Plan for Your Retirement
® WE ARE THE TOMORROW MAKERS
At Transamerica Retirement Solutions, we understand that planning for retirement can be challenging, especially with the complexities of life. That’s why we focus on helping you take control of your retirement savings strategy and chart an informed course toward your financial future. This enrollment workbook provides tools and information to develop a retirement savings plan quickly and easily. As an established and respected provider of retirement services, our Transamerica team is dedicated to assisting you with your saving and investment needs both to and throughout retirement. With more than 75 years of experience in the retirement services business, Transamerica and its affiliates create customized retirement plan solutions to meet the unique needs of organizations of every size. We are committed to helping organizations build a strong retirement plan benefit for their employees by offering a wide range of products and services.
We're here to help. From easy-to-understand education to customer service, we'll be with you every step of the way to and throughout retirement .
Transamerica is ranked among the nation’s top providers, 1 and helps more than 3.6 million retirement plan participants save and invest wisely to live the life they want. For more information about Transamerica, please visit TA-Retirement.com.
1 Transamerica Retirement Solutions received an overall 131 “Best in Class” ratings in Chatham Partners’ 2015 client satisfaction analysis program, covering separate surveys in the large/mid-, and small-plan markets. Chatham Partners, LLC is an independent, third-party research firm. Chatham Partners’ 2015 client satisfaction analysis is based on 581 large/mid-, and 543 small-plan client responses. The “Best in Class” references are to service categories when 85% or more of Transamerica clients rated Transamerica as a “6” or “7” on a 7-point scale.
How to register for your plan Page 3
Enroll today!
The first step in your journey to retirement is enrolling in your organization-sponsored retirement savings plan. Simply review the following forms and instructions and submit the completed documents to your plan administrator. You can also access plan and account information online by visiting TA-Retirement.com. Our website provides up-to-date information, helpful tips, and interactive tools to help you improve your retirement readiness, including a complete set of investment fact sheets. Our automated telephone system also offers direct access to your plan account information. Call 800-401-8726 to access the system 24 hours a day, seven days a week. First-time callers are prompted to enter their Social Security number and their temporary personal identification number (PIN). Your temporary four-number PIN is your birth month and day (MMDD). A birth date of April 1 would be entered as 0401. Our mobile app, My TRSRetire , lets you put your plan in your pocket. And no matter how you access your account, you'll always know Your Retirement Outlook ® with a personalized "weather icon" (rainy, cloudy, partly sunny, or sunny) that makes it easy to see if your strategy has you on course toward your retirement income goal—or if you need to take action. Remember, it’s never too early or too late to save for retirement. We’re here to help you start saving today for a more enjoyable tomorrow.
Start today Page 9
Determine your savings goal Page 13
Match your risk profile and investment
choices Page 15
This material was prepared for general distribution. It is being provided for informational purposes only and should not be viewed as an investment recommendation. If you need advice regarding your particular investment needs, contact your financial professional.
517326-00000 09/07/2017
Welcome to Buchanan Hauling 401(k) Plan Enroll today!
Online Registration Instructions
Please Note: You can enroll today or any day in the future. Generally, the contribution you elect will go into effect on the plan's next entry date; however, you will need to check with your employer to find out the exact date your payroll deductions will start. Refer to your enrollment workbook or Summary Plan Description for your plan's specific entry dates.
To enroll online sign in to: TA-Retirement.com
In order to enroll online you will need to provide us with your current e-mail address. If you do not have an e-mail address you can enroll via the telephone. Please refer to the telephone instructions on the next page.
l Click on the First time user? Register here link located on the top left-hand corner of your screen within the "Your Account: LOGIN" section.
l Select "I am an employee" and click Continue.
l Enter your Social Security Number and click Continue.
l Enter your Date of Birth and ZIP/Postal Code and click Next.
l Create your own unique Username and Password and click Next.
l Read and Review the site Terms of Use. If you agree to the terms, please click Agree If you do NOT agree, do not click Agree and call us at (800)-401-TRAN (8726). l Read and Review the Consent to Do Business Electronically agreement. If you agree to the consent, please click Agree If you do NOT agree, do not click Agree and call us at (800)-401-TRAN (8726) l From this point forward follow the simple online instructions which will help you to set up or make changes to your contribution rate, investment choices, and future contribution elections. l If you decide to opt out of automatic enrollment, you will need to change your contribution rate to 0%. l On the Welcome to Plan Enrollment screen, please click on Start
If you cannot enroll online, please see next page for Telephone Enrollment Instructions.
By completing the enrollment process online, you are authorizing payroll deduction of plan contributions. Authorization of plan contributions constitutes a "cash or deferred arrangement" under section 401(k) of the Internal Revenue Code and such contributions are subject to the withdrawal restrictions of the plan. Contributions made to the plan are subject to certain limitations imposed by Federal law and these contributions may be refunded to comply with these laws. By submitting this authorization online, you understand that neither Buchanan Hauling & Rigging, Inc., the plan trustee, their affiliates nor their investment choices are liable for any loss when acting upon your instructions believed to be genuine.
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Welcome to Buchanan Hauling 401(k) Plan Enroll today!
Telephone Registration Instructions
To enroll by phone: 800-401-TRAN (8726)
To utilize the phone enrollment process you will need to use a touchtone phone.
