Clarity across your members' journey to retirement. Mercer Retirement Readiness Index offers simple, affordable and flexible access to valuable insights and helps focus marketing & member communication to support those members who are less prepared.
What is Mercer Retirement Readiness Index?
Mercer Retirement Readiness Index instantly measures how your members are tracking towards achieving a comfortable retirement. Accessed through a secure web-portal, the simulation will:
- PROJECT members’ super balances at retirement age.
- COMPARE members’ super balances with the amount required to provide an income stream in retirement that meets ASFA’s Comfortable Retirement Standard or a suitable benchmark of your choice.
- GROUP members into green, amber, red zones.
- SCORE each fund out of 100 - indicates a snapshot of the fund’s current position.
- BENCHMARK your funds’ scores against other funds.
- TEST the impact of member campaigns allowing for market volatility.
Out of the Box Package Includes
- Full access to a secure web-based portal with instant member readiness results at any time during the year.
- Six monthly actuarial review and workshop providing important trends and segments, plus actions to improve your fund’s Mercer Retirement Readiness Index score.
- Insights into the Mercer Retirement Readiness Index score of other participating funds upon the two check points each year.
- Initial training and technical support.
Research based on APRA data1 shows that the average member in about 60% of APRA funds will need to rely fully or partly on the government age pension and will be unable to achieve a comfortable standard of living in retirement.
And while an expense survey2 of super funds suggests more than $1 billion is spent on marketing and communication each year, more than half public offer funds are losing members and assets due to negative net rollovers.
Some questions you can consider:
- Are our members on track to achieve their retirement goals?
- How well is our fund performing compared to other funds?
- How can we identify members that need help?
- Are our strategies to enhance retirement readiness working?
- Is our marketing budget directed in the right place?
Mercer Retirement Readiness Index can answer these questions and help you:
- Better understand your members’ readiness for retirement
- Plan your marketing budget with focus and target your marketing according to how well positioned members will be in retirement
- Measure the effectiveness of strategies and monitor management performance
- Confidentially compare with other funds and stay competitive
- Display social responsibility and move the needle on improving retirement outcomes
1. APRA 2013 and 2014 Superannuation Fund-level Publications, Australian Prudential Regulation Authority