World Institute on Disability Consumer Financial Protection Bureau July 8, 2016
What We Heard Met with organizations, legal representatives and individuals in Nebraska and nationally to discuss needs and expectations for an ABLE savings plan. Discussed range of accessibility and design issues as well as investment and banking needs. • Persons with disabilities have hopes and dreams just like any other sibling, friend or family member. • The goal of an ABLE plan is to create financial independence to help account owners become an integral part of their community and as self-sufficient as possible. • Parents and grandparents should have an easy way to give monetary gifts to all their children and grandchildren. • Parents want the security of knowing that when they pass, their child, no matter what age, will have financial resources.
Designed with the Community The Enable Savings Plan was designed with the disability community, not for the disability community. We did not assume we knew what the community wanted or needed. Based on their feedback, our mission became to develop a plan: • That could be understood and used by a broad-range of individuals with disabilities and their legal representatives with minimal paperwork; • That was low cost and flexible to appeal to individuals with varying investment goals and time horizons; • Provided educational resources including financial literacy tools; and • Encourage both formal and grassroots, social media efforts to keep account owners and the disability community informed and educated.
Features
Open an Account • Online or, if preferred, by completing a paper Enrollment Form • Disability Type and Disability Code are self-certified at enrollment • Authorized to Act features include: − Parents and guardians of an account owner for a minor − Authorized representatives (such as those with power of attorney, Conservators and Guardians) opening and managing an account on behalf of the account owner • Understanding the importance of videos, How To videos are included on the site. At launch there is a How to Open an Account video.
Home Page • Most important information in the simple navigation pane at the top of the page • Links within boxes in the middle of the page to important topics which can be swapped out as other important topics are surfaced • Easy way to become part of our email list • Link to our hallmark video
Enroll Online • Six steps with visuals to know which step you are currently in • Tips on the page to give additional information to help complete the process • The system will pre-fill information as applicable
Invest Five Investment Options. Account owners or their representatives can choose which one meets their personal needs based on their time horizon, personal situation and savings goals. Investments are not FDIC Insured* No Bank, State or Federal Guarantee May Lose Value * Except the Bank Savings and Checking Account Investment Options
Three Target-Risk Investment Options (5 – 10 years+ time horizon) Growth Option Moderate Option Conservative Option Investment goal is for Investment goal is a Investment goal is for growth and some balance of growth and current income and income income some growth 21% Domestic Equity 56% Domestic Equity 42% Domestic Equity 9% International Equity 24% International Equity 18% International Equity 55% Fixed Income 20% Fixed Income 35% Fixed Income 15% Cash Equivalent 5% Cash Equivalent
FDIC-Insure Investment Options Bank Savings Option (3-5 year time horizon) This Investment Option offers a guaranteed return of investment and the stability of principal that is FDIC-insured. This option may be appropriate for those who want the security of a safe investment. (At launch 1.00% APY) Checking Account Option (short time horizon – Launching fall 2016) The FDIC-insured checking account offers check writing and a debit card to pay for daily and repetitive qualified expenses. Limits to withdrawals are imposed. Contributions to and earnings on investments in the Bank Savings and Checking Account Options are insured by the FDIC on a per participant, pass-through basis to each account owner up to the maximum limit established by federal law, which is currently $250,000.
Contribute • Methods: − By check − Pre-scheduled automatic transfers from a bank account − One-time contribution from bank account − Payroll deduction through direct deposit • Online gift certificates for friends and family • $14,000 annual contribution limit and a maximum account balance limit of $360,000 • Notification when balance nears SSI impact limit of $100,000
Withdraw • Funds withdrawn from Target-Risk and Bank Savings Option: − Check to account owner or designated third party − ACH directly to owner’s bank account − Systematic withdrawal plan (e.g. to pay for rent on a specific day of the month) • Checking Account − Write a check − Use a debit card − Help individuals become more financially independent by having their own checking account and debit card like their peers
Manage • Fully ADA-compliant website • Public facing website features − Blogs − Educational materials and financial literacy tools − Learning tools through videos − Online gift certificates for contributions by others Secure account access − View balances, statements, confirmations − Account maintenance such as changing address − Contribute and withdraw • Customer Care Center 8:00 a.m. to 8:00 p.m. CT with Voice Response System and TRS capabilities. • Facebook and social media sharing
Sample Financial Literacy and Education
Are You Enable Ready? Beginning of financial literacy series, this page is begins the thought process about how to get ready to have an Enable Savings Plan account. • What do you want to save for? • How much should you save? • Make a plan to save • Start saving
Enable U Enable U within our resource section provides printable pages describing specific topics of interest. We currently have: • Enable and Special Needs Trusts • Enable and Inheritances or Settlements • Conservator v. Guardians and Enable • Grandparents and Enable • Enable and SSI/SSDI Representative Payees • Enable Your Clients
Marketing and Outreach
Nebraska-Wide Short List DHHS Disability Services and Medicaid Ollie-Webb Center as consultant Arc of Nebraska and all of their offices Special Olympics Commission for the Deaf and Hard of Hearing Commission for Blind and Visually Impaired Consortium of Citizens with Disabilities Nebraska Down Syndrome Society Vocational Rehab Groups Nebraska Bar Association Easter Seals Veterans Task Force ESU (in schools) Salt Dogs Homers Heroes All Pay League Efforts include: Pre-launch train the trainer Client forums Presence at their events Sponsorships Continuous outreach through onsite meetings, emails, sharing of information to disseminate to their constituents, Facebook, blogs
National National Down Syndrome Society NDI The Arc of the United States TASH Autism Speaks Member of United States Access Board CFPB Efforts include: One-on-one meetings with leadership team Continuous conversations and information exchange Sponsoring national and leadership conferences Sharing of marketing materials, information, press releases, updates to distribute to their constituents, Facebook and blogs
Enable Savings Plan Legal Structure Nebraska’s ABLE Act signed into law May 28, 2015 Authority: Issuer: The Nebraska Achieving A Better Life Experience Program Trust Don Stenberg, Nebraska State Treasurer Trustee: Investment Manager: Nebraska Investment Council First National Capital Markets, Inc. Member FINRA, SIPC Distributor: Program Manager: First National Bank of Omaha First National Capital Markets and First National Bank of Omaha are affiliates.
Questions? Deborah Goodkin, Managing Director 402-602-7204 dgoodkin@fnni.com
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