Press 1 for English Press 2 for Spanish
You will then be prompted to enter your 9-digit Social Security number followed by the pound sign (#), and your 4-digit PIN (Personal Identification Number). Your default PIN is your month and day of birth in MMDD format, followedby the pound sign (#). 1. PERSONALIZE YOUR PIN As a first time user, you will be prompted to change your PIN on initial use. The system will request you to enter your new 4-digit PIN, followed by the pound sign (#). Re-enter your 4-digit PIN, followed by the pound sign (#) to confirm. A message will indicate that your PIN was changed successfully. A confirmation will be mailed to your address. 2. ENROLLMENT DISCLOSURE You will be asked to complete the telephone enrollment process. The disclosure message will ask you if you agree to the terms and conditions of utilizing the enrollment process. Listen carefully to the terms and conditions, Press 1 to agree to the terms and conditions of enrollment. 3. SET UP DEFERRAL/CONTRIBUTION RATE Your contribution rate is the amount that will be withheld from each paycheck. Enter the rate to be withheld from each paycheck followed by the pound sign (#), Press 1 to confirm the rate. The contribution rate you select will be sent to your employer to be deducted from your paycheck based on payroll cutoff dates. 4. SET UP INVESTMENT ELECTIONS (See Investment Choices Worksheet) Your contributions will be invested according to the selections you make here. You will be prompted to enter the percentage to be allocated to each investment option in your plan until the total allocated equals 100%. Percentages must be in whole percentage increments. Press 1 to confirm your elections. A confirmation will be mailed to your address.
You have successfully completed the phone enrollment process and you may now hang up to end the call or hold and you will be connected to the main menu.
* If we do not have a date of birth on file, your PIN is a randomly generated number as indicated in your enrollment letter.
By completing the enrollment process by phone, you are authorizing payroll deduction of plan contributions. Authorization of plan contributions constitutes a "cash or deferred arrangement" under section 401(k) of the Internal Revenue Code and such contributions are subject to the withdrawal restrictions of the plan. Contributions made to the plan are subject to certain limitations imposed by Federal law and these contributions may be refunded to comply with these laws. By submitting this authorization by phone, you understand that neither Buchanan Hauling & Rigging, Inc., the plan trustee, their affiliates nor their investment choices are liable for any loss when acting upon your instructions believed to be genuine.
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517326-00000 09/07/2017
Investment Mix Worksheet This worksheet is designed to help you enter your investment selections during the enrollment process. Please don't submit this worksheet. To create your own investment portfolio, just select from the following available investment choices. All elections must be in whole percentages and total 100%. If you elect to join the plan and fail to make an investment election, or your elections do not equal 100%, your contribution will be invested in PortfolioXpress ® . Asset Class Sub Asset Class Investment Choice % of Contribution Short Bonds/Stable/MMkt Cash Equivalent/Money Market 2BF3 BlackRock Retirement Reserves Money of Retirement Series Trust (Class: Other) .0%
Interm./Long-Term Bond
Intermediate-Term Bonds
2B4A AB High Income R (Class: R) 2DLE PIMCO Income R (Class: R)
.0% .0% .0%
2DFU Voya Intermediate Bond R (Class: R)
Government Bonds
2BEX BlackRock US Government Bond R (Class: R)
.0%
Large-Cap Stocks
Large-Cap Value Stocks
2CR5 MFS Value R2 (Class: R-2)
.0%
Large-Cap Blend Stocks
2BBZ iShares S&P 500 Index A (Class: A)
.0%
Large-Cap Growth Stocks
2CBC Janus Henderson Forty R (Class: R)
.0%
Small/Mid-Cap Stocks
Mid-Cap Value Stocks
2DDY Victory Sycamore Established Value R (Class: R)
.0%
Mid-Cap Blend Stocks
2CS4 Nationwide Mid Cap Market Index R (Class: R)
.0%
Mid-Cap Growth Stocks
2BS7 Eaton Vance Atlanta Capital SMID-Cap R (Class: R)
.0%
Small-Cap Value Stocks
2BX9 Franklin Small Cap Value R (Class: R)
.0%
Small-Cap Blend Stocks
2DQE Nationwide Small Cap Index R (Class: R)
.0%
Small-Cap Growth Stocks
2CBY Janus Henderson Triton R (Class: R)
.0%
Real Estate
2C8S Invesco Real Estate R (Class: R)
.0%
International Stocks
World/Foreign Stocks
2DN6 John Hancock International Growth R2 (Class: R-2) 2CV5 Nuveen NWQ International Value R3 (Class: R-3)
.0% .0%
Emerging Market Stocks
2C9P Ivy Emerging Markets Equity R (Class: R)
.0%
Multi-Asset/Other
Balanced
2BCU BlackRock Global Allocation R (Class: R)
.0%
Total for all investment choices must equal 100%: 100.0%
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Buchanan Hauling 401(k) Plan 517326-00000
Rollover Form
Five Simple Steps 1. Contact your plan administrator or refer to your Summary Plan Description to make sure you're eligible to roll over your plan account balance from a prior qualified retirement plan. 2. Contact your prior company and request a rollover distribution. If you have an Individual Retirement Account (IRA), contact the investment manager (custodian) for your IRA and request a withdrawal. Be sure to have the distribution check made payable to Transamerica, FBO "Reference Your Name" (e.g., Transamerica, FBO Jane Doe) and have it sent directly to you. 3. Complete the Rollover Form below. 4. Submit the Rollover Form along with the distribution check to your plan administrator. 5. Your plan administrator will sign, date, and submit the form and check to Transamerica for processing.
You must first enroll in the plan and designate a beneficiary.
1. Employee Information
(Please print)
__ __ __ - __ __ - __ __ __ __
Married
Not Married
Social Security No.:
First Name
M.I.
