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City of Minneapolis

 

Who is Prosperwell Financial?
Prosperwell is a wealth management firm that uses a mentoring approach focused on helping individuals develop a healthy understanding of financial independence.  Areas of concentration include retirement planning, college education savings, estate planning, asset management, insurance, as well as financial planning in the event of divorce.

What are the fees and/or commissions associated with the advisors of Prosperwell?
We offer an initial no-cost retirement evaluation meeting where we will calculate your estimated retirement income and offer solutions based on your current financial profile.

Why did the city decide to offer one deferred compensation plan provider?
After reviewing plan fees, investmen options, plan administration as well as investment oversight, the staff from Finance, Human Resources and the City Attorney's office recommended the MNDCP plan as the sole provider.

Why was MNDCP selected as the sole deferred compensation plan provider?
The City of Minneapolis felt that the MNDCP offered the most competitive fee structure while still providing a wide range of investment options.

What is the relationship among the Minnesota State Retirement System, MNDCP, and the SBI?
MSRS administers several retirement plans for Minnesota public employees including the MNDCP.  SBI acts as the plan investment fiduciary and is responsible for the fund lineup and ongoing management of the investment choices.

What will happen to my account with ING or ICMA?
Your ING or ICMA account will be transferred to the MNDCP over the Labor Day weekend of 2012.

I am an active employee; can I leave my account with ING or ICMA?
No. Effective 9/4/2012 the MNDCP will be the only deferred compensation plan option.  All assets in the ING and ICMA will transfer to the MNDCP

I'm a former employee; can I leave my account with ING or ICMA?
No.  You have two options, you can request a distribution or rollover in which you can rollover your account into another qualified plan or an IRA.  If you do not choose to do this, your account will transfer to MNDCP.  Contact us at Prosperwell Financial for help with your rollover.

How will my ING or ICMA account proceeds be invested with the MNDCP?
You account assets will transfer into similiar fund choices inside MNDCP.  Once the transfer is complete, you will have the option to reallocate your portfolio into the funds offered, invest in newly offered funds based on your target retirement date, or through a self-directed brokerage account.  We at Prosperwell Financial can help you determine which option is the best for you.

What fees and commissions will apply to my MNDCP account?
1.  The MNDCP annual administrative fee is 0.05% of your account balance, and is not charged on accounts over $100,000.  The maximum fee is $50 per year.
2.  The operating expense for the investment options range from 0.01%-0.92% depending on the individual fund selected; the average operating expense is 0.32%.
Example: A $50,000 portfolio on average will incur charges of $160 (50,000 x .0032). This amount will be deducted from your account balance.  In this example, the total account fee would be $160 + $25 (50,000 x .05) = $210.
*Considering that the MNDCP has over $4 billion dollars in assets, the plan offers a very low cost solution for it's plan participants

Contact Information
City of Minneapolis Benefits: 612-673-3891 or benefits@minneapolismn.gov
MNDCP: 651-296-2761
Prosperwell Financial: 763-231-9510 or Katherine@prosperwell.com