Benefits 101: Who Gets Your Money?
October 3rd, 2022
While thinking about what happens to your assets in the event of your death may seem a little scary (and not at the top of your mind) it’s essential to have a plan! One important decision to make now to be proactive for the future, is choosing a beneficiary(s) for your benefits. Your Life Insurance, 401(k) and HSA all require a beneficiary to ensure the security of your money. We are breaking down what you need to know about beneficiaries, so you can make wise decisions about your future.
Beneficiary Basics
What is a beneficiary?
A beneficiary is the person who will receive the cash benefit of the policy or account in the event of your death. For your 401(k), life and AD&D insurance, (if applicable) and HSA, you will be asked to name at least one beneficiary.
Why is it so important?
Did you know that 39% of ZOLL employees do not have a named beneficiary? By not naming a beneficiary, your money may not end up where you want it to go. Additionally, without designated beneficiaries, your assets will have to go through probate, which eats up time and money during an already very emotional time. Even if you have a will, beneficiary designations supersede your will.
How does it work?
If you select more than one beneficiary, you will designate the percentage of the money each person will receive. If you are married, your spouse will be the primary beneficiary for your 401(k), unless your spouse consents to another person being named as your primary beneficiary. You may update your beneficiaries any time and should make it a habit to review your beneficiaries at least once per year to verify that their information is correct.
Name Your Beneficiary
You may designate or update your beneficiary anytime during the year in the following systems:
Click to learn more about beneficiaries and get your questions answered.
Make Money Talk a Family Affair
As you learn more about finances, take time to teach your children the importance of things like beneficiaries and having a plan for the future. ZOLL provides a variety of resources through Fidelity and the Cigna EAP, including monthly webinars.
Raising Money Savvy Kids
Join the Cigna EAP on October 5 at 2:00 p.m. ET to learn strategies to help your children become adults who are responsible with money. This class helps you understand whether your child is naturally a spender, a saver, or somewhere in between. You’ll be able to take the wide range of tools and guidelines for teaching children valuable money concepts and making money a regular conversation. Register at www.Cigna.com/EAPWebcasts.