Last Name
Mailing Address
Apt. No.
City
State
Zip Code
Date of Birth
Date of Hire
Telephone Number
Email Address
2. Previous Plan/IRA Information
Name of prior plan________________________________________________________________________________________________________
Mark One:* O O O O O O 401(k) 403(a) 403(b) Profit Sharing Plan Defined Benefit Plan Money Purchase Plan O O O O O O O Government 457 Conduit IRA Traditional IRA Simple IRA SEP IRA Roth 401(k) - Direct Roth 401(k) – Indirect (earnings only permitted)
For Roth 401(k) rollovers, please complete the information below. This information should have been provided by your rollover institution.
Year of First Roth 401(k) Contribution __________________________
Roth Contribution Basis _____________________________ (This is the non-taxable portion of your distribution). *Your plan may not accept rollovers from all plan types listed above. Contact your plan administrator to make sure your rollover qualifies. The tax costs with a Roth IRA conversion can be significant. Contributions are subject to taxes that were previously deducted, including any accumulated earnings. You may also be pushed into a higher tax bracket, especially if converting a large amount of money.
Continued on next page
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Buchanan Hauling 401(k) Plan Rollover Form
Social Security No.: __ __ __- __ __ - __ __ __ __
Previous Plan/IRA Information Contact:
First Name __________________________________________________________________________________ M.I. ________________________
Last Name _______________________________________________________________________________________________________________
Mailing Address ______________________________________________________________________________ Apt. No. ____________________
City ____________________________________________________________ State _______________________ Zip Code ___________________
Telephone Number _________________________________________
3. Tax Information c All of this distribution amount would be taxable to me if I did not roll it over. c This rollover includes after-tax contributions in the amount of $ ________________________. The remainder would be taxable income to me if I did not roll it over. c No part of this rollover is a minimum required distribution. c No part of this rollover is a hardship withdrawal. Please note the following important information: 1. Transamerica cannot accept after-tax amounts if the cost basis is not provided. if you are unsure of your after-tax cost basis, contact your previous plan administrator to obtain/confirm this information. If this information is not received, it will be assumed that the deposit represents pretax amounts only. 2. If you are already enrolled in the plan, your incoming rollover will be invested according to your existing investment allocation for payroll contributions. 3. If you are not enrolled in the plan, or your elections do not equal 100%, your incoming rollover will be invested in PortfolioXpress ® . You can subsequently reallocate your investment at any time, subject to plan provisions. 4. Employee Authorization I wish to contribute a single sum rollover in the amount of $ _____________, which represents a distribution from another qualified retirement plan. A check made payable to Transamerica, FBO "Reference Your Name" (e.g., Transamerica, FBO Jane Doe) is attached. I understand the withdrawal restrictions that apply to these contributions. Employee signature___________________________________________________________ Date____________________________________ SUBMIT SIGNED FORM TO YOUR PLAN ADMINISTRATOR Once this form has been completed with all of the necessary information and required signatures, please forward to the Transamerica Processing Center. Please list the name, contract # and SSN last 4 digits on the check & any other documents sent with the rollover form. Be sure to keep a photocopy for your records.
For Plan Administrator Use Only: I authorize these rollover funds to be deposited into the participant's account.
Plan Administrator Signature __________________________________________________
Date _____________
For PLAN ADMINISTRATOR USE ONLY : JPMorgan Chase – Lockbox Processing 13029, 4 Chase Metrotech Center 7th floor East, Brooklyn, NY 11245 Fax#: 866-846-2236
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517326-00000 09/07/2017
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Step One
Your future starts today
Plan Information
Start today
Company Contributions
MATCHING CONTRIBUTIONS l The company will make a non-discretionary matching contribution of 100% of the first 2% of compensation that you contribute to the plan. The company matching contribution will not exceed 2% of your eligible compensation. l Catch-up contributions are accounted for when calculating employer matching contributions. Eligibility You must complete 2 month(s) of service. Entry Date(s) The first day of any month. Vesting The company’s contributions are vested as follows: Years of Service* Percent Vested Upon completion of 2 years 20% Upon completion of 3 years 40% Upon completion of 4 years 60% Upon completion of 5 years 80% Upon completion of 6 years 100% * A year of service for vesting credit for company contributions is based either on completion of 1,000 hours of service or elapsed time. If the plan uses elapsed time, credit is given regardless of the number of hours worked in a designated twelve-month-period. Please see the plan's summary plan description for more information on how service is calculated. Your years of service with a predecessor of the company will not count toward your eligibility. Loans l Your plan offers a loan feature. Please check with your plan administrator and/or refer to your Summary Plan Description for details. In Service Withdrawals EARLY WITHDRAWALS l You may make a withdrawal from the plan upon attaining age 59½. Certain restrictions may apply. Refer to your Summary Plan Description for details. HARDSHIP l If you meet the definition of hardship, you may make a withdrawal from the plan. For more information about the strict rules governing hardship withdrawals, refer to your Summary Plan Description.
