Noteworthy News ■

1

BOARD OF TRUSTEESAntwaun Smith - Board Chair

Lori Neidel - Vice ChairLaura Davis

Representative Caleb JonesSenator Joe Keaveny

Senator John LampingRepresentative Mike Leara

Don MartinCommissioner Doug Nelson

Treasurer Clint Zweifel

EXECUTIVE DIRECTORGary Findlay

MAILING ADDRESSPO Box 209

Jefferson City, MO 65102-0209

BUILDING LOCATION907 Wildwood Drive Jefferson City, MO

OFFICE HOURS7:30 a.m. - 4:30 p.m. • Monday - Friday

PHONE(573) 632-6100 • (800) 827-1063

AUTOMATED PHONE OPTIONSDeferred Compensation/MCHCP. ..........1Password Assistance .................................2Change Email/Mailing Address ...............3 Benefit Counselor ....................................4Investments .............................................5Dial Employee by Name .........................8Operator .................................................0

FAX(573) 632-6103

MISSOURI RELAY7-1-1 (Voice) • (800) 735-2966 (TTY)

EMAILmosers@mosers.org

WEBSITEwww.mosers.org

Graphic Designer - Tracy UpschulteWriter/Editor - Jade Elwess

Noteworthy News

3 Achievements MOSERS proudly receives several

notable awards.

4 Member Feedback Communications survey indicates

interest in social media is growing.

Life Planning

6 Direct Deposit Your benefit payment is in the bank

whether or not the mail runs on Saturday.

6 Social Security Social security launches new mobile-

friendly version of their website.

6 PaychekPLUS Option to receive your benefit

payment on a prepaid debit card.

7 Counselor Connection Benefit Counselor Dave Dozier talks

about survivor benefits and pop-ups.

7 Retiree Cards Retiree identification cards are

available on MOSERS' website.

Retirement & You

8 Research Report Survey of Americans serves as a

valuable tool for policy makers.

9 Web Tools New interactive economic impact

maps now available on our website.

9 Retirement Trends Benefit payment options our

members tend to choose at retirement.

10 Retiree Connection Register today for a Fall 2013

Coffee Break.

11 Rumor Central Subscribe to Rumor Central today.

12 Benefit Counselors Your direct source to retirement,

life insurance and LTD benefits.

RetireeNews is published quarterly by the Missouri State Employees’ Retirement System. To obtain an alternative format of this publication, please contact MOSERS.

This publication is designed using stock photography. The photographs chosen are for illustrative purposes only; they do not imply any particular attitudes, behaviors, or actions on the part of any person who appears in the photographs.

Noteworthy News ■

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Excellence. Always. MOSERS Presented WithVery Notable Awards

Executive Director Gary FindlayReceived Lifetime Achievement Award

Gary Findlay, executive director of MOSERS, has been awarded the 2012 Money Management Letter Lifetime Achievement Award. This Institutional Investor News award is considered to be the standard setter for excellence in the financial services industry.

The announcement reads in part, “In the 18 years since Findlay became director, MOSERS assets have compounded at an annualized rate of 9% net of fees, outperforming the fund's benchmark by 1.2% annually. When compared to other public funds across the country, this performance places MOSERS among the very best. A recent study of 10-year results conducted by consulting firm Cliffwater & Associates found that MOSERS' returns were the highest among its peers for the decade.”

“It’s been an interesting lifetime with the most interesting part being the last 18 years here,” said Findlay. “I now consider the years leading up to 1994 as being preparation for what has happened since 1994. Almost all of the opportunities to play a part in policy development at the national level happened since then. Not mentioned were the Year 2000 plan, a new culture, a new focus, almost all of which stemmed from being alert to opportunities and capitalizing on them. Critical to all of this was attracting and retaining the right people and being willing to take calculated risks, which most public pension organizations are not willing to do.”

The full article can be read at the Money Management Intelligence website at www.moneymanagementintelligence.com.

