target date. There is no guarantee that a Retirement Fund will correctly predict market or economic conditions, and as with other mutual fund investments, you could lose money. In addition to a retirement date, individuals should consider their risk tolerance, time horizon, personal circumstances and complete financial situation before investing.

Before making a transfer, you should review the accounts you have with other providers to determine the fees and expenses you currently pay and whether there are any surrender charges that may result and to ensure that it is in your best interest to transfer your other accounts to your current plan.

There is no separate fee for Mutual of America’s Financial Consulting Services, although there are minimum account balance requirements. The information provided by Mutual of America’s Financial Consultants is educational in nature and is not intended to serve as a primary basis for investment decisions. Mutual of America’s Financial Consulting Services do not create an investment advisory or a fiduciary relationship (including under ERISA) between you or your employees and Mutual of America. Mutual of America and its Financial Consultants do not provide tax or legal advice. Consult your personal tax adviser or attorney for matters involving taxation and tax planning and your attorney for matters involving personal trusts and estate planning.