Your future starts today Planning and saving appropriately are the keys to living well in retirement. By reviewing this workbook and completing the exercises provided, you have taken a major step forward in achieving a personalized retirement savings strategy for a more enjoyable future. If you are not yet enrolled in your plan, simply read the instructions and complete the forms found at the front of this workbook. If you already participate in your employer-sponsored retirement savings plan, take this opportunity to review your current investment portfolio allocation and consider increasing your contributions. Plan Information Your Contributions l You can save from 1% to 90% of your eligible compensation before you pay taxes on that money, not to exceed Internal Revenue Code limits. l Federal Tax Law limits the before-tax contributions to $18,000 in 2017. Eligibility You must complete 2 month(s) of service. Entry Date(s) The first day of any month. Catch-Up Contributions If you are 50 or older, you may qualify to make additional before-tax “catch-up” contributions. Federal catch-up contribution limit is $6,000 for 2017. Frequency of Contribution Changes You may increase or decrease your contribution to the plan each payroll period. You may also stop making contributions at any time. Rollovers You may roll over your plan account balance from a prior qualified retirement plan at any time. Vesting Your contributions are automatically 100% vested. Your rollover contributions are 100% vested.
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portfolios are subject to the same risks as the underlying asset classes in which they invest. The higher the portfolio’s allocation to stocks, the greater the risk. The principal value of the portfolio is not guaranteed at any time, including at and after the target date. Online Enrollment Instructions You can enroll online at TA-Retirement.com or via telephone at 800-401-8726. l Enrollment instructions are included in this enrollment workbook, and will also be sent to the mailing address you have on file with your employer. l If you are unable to enroll online or via telephone, your plan administrator can assist you in obtaining a paper enrollment form. That’s all there is to it! Remember—it’s never too early or too late to save for retirement. Transamerica Retirement Solutions is here to simplify your journey on the road to a secure retirement. Automatic Contribution Rate Increase: l Automatic Contribution Rate Increase helps you increase your retirement savings by automatically increasing the percentage you contribute to the plan once a year. You have the option of setting the annual contribution increase percentage and the maximum contribution rate it can grow to (not to exceed the plan limit) by just accessing your account online. l For additional information on registering for online access, please refer to the Online Enrollment Instruction section. Download the My TRSRetire app: Our mobile app, My TRSRetire, lets you put your plan in your pocket. And no matter how you access your account, you'll always know Your Retirement Outlook ® with a personalized "weather icon" (rainy, cloudy, partly sunny, or sunny) that makes it easy to see if your strategy has you on course toward your retirement income goal—or if you need to take action. With the My TRSRetire app, connecting with your retirement plan has never been easier. l View your account balance and rate or return l Know Your Retirement Outlook ® l Model ways to improve your forecast l Take action right from your device It's that simple. Download the app from the App Store or Google play today! TA-Retirement.com l In addition to providing access to your plan account information, the website is loaded with useful information, helpful tips and interactive tools, all designed to help you discover, build, and manage your plan. l Simply sign in to the website with your Username and Password to manage your retirement account online, check investment account performance, access the asset allocation Manage Your Account Via Website
When You Retire Or Leave The Company Subject to plan provisions, upon retirement, termination, disability or death, you—or in some cases your beneficiary—can: l Keep your money in the plan, subject to certain restrictions. l Directly roll over your plan account balance into another eligible savings plan or IRA. l Receive your plan account balance in cash. l Contact your plan administrator or refer to your Summary Plan Description for additional information on methods to receive your plan account balance. Some of these options can have significant tax consequences. Your tax advisor can help you make the decision that is best for you. Review the fees and expenses you pay, including any charges associated with transferring your account, to see if rolling over into an IRA or consolidating your accounts could help reduce your costs. Employer-sponsored retirement plans may have features that you may find beneficial such as access to institutional funds, fiduciary-selected investments, and other ERISA protections not afforded other investors. In deciding whether to do a transfer from a retirement plan, be sure to consider whether the asset transfer changes any features or benefits that may be important to you. For additional plan information, please contact your plan administrator or refer to your Summary Plan Description. l Refer to “Investment Choices” located in this enrollment workbook for a description of your investment choices. l Some of the investment choices offered by the plan contain trading restrictions. Prior to finalizing your investment choices under the plan, please refer to your “Investment Choices” for more information on these restrictions. l To obtain a complete set of Investment Fact Sheets containing detailed, up-to-date information on each of the investment choices, contact your plan administrator or log on to TA-Retirement.com. Choose a one-step solution Make it automatic with PortfolioXpress ® If your financial picture is relatively straightforward, consider PortfolioXpress ® . This service establishes an investment mix based on the retirement year and risk preference you select. Then it regularly rebalances your account to a more conservative mix over time. It’s a solution for people who are saving for retirement and want automatic diversification. You can subscribe to PortfolioXpress ® at TA-Retirement.com. PortfolioXpress ® presents a series of asset allocation models up to and through a designated retirement year. You are solely responsible for choosing the retirement year and risk preference. By subscribing to the service, you agree to each of the asset allocation mixes and automated rebalancing transactions that will take place over time within your account as you approach the selected retirement year. Retirement date Investment Choices The plan offers 19 investment choices.
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tool and online calculators, monitor your investment portfolio, obtain investment education and more. l Until you create your own unique Username and Password, you can access investment choice performance and many other valuable tools by entering your plan’s contract number: 517326-00000. Investment Choice Information Via Website To access your Fund Performance Overview and Investment Fact Sheets, follow the simple steps outlined below: Step 1: Go to TA-Retirement.com Step 2: Click: “Employees” on the navigation bar, then “Account Information”, next “Investment Choice Performance” in the left navigation Step 3: Enter your Contract ID and click “Submit” Step 4: Your Performance Overview will appear Step 5: Click on the investment choice’s name to view the Investment Fact Sheet Manage Your Account Via Telephone 800-401-8726 l The automated telephone system offers you direct access to your plan account information. You can access the system 24 hours a day,—seven days a week. Account Rebalancing Account rebalancing allows you to maintain the investment percentage you originally established, taking into consideration market earnings and losses. l Set up Account Rebalancing via the website or by telephone. l Automatically rebalance your account by redistributing the percentage of your total portfolio held in each investment choice. — A one-time account rebalance will initiate one rebalance as of the close of the business day. — A periodic rebalance will establish a future schedule for rebalancing based on the period selected (monthly, quarterly, semi-annually, annually). l There is no minimum balance required and no minimum amount to transfer.