Deferred Compensation PlanNamed Plan Sponsor of the YearThe State of Missouri Deferred Compensation Plan was named “Plan Sponsor of the Year” for 2013 by PLANSPONSOR magazine, the industry’s leading resource for retirement-benefits related news. Cindy Rehmeier, MOSERS’ manager of defined contribution plans and the State of Missouri Deferred Compensation Plan are featured in the March 2013 edition of PLANSPONSOR. Read the press release on the State of Missouri Deferred Compensation Plan’s website at www. modeferredcomp.org.

Annual Report Receives First Place Award From NACGMOSERS received the first place award from the National Association of Government Communicators (NAGC) for our 2012 Comprehensive Annual Financial Report (CAFR).

The theme of the 2012 annual report, Yesterday. Today. Tomorrow. was chosen to convey to members and to all stakeholders, the system’s public value, longevity, consistency, and ongoing commitment to professional plan administration.

The NAGC Blue Pencil & Gold Screen Awards Competition salutes superior communications efforts of government agencies and recognizes the people who create them.

The NAGC is a national not-for-profit professional network of federal, state and local government employees who disseminate information within and outside government. NAGC awards underscore the association's high standards of professionalism in public service.

Preparation of the CAFR is a monumental undertaking but it is our annual opportunity to tell our very positive story. Go to the About MOSERS section of our website to view the full annual report, the summary annual report, or previous annual reports.

■ Noteworthy News

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Member Feedback Growing Interest in Social MediaWe have expanded our communications strategy to include the use of some forms of social media. Social media includes various online technology tools that enable people to communicate easily via the Internet to share general information and resources. Tools such as Facebook, Twitter, blogs, and podcasts, have become increasingly popular, in general, and in the retirement industry specifically.

In April, we conducted our fourth annual MOSERS social media/communication preferences survey. If we have your email address on file, you may have been randomly chosen to take part. Thank you to those who participated. We received 1,810 responses (an 8.5% response rate).

Keep in mind that these are simply tools we use to help us improve our communication with you. We are not discontinuing our website. On the contrary! The MOSERS website is one of the most popular forms of communication that we use and we are continually improving its look, security features, and functionality. Additionally, MOSERS' communications and information technology sections work together to protect our members' security and reduce our members' risk of identity theft. We take your privacy concerns very seriously as we strive to provide you with accurate, timely information.

We appreciate your feedback. It will help guide us in our future communications efforts. Your feedback helps us achieve our mission of advancing the financial security of members.

Missouri State Government You can follow many Missouri state government agencies, including MOSERS, on your favorite social networks. For more information, visit the MO.gov’s Social Media Directory, which lists each agency with links to their Facebook, Twitter, You Tube, and Flickr sites.

COMMUNICATIONS PREFERENCES

Members prefer to receive their information from MOSERS via individual email and the website. Following that, they prefer to get their information via the newsletters, from a benefit counselor, from various social networking sites such as Facebook and Twitter, and via local newspaper/radio/public service announcements (in that order). This doesn't change significantly by age category.

Of those surveyed:

• 18% of respondents are interested in a mobile version of the MOSERS website.

• 83% are very or somewhat interested in MOSERS' investments.

• 46% are very or somewhat interested in MOSERS' Rumor Central blog as a way of getting information. This jumps to 48% for those age 56 and above.

• 62% think MOSERS does a very good job communicating with members, up from 59% a year ago; 30% think MOSERS does a good job but communication with members could be improved. Among the respondents who are age 26-35, that number (those who think we could do a better job) jumps to 50%.

Noteworthy News ■

5

Join our community of nearly 400 Facebook friends and over 200 Twitter followers, and follow our Straight Talk Blog and Rumor Central to help you stay in the know, on the go!

Below are your views regarding various forms of social media as a means of communication.

• 76% of respondents are familiar with social networking and over 42% are familiar with blogging.

