1. C HANGING THE G AME : T HE P OWER OF I NDICATORS Woodstockinst.org /// @WoodstockInst S PENCER C OWAN, S ENIOR V ICE P RESIDENT A PRIL, 2016

2. 2 E STABLISHING THE C ONTEXT S OCIAL S ECURITY WAS NOT MEANT AS A SOLE - SOURCE RETIREMENT PLAN – SUPPLEMENTED BY PENSION AND SAVINGS P ENSIONS BECOMING RARE – FEWER EMPLOYERS OFFERING ANY PLAN – REPLACED BY DEFINED CONTRIBUTION PLANS W ORKERS ARE NOT SAVING ENOUGH I SSUE GAINING NATIONAL ATTENTION – BUT NO NATIONAL SOLUTION, LEFT TO STATES

3. 3 SS R EPLACEMENT R ATE Source: Social Security Administration

4. 4 R ETIREMENT I NCOME S OURCES Source: Employee Benefits Research Institute, 2010 data

5. 5 A CCESS TO A P LAN AT W ORK Source: Employee Benefits Research Institute, 2010 data

6. 6 R ETIREMENT A CCOUNTS BY A GE Source: Employee Benefits Research Institute

7. 7 A MOUNT IN A CCOUNTS BY A GE Source: National Institute on Retirement Security

8. 8 P OLICY I MPLICATIONS I F NOTHING IS DONE – MANY RETIREES WILL FACE DECREASED STANDARD OF LIVING – MANY ADULTS WILL NEED TO HELP SUPPORT THEIR AGING PARENTS – GOVERNMENT WILL FACE INCREASED PRESSURE TO BOLSTER THE SOCIAL SAFETY NET – BUSINESS WILL FACE DIMINISHED INVESTMENT FROM RETIREMENT PLANS

9. 9 N EIGHBORHOOD I NDICATORS O VER 2.5 MILLION PRIVATE - SECTOR WORKERS (53.4%) IN I LLINOIS DO NOT HAVE ACCESS TO A RETIREMENT SAVINGS PLAN AT WORK –315,600 IN ACCOMMODATION / FOOD SERVICES –357,600 IN HEALTH CARE / SOCIAL ASSISTANCE –305,500 IN RETAIL TRADES B ROKEN DOWN BY LEGISLATIVE DISTRICT

10. 10 L EGISLATIVE D ISTRICT D ATA Neighborhood # Private- sector Workers # Without Access to a Plan Pct. without Access to a Plan Senate District 149,05726,92854.9% Senate District 268,58937,44654.6% Senate District 363,00934,43354.6% Senate District 463,82434,29453.7% Senate District 578,63942,51954.1% Senate District 6107,65358,18254.0% State of Illinois4,694,5992,507,05953.4%

11. 11 A UTOMATIC IRA P ROPOSAL A UTO - ENROLLMENT IRA – CONTRIBUTION BY PAYROLL DEDUCTION – ALL EMPLOYERS WITH 10 OR MORE EMPLOYEES R UN BY A STATE - APPOINTED BOARD F UNDS POOLED TOGETHER – MANAGED BY PRIVATE INVESTMENT COMPANY D EFAULT 3% PAYROLL DEDUCTION – IN AGE - TARGETED FUND – THREE OTHER OPTIONS

12. 12 T HE N EGOTIATION P ROCESS I LLINOIS S ECURE C HOICE S AVINGS P ROGRAM – REBRANDING FROM AUTO -IRA C OST ESTIMATES – MINIMAL COST TO EMPLOYERS – LEAST EXPENSIVE ALTERNATIVE B UILD A COALITION – NONPROFITS, SOME BUSINESS ASSOCIATIONS, SOME FINANCIAL INSTITUTIONS C OMPROMISES TO WIN OVER LEGISLATORS

13. 13 S ECURE C HOICE F ACTSHEETS

14. 14 T HE F INAL B ILL I LLINOIS S ECURE C HOICE S AVINGS P LAN – SIGNED INTO LAW J ANUARY 4, 2015 M ANDATORY FOR LARGER EMPLOYERS (25+) – IF MORE THAN 2 YEARS OLD AND DON ’ T OFFER A RETIREMENT PLAN P LAN IS A R OTH - TYPE IRA – NOT DEDUCTIBLE, TAX - FREE WITHDRAWAL – NO CURRENT STATE TAX RECEIPT IMPACT – NO EMPLOYER CONTRIBUTION ALLOWED TO AVOID ERISA

15. 15 C ONCLUSION I NDICATORS TO DEFINE THE PROBLEM – ESTABLISH THE POLICY CONTEXT – DEFINE THE DIMENSION OF THE PROBLEM – ESTABLISH THE METRIC TO BE CHANGED I NDICATORS AS A TOOL FOR ADVOCATES – AS PART OF POLICY ADVOCACY – TO INFLUENCE POLICY MAKERS – TO BE USED IN CONJUNCTION WITH POLITICAL SKILLS TO CHANGE THE TRAJECTORY