Automated Periodic Transfers Automated periodic transfer allows you to transfer portions of your plan account balance from one investment choice to another in regular increments. l Use Automated Periodic Transfer to gradually transfer assets from a conservative investment choice to a more aggressive investment choice or vice versa. l You must transfer at least $100 from the holding investment choice for each periodic transfer. l Once established, Automated Periodic Transfer will continue until you request that it be stopped. l If there is not enough money in the holding investment choice, the system will ignore the transfer request and check again the next period. l Some restrictions may apply. Contact your plan administrator. OnTrack ® : Your Personalized Retirement Planning Tool Complete your retirement profile in our OnTrack ® tool for a comprehensive view of Your Retirement Outlook ® and specific ways you may be able to improve it. To get started, sign in to your account and click "Update" on your Account Overview page or “OnTrack” in the Resource Center menu. OnTrack ® : After you enroll in your plan, you can access OnTrack by following the steps outlined below Step 1: Go to TA-Retirement.com Step 2: Enter your Username and Password and click on the button Step 3: Follow the directions in the Your Retirement Outlook ® window OnTrack ® is a proprietary retirement planning module, solely provided for educational purposes. It is not investment advice. Important: The projections or other information generated by the OnTrack ® tool (which produces Your Retirement Outlook ® ) regarding the likelihood of various investment outcomes are hypothetical, do not reflect actual investment results, and do not guarantee future results. Results derived from the OnTrack ® tool may vary with each use and over time. Please visit your plan website for more information regarding the criteria and methodology used, the tool’s limitations and key assumptions, and other important information. Statement of Account l You will receive a personalized statement of your account on a quarterly basis. l If you have questions regarding your statement or notice a discrepancy, please notify Transamerica Retirement Solutions within six weeks of receiving your statement. Any oral communications should be re-confirmed in writing to further protect your rights.
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Summary Plan Description l For more information about any of the plan provisions including any conditions or restrictions that may apply, please refer to the Summary Plan Description. These plan highlights represent only an overview of plan provisions and do not constitute a legally binding document.
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2
Step Two
Sources of retirement income
Starting early
Determine your savings goal
Most of your retirement income will come from you
Social Security covers only about 34%* of the average retiree’s income, and fewer employers offer traditional pension plans. In reality, the majority of your retirement income will likely come from either your own savings or from part-time employment after retirement. If your goal is to live comfortably and work less in retirement, you need to start saving today.
START PLANNING TODAY
To find out what you can expect to receive from Social Security when you retire, go to s s a . go v or call 800 - 772 - 1213 to request an estimate.
You may need more retirement income than you think
The income you will need in retirement depends greatly on your individual circumstances, including factors such as your age, health, income, investments, and savings.
Based on today’s average life expectancy, you may need retirement income for 20 years or more after your regular paychecks stop. As a result, you need to take steps now to ensure you have enough money to live comfortably in your retirement years.
How much to contribute?
Consider contributing at least 10% of pay. If that seems too steep, consider starting at 6% then raising your contribution 2% each year. But don’t wait too long. The sooner you start saving more, the easier reaching your goal can be.
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Plan today for a brighter tomorrow
For some people, retirement may seem a lifetime away. But, if you postpone your savings for retirement, it may be difficult to make up for lost time. Saving for your future in a tax-deferred retirement savings plan reduces your taxable income and helps accelerate your savings. Every dollar you contribute to your tax-deferred retirement savings plan account is deducted from your salary before taxes are taken out. In addition, the money in your plan has the potential to grow tax-free until you withdraw it.
The importance of starting early
The need to start saving as early as possible is demonstrated by the following example: At age 21, Anne and Tracy were hired for similar jobs at the same salary. Anne immediately began investing $30 per week. After 14 years, Anne stopped contributing, but left the money in her plan to grow for the next 30 years. By contrast, Tracy did not begin investing $30 per week until age 35, but did so for the next 30 years. Although Tracy invested twice as much overall, Anne accumulated nearly twice as much as Tracy at retirement because she started saving early.
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3
Step Three
Match your risk profile
Choosing your investments
Match your risk profile to your investment choices
Understanding asset classes
The investment choices available through your retirement savings plan fall into a combination of three broad asset classes. Asset classes are categories of investments that exhibit similar characteristics and may behave similarly in the marketplace. In general, different types of investments react differently to the same market conditions. Understanding how the three main types of asset classes (stocks, bonds, and cash equivalents) work will help you form the basis for developing a long-term investment strategy that corresponds to your risk tolerance. Here are brief definitions of each asset class with their historical performance: Stocks are shares of ownership in a company. Over the past 10 years, stocks have returned an average annual return of about 6.8%. 1 Bonds represent the borrowing of money by a corporation, government, or other entity. Bonds have returned an average annual return of about 4.6% over the past 10 years. 2 Cash Equivalents seek to maintain the value of your investments. Over the past 10 years, cash equivalents have returned an average annual return of 1.3%. 3 Asset allocation is how you divide your money among the different types of investments according to your individual goals, risk tolerance, and investment horizon. Each of the three main asset classes—stocks, bonds, and cash equivalents—have different levels of risk and return, so each will behave differently over time. A portfolio is a grouping of financial assets that are held directly by investors and/or may be managed by professionals. Diversification is a risk management technique that mixes a wide variety of investments within a portfolio. The goal of this technique is to potentially use the positive performance of some investments to neutralize the negative performance of others. For example, when stock prices rise, bond prices often decline. A diversified portfolio with different styles of investments generally, on average, yield higher returns and pose a lower risk than any individual investment within a portfolio. Diversification does not assure a profit or protect against market loss. Asset allocation and diversification*
* Asset allocation and diversification do not assure or guarantee better performance and cannot eliminate the risk of investment losses. All investments involve risk, including loss of principal and there is no guarantee of profits. Investors should carefully consider their objectives, risk tolerance, and time horizon before investing. 1 Based on average annual total returns of the S&P 500 ® Index over 10 years as of September 30, 2015. 2 Based on average annual total returns of the Barclays Capital Aggregate Bond Index over 10 years as of September 30, 2015. 3 Based on average annual total returns of Citigroup 3-month U.S. Treasury Bill Index over 10 years as of September 30, 2015.