• 17% of respondents read blogs frequently or somewhat frequently.

• 50% of respondents make frequent or somewhat frequent use of Facebook and online video (44%) as communication techniques.

• Use of Facebook jumps to 82% in the 26-35 age group and to 89% in the 18-25 age group.

• Online video use jumps to 68% in the 26-35 age group.

• The percentage of respondents age 56+ who use Facebook frequently or somewhat frequently is 46%, up from 39% a year ago.

YOUR SOCIAL MEDIA STATUS

Those who weren’t “unsure” about social media indicated that the very or somewhat useful communication tools include:

• Webinars - 56%

• Online video - 41%

• Facebook page - 33%

• Audio podcasts - 28%

• RSS feed - 20%

• Blogs - 19%

• Twitter feed - 9%

Of those who use social networks:

• 61% use them to keep in touch/socialize with family, friends, and former colleagues and contacts.

• 12% use them for professional networking and getting news/updates from companies/organizations of interest to them.

• 23% use them for all of the above.

The social networks that respondents use the most are:

• Facebook - 56%

• YouTube - 21%

• LinkedIn and RSS feeds - 13%

• Blogs - 5%

• Twitter - 4%

WEBSITE AND NEWSLETTER STATUS

Of those familiar with the categories:

• 94% find the MOSERS website to be very or somewhat useful.

• 95% find email notifications to be very or somewhat useful.

• 98% strongly or somewhat agreed that information on the website is timely and relevant.

• 98% strongly or somewhat agreed that information on the website is accurate and credible.

Of those active respondents familiar with PensionsPlus, our active member newsletter:

• 98% strongly or somewhat agreed that information is relevant and timely.

• 98% strongly or somewhat agreed that information is accurate and credible.

Of those retired respondents familiar with RetireeNews, our retired member newsletter:

• 98% strongly or somewhat agreed that information is timely and relevant.

• 99% strongly or somewhat agreed that information is accurate and credible.

Follow us on

TWITTER

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■ Life Planning

Direct Deposit No Mail on Saturday? No Need to WorryThe United States Postal Service announced in February that it will cease delivery of mail on Saturdays starting on August 5, 2013, in order to reduce costs. Then, in April, they rescinded this announcement because of the language in the congressional spending bill that prohibits the cutbacks.

The statement from the Board of Governors of the U.S. Postal Service in April said they “will follow the law and has directed the Postal Service to delay implementation of its new delivery schedule

until legislation is passed that provides the Postal Service with the authority to implement a financially appropriate and responsible delivery schedule.”

What does this mean for your MOSERS benefit payment? Whether Saturday mail service continues or not, of course you will always receive your benefit payment. However, to ensure you receive your benefit payment consistently and on time, if you haven’t done so already, we encourage you to sign up for direct deposit. Currently, about 96% of MOSERS members already use direct deposit.

Direct deposit is secure, it is reliable in the event of bad weather or natural disaster, and there won’t be any disruptions related to the U.S. Postal Service’s mail delivery schedule. You can login to MOSERS’ website and sign up online or complete and submit a Direct Deposit/Pay Card Authorization form.

PaychekPLUSExpanding Your Payment Options In the Spring issue of RetireeNews, we previewed the new PaychekPLUS, a prepaid debit card option for receiving your monthly benefit payment from MOSERS. This is a new option for retirees who receive their monthly benefit payment by paper check. It works just like a debit card, in that you must activate it before it can be used, and you will choose your own secure PIN. If you have an existing pay card, (other than a social security pay card), MOSERS can transmit your monthly benefit payment to that card. Complete the Direct Deposit/Pay Card Authorization form with your card information. If you don’t have a pay card, Central Bank will send you one after you submit the Direct Deposit/Pay Card Authorization form to MOSERS.

