Retirement Savings

News from Your Retirement Investors’ Club (RIC) Providers

March 2020 

Are you pre tax savvy?

If you’re like most Americans, taxes take a pretty big bite out of your take-home pay. One option to lessen your current tax burden is to make pretax contributions to your RIC 457 account. This helps by:

  • Reducing current taxable income
    Pretax contributions can help reduce your current taxable income. If you are age 50 or older, you can contribute up to $26,000 in 2020. To increase contributions, complete the RIC Account Form.
  • The power of tax deferral
    Earnings on pretax contributions to your RIC 457 plan and other tax-deferred savings accounts are not taxed until you withdraw your money, which is typically at retirement when you may be in a lower tax bracket. 
  • Counting as ordinary income in retirement 
    When you take money out in retirement, the amount you withdraw will be reported as ordinary income on an IRS 1099R that you will file with your taxes. It is not reported as wages.

If you have questions about tax strategies and your retirement account, please contact one of AIG’s dedicated financial advisors at 888-569-7055. 

Expecting a tax refund?

  • Consider putting all or part of your refund into your retirement savings 
    It may be tempting to spend your tax refund check on a big-screen TV or a fancy vacation, but think again. Consider using that extra income to save more for retirement. You’ll be thankful at retirement.
  • Impact down the road 
    The power of compounded earnings could mean your refund dollars are worth a lot more by the time you retire. Consider enrolling in the Retirement Investors’ Club (RIC). If you are already saving, now is a great time to increase your contribution.

You can review and make other changes to your account by logging into Retirement Advantage/Iowa. Have questions? Contact us at 800-677-2363. At Horace Mann, we leave no question unanswered.

Learn better finance habits with MassMutual 

Good personal finance habits are essential to wealth building and financial security, not only in good times, but also in challenging times. A good money foundation helps maintain that confidence in your investments. Contact your MassMutual advisor to learn more about your financial choices, including help with saving in the Iowa RIC plan.

Here are a few basic guidelines and principles that might be beneficial for you:

Online benefits for participants

Registering your Iowa Retirement Investors' Club (RIC) account with Voya Financial® online is important. Online access can provide you with tools and resources for your account, and help you take advantage of Voya’s layers of strong online security for better protection against fraud and cyber threats. Be your own first line of defense in protecting your account and identity.

Visit today. Click Login, then Register Now to get started. This helps keep your account and personal information safe and secure.

Already registered? Consider going paperless and make your life easier! Simply log into your account at, click My Profile in the top right hand corner of the web page and follow the prompts to update your communication preferences to paperless.