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Your risk profile
The next step to meeting your retirement savings goal is to consider the level of risk and rate of return that’s right for you. Your overall background including your age, income, family situation, current financial picture, and overall investment disposition will guide the level of risk you are comfortable with. The more you know about the risk involved, the better equipped you will be when making investment decisions.
Consider the following questions
WHAT’S YOUR RISK TOLERANCE? Risk tolerance changes over a person's lifetime based on their age, circumstances and earnings ability. As you move closer to retirement, you may not be able to endure short-term investment volatility, often associated with stocks. Investors should carefully evaluate their risk tolerance as they approach retirement. Your “risk tolerance” will dictate whether you choose to “stay the course” during fluctuations in the stock market with the goal of benefiting from the potential for long-term growth. HOW MANY YEARS DO YOU HAVE TO INVEST? Before investing, determine the amount of time you have until you plan to retire. Will you retire to an area with lower or higher cost of living, or will you stay put? Will you work part-time or, perhaps, open a small business? If your investment time horizon is short, consider limiting your exposure to the volatility of the stock market.
Visit TA-Retirement.com to learn more.
HOW MUCH HAVE YOU SAVED ALREADY? If you’ve already started saving for retirement, you’re a step ahead. It’s important to factor those existing savings into your plan for the future.
ARE YOU CLOSE TO RETIREMENT?
Typically, employees who are close to retirement gradually shift their portfolios to safer, more conservative investments that are better protected during volatile times. For someone who is farther from retirement, the good news during difficult economic times is that typically most of their portfolio
growth will come from future contributions and earnings.
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Match your risk profile to your investment choices
Now that you have a better understanding of how much you may need to save to reach your retirement goal and the amount of investment risk you’re willing to take to get there, it’s time for you to select the investments.
Choose your investments*
RISK AND RETURN Risk and return go hand-in-hand. You will not know what your risk tolerance is without doing a
To choose your investments, follow these step(s):
l Review your investment choices in the Forms and Instructions section along with the Performance Overview and Summaries that follow.
little homework on your investment time horizon.
l Select the investment choice(s) you’d like to include in your portfolio.
Visit TA-Retirement.com to learn more.
l Assign a percentage of your contribution to your investment choice(s).
For more information on one-step investment options visit TA-Retirement.com .
* All investments involve risk, including loss of principal and there is no guarantee of profits. Investors should carefully consider their objectives, risk tolerance, and time horizon before investing. We do not provide investment advice. Nothing presented herein should be construed as a recommendation to purchase or sell a particular investment or follow any investment technique or strategy.
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Investment Choices: Performance Overview and Summaries Buchanan Hauling 401(k) Plan
The performance data quoted represents past performance and does not guarantee future results. An investment in these funds, other than the Transamerica Stable Value investment choice(s), is subject to market risk. The investment return and principal value of an investment will fluctuate; thus an investor’s shares/units, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than return data quoted herein. For more current information, including month-end performance, please visit TA-Retirement.com. Funds, other than the Stable Value investment choice(s), are distributed by Transamerica Investors Securities Corporation. Investors should consider the investment objectives, risks, and charges and expenses of the fund carefully before investing. The prospectus for each fund contains this and other information about that fund. For copies of any prospectuses or summary prospectuses, if applicable, please call 866-498-4557. Read each prospectus carefully before investing. Securities are distributed by Transamerica Investors Securities Corporation, a registered broker-dealer, 440 Mamaroneck Avenue, Harrison, New York 10528. Transamerica Financial Life Insurance Company and Transamerica Life Insurance Company are affiliates of Transamerica Investors Securities Corporation.