Website UpdateSocial Security Administration Goes MobileIn May 2013, the Social Security Administration (SSA) announced that users with smartphones will be able to access a new mobile-friendly version of their website. From this mobile site, you can login and view your social security statements, find the SSA on social media, locate and get directions to the nearest field office, and even listen to publications over the phone.

Go to www.socialsecurity.gov from your smartphone’s browser.

You can also access MOSERS' website and your secure Member Homepage from your mobile device to access your personal benefit information and complete many tasks online.

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Life Planning ■

Counselor ConnectionSurvivor Benefits and Pop-upsBy Dave Dozier, Senior Benefit Counselor

In the Winter issue of RetireeNews, MOSERS Benefit Counselor Jenny Bayne touched on the importance of keeping your beneficiary designations current and your beneficiaries informed as to “what to do” in the event of your death. There is another side to that issue that we need to examine. What if your spouse or your designated beneficiary dies first? Do you know what to do?

According to our 2012 records, 70% of the retirees who selected the MSEP and 40% who retired under the MSEP 2000 chose some type of a survivor benefit payable upon their death. If you elected the Joint & 50% option or the Joint & 100% option and took a reduction in your benefit and your spouse precedes you in death, your benefit should revert (pop-up) to the Life Income Annuity amount. In other words, we will not continue to reduce your benefit to pay for survivor benefits for a spouse that has preceded you in death.

Here comes the important part. The pop-up is not automatic. Should a death occur, you must inform us and provide us with a copy of your spouse’s death certificate before your benefit will be adjusted. The effective date of the pop-up will be the first of the month following your spouse’s date of death. Our auditor estimates that at least once a month, it is necessary for us to recalculate and adjust a benefit that sometimes should have

been reported to us years ago. We will make those adjustments. However, by law, MOSERS’ obligation to adjust and refund overpayment ends with your death. MOSERS works very hard to ensure that your benefit is correct. You can help us by keeping us informed of any life changes.

Those of you who chose guaranteed payments also need to be aware that if the person designated to receive those guaranteed payments should predecease you, you have the ability to designate a new beneficiary to receive any remaining payments.

If you are not sure what benefit payment option you chose, you can log on to MOSERS’ website using your member ID number or social security number and your password. Once logged in, go to Personal Information and then click on Benefit Information. Not on the Internet? Give us a call - our counselors are available Monday through Friday, 7:30 a.m. to 4:30 p.m., and can be reached at (800) 827-1063 or (573) 632-6100. Or, if you’re in the area, drop by our office at 907 Wildwood Dr., Jefferson City, MO.

The pop-up is not automatic.

Should a death occur, you

must inform us and provide us

with a copy of your spouse’s

death certificate before your

benefit will be adjusted.

For Your ConvenienceRetiree Card Now AvailableRetiree identification cards are now available on MOSERS' website. These cards show proof that you are a state retiree, when you retired, and how much service you had with the state. To access your card, login to your secure Member Homepage with your MOSERS password and find it under Personal Information. Print out a copy, cut it out, sign it and carry it with you in your wallet in case you need to show verification of your status as a retiree.

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■ Retirement & You

The National Institute on Retirement Security (NIRS) released a new report in February 2013 called Pensions & Retirement Security 2013: A Roadmap for Policy Makers. This report is based on a nationwide public opinion poll of 800 Americans conducted by telephone in December 2012.

In the press release, NIRS Executive Director Diane Oakley said, “An overwhelming majority of Americans agree that the Great Recession exposed the risks of the nation’s retirement system—87%, up from 81% in 2011. Across generations, Millennials (those born after 1976) are most in tune with the risks of the system—some 96% agree that the downturn exposed risks inherent in the system. It seems today’s younger workers want the security of their grandparents’ pension, not the do-it-yourself retirement accounts of their parents.”

Key Findings• Over half of Americans (55%) are very anxious about retiring, particularly women

(90%). A large majority (81%) agree that the average American can’t adequately save for retirement on their own, and the Great Recession exposed many of the weaknesses in our retirement system.