Average Annual Total or Since Inception Performance
Expense Ratio †† (% of fund assets)
Performance shown in percentages as of 07/31/2017
Year to Date
Last Quarter 1 Year 3 Years 5 Years 10 Years Gross Net
Short Bonds/Stable/MMkt † Cash Equivalent/Money Market BlackRock Retirement Reserves Money of Retirement Series Trust (Class: Other)
0.07 0.05 0.07 0.02 0.02 0.52 0.74 0.74
Interm./Long-Term Bond Intermediate-Term Bonds AB High Income R (Class: R)
6.39 1.57 10.22 4.62 6.51 8.40 1.22 1.22
PIMCO Income R (Class: R)
5.47 2.02 8.36 5.20 7.14 8.87 1.10 1.10
Voya Intermediate Bond R (Class: R)
3.49 1.35 0.96 2.97 2.92 4.15 0.91 0.91
Government Bonds BlackRock US Government Bond R (Class: R)
1.52 0.52 -1.57 1.42 0.85 3.15 1.38 0.95
Large-Cap Stocks Large-Cap Value Stocks MFS Value R2 (Class: R-2)
9.42 4.22 13.34 9.67 14.04 6.90 1.11 1.11
Large-Cap Blend Stocks iShares S&P 500 Index A (Class: A) Large-Cap Growth Stocks Janus Henderson Forty R (Class: R)
11.34 4.04 15.62 10.47 14.34 7.35 0.36 0.36
20.29 5.24 18.08 14.51 15.57 8.44 1.47 1.47
Small/Mid-Cap Stocks
Mid-Cap Value Stocks Victory Sycamore Established Value R (Class: R) Mid-Cap Blend Stocks Nationwide Mid Cap Market Index R (Class: R) Mid-Cap Growth Stocks Eaton Vance Atlanta Capital SMID-Cap R (Class: R)
7.12 2.39 14.57 11.76 15.71 9.72 1.13 1.13
6.33 1.78 13.59 9.41 14.14 8.22 0.98 0.97
12.12 5.56 14.72 13.39 15.66 11.74 1.46 1.46
† See description of this asset class in the investment choices summary section.
Not FDIC Insured
May Lose Value
No Bank Guarantee
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Average Annual Total or Since Inception Performance
Expense Ratio †† (% of fund assets)
Performance shown in percentages as of 07/31/2017
Year to Date
Last Quarter 1 Year 3 Years 5 Years 10 Years Gross Net
Small-Cap Value Stocks Franklin Small Cap Value R (Class: R)
0.55 -0.56 12.18 6.97 13.47 6.64 1.38 1.36
Small-Cap Blend Stocks Nationwide Small Cap Index R (Class: R)
5.30 1.83 17.64 9.26 13.57 7.12 0.93 0.91
Small-Cap Growth Stocks Janus Henderson Triton R (Class: R)
14.85 4.88 16.75 12.12 15.27 10.79 1.44 1.44
Real Estate Invesco Real Estate R (Class: R)
5.32 2.82 -3.35 7.50 8.14 5.86 1.50 1.50
International Stocks World/Foreign Stocks John Hancock International Growth R2 (Class: R-2)
25.25 8.23 16.34 8.31 11.73 4.48 1.46 1.45
Nuveen NWQ International Value R3 (Class: R-3)
14.48 5.74 17.15 2.14 7.35 1.13 1.47 1.40
Emerging Market Stocks Ivy Emerging Markets Equity R (Class: R)
30.27 10.06 29.65 6.77 8.99 2.74 1.85 1.77
Multi-Asset/Other
Balanced BlackRock Global Allocation R (Class: R)
9.49 3.71 10.17 3.47 6.32 4.36 1.48 1.39
†† See investment choice fact sheets for expense ratio details. The performance shown reflects the net expense ratio. This means the performance is net of any fee waivers or reimbursements applied by the fund company. The “effective expense ratio,” which is the amount your plan pays, also takes into account any plan service fee assessed or plan service credit applied by Transamerica
Summaries Short Bonds/Stable/MMkt Cash Equivalent/Money Market
BlackRock Retirement Reserves Money of Retirement Series Trust (Class: Other) Inception Date: 04/01/1982
7 - Day SEC Yield: 0.00
Investment Objective: The investment seeks current income, preservation of capital and liquidity.
Interm./Long-Term Bond Intermediate-Term Bonds
AB High Income R (Class: R) Inception Date: 01/28/2008 Investment Objective: The investment seeks to maximize total returns from price appreciation and income.
** See Disclosure Page for more details.
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PIMCO Income R (Class: R) Inception Date: 03/30/2007 Investment Objective: The investment seeks to maximize current income; long-term capital appreciation is a secondary objective. Voya Intermediate Bond R (Class: R) Inception Date: 03/16/2004 Investment Objective: The investment seeks to maximize total return through income and capital appreciation. Government Bonds BlackRock US Government Bond R (Class: R) Inception Date: 07/15/2011 Investment Objective: The investment seeks to maximize total return, consistent with income generation and prudent investment management.
Large-Cap Stocks Large-Cap Value Stocks
MFS Value R2 (Class: R-2) Inception Date: 10/31/2003 Investment Objective: The investment seeks capital appreciation. Large-Cap Blend Stocks
iShares S&P 500 Index A (Class: A) Inception Date: 04/10/2013 Investment Objective: The investment seeks to provide investment results that correspond to the total return performance of publicly-traded common stocks in the aggregate, as represented by the Standard & Poor's 500 Index. Large-Cap Growth Stocks
Janus Henderson Forty R (Class: R) Inception Date: 09/30/2004 Investment Objective: The investment seeks long-term growth of capital.
Small/Mid-Cap Stocks Mid-Cap Value Stocks
Victory Sycamore Established Value R (Class: R) Inception Date: 08/16/1983 Investment Objective: The investment seeks long-term capital growth by investing primarily in common stocks. Mid-Cap Blend Stocks
Nationwide Mid Cap Market Index R (Class: R) Inception Date: 03/09/2007 Investment Objective: The investment seeks to match the performance of the Standard & Poor's MidCap 400 Index as closely as possible before the deduction of fund expenses. Mid-Cap Growth Stocks
Eaton Vance Atlanta Capital SMID-Cap R (Class: R) Inception Date: 08/03/2009 Investment Objective: The investment seeks long-term capital growth.