• Americans are in favor of pensions (83%) and believe we should all have access to a pension for retirement security (84%). Individuals surveyed would be nearly twice as likely to choose an employer offering a pension over one offering a 401(k) plan.

• Three-quarters (75%) of Americans would support Congressional action to create a privately run pension plan available to everyone, that would be portable, that would have a guaranteed payment throughout retirement, is professionally managed, and simple to administer. This is similar to the USA Retirement Funds idea proposed in the U.S. Senate.

• Millennials are very dissatisfied with the current retirement system and believe retirement reform should be a priority.

• Americans believe social security benefits should be protected. Most disagree that government spending on social security should be cut, regardless of whether benefits for current or future retirees would be affected.

• There is support by nearly three-quarters (73%) of Americans for pension benefits for public employees. Since most plans require them to contribute towards their pension, they typically have lower pay, and some have high-risk jobs.

• Nearly 90% believe that Baby Boomers retiring without pensions or having enough saved for retirement is going to negatively affect the entire economy, as well as their own families. For example, there is more reliance on the government for public assistance in retirement for households without pension income.

Research ReportPensions & Retirement Security 2013: A Roadmap for Policy Makers

The report is available online: www.nirsonline.org/storage/nirs/documents/2013%20Opinion%20Study/final_2013restricted_opinion_research.pdf

What are the major factors making retirement more difficult?

• Salaries - 83%

• Fewer pensions - 68%

• Longer lives - 63%

• Volatile stocks - 59%

• Do-it-yourself retirement - 57%

• Higher social security retirement age - 49%

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Retirement & You ■

Interactive Web ToolsEconomic Impact MapsMOSERS posted new maps on our website that show how much of the retirement benefits we distribute to retirees and survivors stays in Missouri. Choose Congressional, House or Senate maps, and then hover over a district to see an interactive display of the number of active and retired MOSERS members in that area, plus the economic impact in dollar amounts paid, for both active payroll and retirement benefits. Clicking on a district will bring up a printable map with data. If you aren’t sure which district you are in, click on the links provided and enter your zip code. Your district will be shown.

Find the maps in the About MOSERS section of our website under Legislative Maps.

Retirement TrendsPayment Options for Retired Members by Plan We are often asked which benefit payment option our members tend to choose when they retire. Here is a graphic showing the options our retirees chose, as shown in the 2012 Member Profile Summary.

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■ Retirement & You

Retiree ConnectionTime to Take a Coffee Break MOSERS, in association with our Retiree Connection group, will be hosting post-retirement Coffee Breaks this fall. These Coffee Breaks allow us to reach out to our retirees, give you a chance to have face-to-face communication with MOSERS staff, and provide you with the opportunity to interact with other state retirees in your area.

Coffee Break Topics

• Sustainability of Your Pension Plan - A number of news media articles and academic papers have questioned the sustainability and cost of MOSERS and other public retirement plans. Academic fearmongers have ignored the reality of MOSERS. Come hear how MOSERS maintains a focus on prudent investment management and efficient plan administration to help preserve and advance the financial security of our members in a cost-efficient manner.

• MOSERS Communications - See how MOSERS makes information available to you. We’ll discuss the various communication methods, including the use of print, web, and social media. See a website demonstration that can help you find the information you need. Learn about important documents that are helpful in communicating your benefits and other useful information to your family and heirs.

Fall 2013 Dates*

FarmingtonSeptember10•9:30a.m.Farmington Civic Center Two Black Knight Dr.

SpringfieldOctober8•1:00p.m.

Lamplighter Inn & SuitesNorth Convention Center 2820 N. Glenstone Ave.

JoplinOctober9•9:30a.m.

Wildcat Glades Conservation & Audubon Center 201 W. Riviera Dr.

Richmond HeightsOctober3•1:00p.m.

The Heights 8001 Dale Ave.