** See Disclosure Page for more details.
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Small-Cap Value Stocks
Franklin Small Cap Value R (Class: R) Inception Date: 08/01/2002 Investment Objective: The investment seeks long-term total return. Small-Cap Blend Stocks
Nationwide Small Cap Index R (Class: R) Inception Date: 03/09/2007 Investment Objective: The investment seeks to match the performance of the Russell 2000 Index as closely as possible before the deduction of fund expenses. Small-Cap Growth Stocks
Janus Henderson Triton R (Class: R) Inception Date: 07/06/2009 Investment Objective: The investment seeks long-term growth of capital. Real Estate
Invesco Real Estate R (Class: R) Inception Date: 04/30/2004 Trading Restrictions: Type C** Investment Objective: The investment seeks total return through growth of capital and current income.
International Stocks World/Foreign Stocks
John Hancock International Growth R2 (Class: R-2) Inception Date: 03/27/2015 Investment Objective: The investment seeks high total return primarily through capital appreciation. Nuveen NWQ International Value R3 (Class: R-3) Inception Date: 08/04/2008 Investment Objective: The investment seeks long-term capital appreciation. Emerging Market Stocks
Ivy Emerging Markets Equity R (Class: R) Inception Date: 12/19/2012 Investment Objective: The investment seeks to provide growth of capital.
Multi-Asset/Other Balanced
BlackRock Global Allocation R (Class: R) Inception Date: 01/03/2003 Investment Objective: The investment seeks to provide high total investment return.
** See Disclosure Page for more details.
Disclosures The performance data given represents past performance and should not be considered indicative of future results. An investment in these
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funds, other than the Transamerica Stable Value investment choice(s), is subject to market risk. Principal value and investment return will fluctuate, so that an investor’s shares, when redeemed, may be worth more or less than the original investment. Current performance may be lower or higher than the performance quoted herein. Fund portfolio statistics change over time. The fund is not FDIC insured, may lose value and is not guaranteed by a bank or other financial institution. Performance Performance shown reflects average annual total investment choice returns (except last quarter and year-to-date) for the period indicated. Other than for the Stable Value investment choice(s) (which are not mutual funds), total return shown reflects performance adjusted to reflect all actual ongoing investment choice expenses and assumes reinvestment of dividends and capital gains, but is not adjusted for sales charges or the effects of taxation. The expense ratios quoted show the maximum total operating expenses (gross expense ratio) of the investment choices corresponding mutual fund as well as the net expense ratio. The Total Net Expense Ratio is the Gross Expense Ratio less any interest expense and waivers. If applicable, interest expense results from a funds use of certain investments such as reverse repurchase agreements. Such expense is required to be treated as a fund expense for accounting purposes and is not payable to the fund. Any interest expense amount will vary based on the funds use of those investments as an investment strategy best suited to seek the objective of the fund. Waivers represent the elimination of all or part of a funds expenses and fees by voluntary or contractual agreement of the advisor. Expense waivers are classified based on the type of fee being waived. The type of waiver, if any, waiver amount and expiration date are provided in the investment choices summary section or investment fact sheets. The performance shown takes into account expense waivers in effect, if any, without which, performance would have been lower. Please see the fee table in the funds prospectus for more information. Performance does not take into account any plan fees, asset based charges, service charges or, if applicable, surrender or discontinuance charges. If adjusted for these charges, performance would be lower. Load-Adjusted Total Return is total return adjusted for sales charges. The sales charge adjusted for may not necessarily be consistent with the prospectus. Performance shown since inception is from the performance inception date shown next to the fund on the Investment Choices Performance Overview. Performance and investment related information shown herein is provided by Morningstar and/or its content providers. Transamerica Retirement Solutions (Transamerica) cannot and does not warrant that this information is accurate, complete, or timely. Asset Classes The investment choices have been assigned to various asset classes by Transamerica Retirement Solutions. They may not be representative of that particular asset class in the future. Explanation of Investment Styles and Risks Cash Equivalent/Money Market: An investment that is generally very short term and highly liquid, and has high credit quality. An investment in a cash equivalent or money market investment choice is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the investment seeks to preserve the value of your principal, it is possible to lose money by investing in this investment. Depending on the investment, not all money market investment choices will seek to maintain a $1.00 net asset value per share. Intermediate-Term Bonds: Debt securities issued by governments, corporations, and others, typically with durations of 3.5 to 6 years. The value of bonds changes in response to changes in economic conditions, interest rates, and the creditworthiness of individual issuers. Bonds can lose value as interest rates rise, and an investor can lose principal. Government Bonds: Debt securities issued by governments or their agencies (e.g., U.S. Treasury Bills). The value of bonds changes in response to changes in economic conditions, interest rates, and the creditworthiness of individual issuers. Bonds can lose value as interest rates rise, and an investor can lose principal. Any U.S. government guarantees of the securities pertain only to those securities and not to portfolios that invest in them. Large-Cap Value Stocks: An investment category that mostly comprises stocks of large companies that are believed to be priced below what they are really worth. Stocks have historically offered the potential for greater long-term returns, but also entail greater short-term risks than other investments. Value stocks may be subject to special risks that have caused the stocks to be out of favor and under valued in the opinion of the portfolio managers who invest in them. Large-Cap Blend Stocks: An investment category that mostly comprises both value and growth stocks of large companies. Stocks have historically offered the potential for greater long-term returns, but also entail greater short-term risks than other investments. Blend strategies are subject to both growth and value risks. Deposits made by plan participants are not subject to any front-end loads/sales fees of the mutual fund.
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