KirksvilleNovember12•1:00p.m.Conservation Department

3500 S. Baltimore

How to Enroll in a Coffee Break Login to your secure Member Homepage on MOSERS’ website to enroll in a Coffee Break. After logging in, click on the Coffee Break link in the main menu under the Seminar Enrollment header. The enrollment program will guide you through the process. If you cannot enroll online or have questions about your Coffee Break enrollment, call Maggie at (800) 827-1063, extension 6194 or email her at maggier@mosers.org.

We hope to see you soon!

* Fall dates listed are current as of this newsletter going to print, but you should go online or call MOSERS to get the most up-to-date information and to make sure the date you want isn’t full.

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Retirement & You ■Central Region OpeningsRetiree Connection currently has two openings for interested MOSERS retirees living in the central region. The central region includes Benton, Boone, Callaway, Camden, Cole, Gasconade, Maries, Miller, Moniteau, Montgomery, Morgan, Osage, Pettis, and Pulaski counties.

Retiree Connection is a small group of retirees representing regions all across Missouri. This program, which began in 2005, allows MOSERS to touch base with retirees and has developed into a group of informed retirees who we can contact (or who can contact us) when rumors or concerns arise that affect MOSERS retirees. The group meets quarterly, in Jefferson City, to discuss issues of current interest. These Retiree Connection members host the post-retirement Coffee Breaks held in each region of the state throughout the year.

Want to learn more about the program before you volunteer? Information regarding Retiree Connection is posted on our website, under Retirees. There you will find an overview of the program, a list of current members, meeting agendas, and meeting summaries. In addition, there are two videos featuring current Retiree Connection members speaking about how they became involved and what the experience has meant for them.

If you are interested in joining the Retiree Connection, please complete the form in the Retiree Connection brochure by clicking on the link in the overview of the program, then email the completed form to loril@mosers.org or contact Lori at (800) 827-1063, ext. 6193.

Know someone else who might be interested? Encourage him or her to volunteer!

Valuable VideosRetirement InformationNow that you're retired, you may have questions about your MOSERS benefits. MOSERS' video library on our website is a quick and simple reference tool for you. These short clips are designed as a quick introduction, or refresher, to your MOSERS benefits. Because they are general in nature, they may not cover every specific situation. Topics currently in the Retiree Video Library include:

• MOSERS Rumor Central

• Federal Tax Deductions from Your MOSERS Benefit

• MOSERS Life Insurance Benefits

• MOSERS Cost-of-Living Adjustment for Retirees in the General Plan

• MOSERS Survivor Benefits

• MOSERS Defined Benefit Retirement Plan

Rumor Central The Truth About Your BenefitsAnother way to stay on top of rumors about retirement benefits is to subscribe to Rumor Central. Log into MOSERS’ website and change your email preferences under Personal Information to receive automatic updates by email when new information is published. Remember, you can also search for a particular topic to see if your question has already been addressed.

If you are hearing rumors about benefits other than retirement, life insurance or long-term disability, please contact that organization directly for information.

PO Box 209Jefferson City MO 65102-0209

PRSRT STDU.S. Postage

PAIDJefferson City, MO

Permit No. 327

RetireeNews Newsletter

■ Retirement & You

We Are Here for Your BenefitBenefit ServicesBenefit Services staff:

• Answerphonecalls,respondtoemails,andserveourmembers who come into our Jefferson City office.

• Processretirementapplicationsandverifyproofdocuments.

• WorkwithTheStandardInsuranceCompanyonlifeinsurance claims and long-term disability applications.

• Assisteligiblemembersintheprocessofpurchasingortransferring prior creditable service.

• Providememberswithretirementbenefitestimatesandcalculate COLA projections so members understand what options are available to them at retirement.

All benefit counselors are here for your benefit, no matter who you have spoken to in the past. They are all knowledgeable and have been through extensive training on your benefits.