FYB News

Protection on the Road

While you’re relaxing on vacation, identity thieves are hard at work. So follow these tips to protect yourself before and after you leave.

Before you leave

  • Avoid posting on social media. Announcing your vacation plans online or posting pictures while you’re away could be an open invitation for thieves.
  • Put mail and newspapers on hold. An overflowing mailbox and pile of papers on your doorstep signal that you’re not home.
  • Clean out your wallet. Remove anything you won’t need on your vacation—your checkbook, Social Security card or department store credit cards, for example—and leave them at home.
  • Protect your elections. Password-protect your smartphone and other devices—avoiding weak passwords like “password” or “1234”—and turn on any programs that can help you track your device if lost. If you have to bring your computer or tablet, make sure your anti-virus and anti-spyware programs are up to date.
  • Keep your luggage confidential. Don’t put your address on your luggage tag. Just include your name and number.

While you’re on the road

  • Avoid public Wi-Fi. The poor security makes it easier for identity thieves to access your personal and financial information.
  • Use bank ATMs. Thieves often put fake ATMs in tourist areas. Bank ATMs tend to be more secure because they are monitored more closely than stand-alone machines.
  • Use the hotel safe. Don’t leave valuables or personal information accessible when you’re not in the room.
  • Avoid pickpockets. Place your credit card, money or identification in a travel wallet worn inside your clothing or in an inside zippered pocket.
  • Shred travel receipts. Boarding passes, flight itineraries, rental car agreements and receipts may contain personal information that thieves can use to target you. Don’t throw them away in hotel or public trashcans.
  • Avoid phone scams. If someone—from your credit card company or the hotel front desk—calls to say there’s a problem with your credit card and ask for your card number, tell them you’ll call back in a moment. Call your credit card company using the number on your card or the front desk directly to make sure the call you received is legitimate.

For additional tips to protect yourself from identity theft—on the road or at home—visit the Workplace Options website (Company Code: automation).

Expert Help for Your Retirement Plan

Financial Engines recently mailed you a personalized analysis of how you’re saving and investing in the 401(k) plan.* If your evaluation indicates that you should make changes, consider letting a financial expert do the work for you.

When you sign up for Financial Engines’ Professional Management program, their financial experts will:

  • Send you a personalized plan that covers the Rockwell Automation Retirement Savings Plan and any other retirement assets you tell them about.
  • Work with Fidelity Investments to put your plan in action.
  • Monitor your account and rebalance as needed.
  • Provide advisor representatives you can talk to.
  • Send quarterly retirement updates.
Get Started

There are three easy ways to sign up:

  1. Return the orange reply form included with your evaluation,
  2. Call Fidelity Investments at 1.877.401.5762 and ask to be connected with Financial Engines, or
  3. Go to www.financialengines.com/forRA.

For details, see the information mailed to your home.

If you prefer to make the changes yourself, consider Online Advice, an easy-to-use, interactive online service that provides professional, personalized investment advice for managing your 401(k) Plan, available at no additional cost to you. For details, log in to your account at www.401k.com and click the Financial Engines link.

* You received an evaluation in the mail unless you are already enrolled in Financial Engines’ Professional Management program or have opted out of the mailings.

Did your Retirement Evaluation show your full retirement picture? Do you have other accounts that you will be using in retirement, such as a previous 401(k) plan, IRA or pension plan?

Connect your other pre-tax retirement accounts through Online Advice, or by calling an Investment Advisor Representative if you’re a Professional Management member, and Financial Engines will offer advice on those accounts and provide an updated retirement income forecast. To get started, log in to www.401k.com and click on the Financial Engines link.

Financial Engines® is a registered trademark of Financial Engines, Inc. Online Advice and Professional Management advisory services provided solely by Financial Engines Advisors L.L.C., a federally registered investment advisor and wholly owned subsidiary of Financial Engines, Inc. Financial Engines does not guarantee results and past performance is no guarantee of future results.

Published: May 9, 2014

Make the Most of Personalized Help From Financial Engines

Since 2012, Financial Engines has been providing retirement planning services to Rockwell Automation Retirement Savings Plan (also known as the 401(k) Plan) participants through Online Advice and Professional Management services. Financial Engines is an independent investment advice and management service provider. They do not sell investments or receive commissions; instead, their job is to serve the best interest of Rockwell Automation participants.

What You Need to Know

Online Advice is an easy‐to‐use, interactive, online service that provides professional, personalized investment advice for managing your 401(k) Plan. It’s a way to get expert recommendations for your retirement investments—without having to become an investment expert yourself. Whether you’re a seasoned investor or new to investing, here are some reasons to try Online Advice:

  • It’s available at no additional cost to you.
  • It’s easy: Your 401(k) Plan account data is already in the system, so you’ll see it when you visit the website. Plus, you’ll find powerful tools and expert recommendations to help you determine how much to save and how to invest to help increase your likelihood of reaching your retirement income goals.
  • It’s personalized: The advice you receive is personalized to you. It is based on your current account savings and investment elections. If you wish to add more information about your other accounts or add assets outside of the 401(k) Plan, you can do so and have that information considered in the advice you receive.
  • It can enhance the value of your 2014 Retirement Evaluation: As a Rockwell Automation plan participant, in May you’ll receive an annual Retirement Evaluation prepared by Financial Engines. This year, your Retirement Evaluation will be enhanced to include accounts or assets outside of the 401(k) Plan—but only if you tell Financial Engines. To make sure this information is included in your annual Retirement Evaluation, log on to Online Advice and add your outside accounts or assets.

To access Online Advice from Financial Engines, log in to www.401k.com and click on the Financial Engines link in the rotating message box on the right side of the page.

Make the Most of Your Upcoming Retirement Evaluation—Watch a Webinar to Learn More

Financial Engines provides webinars demonstrating how to add your outside accounts. View the session from earlier this year.

If You Have Questions

For technical support for Financial Engines’ Online Advice service tool, call your plan’s service provider, Fidelity Investments, at 1.877.401.5762.

Advisory services provided by Financial Engines Advisors L.L.C., a federally registered investment advisor and wholly owned subsidiary of Financial Engines, Inc. Financial Engines does not guarantee results, and past performance is no guarantee of future results. Financial Engines® and Retirement Help for Life® are registered trademarks or service marks of Financial Engines, Inc. All rights reserved. Used with permission.

Published: January 8, 2014

Using Your HSA for Retirement

You may already be planning ahead for retirement by contributing to the Rockwell Automation Retirement Savings Plan. But will that money be enough to cover your future medical bills? Once you reach age 65, Medicare helps, but it doesn’t pay for everything. And if you retire before age 65, you may have to pay the full cost of medical coverage until you qualify for Medicare.

Fortunately, a Health Savings Account (HSA) is a great way to save money on health care expenses today AND supplement your retirement savings tomorrow. The HSA, available to you if you are enrolled in the HSA medical option, is like a savings plan for your health care expenses.

How Your Account Grows

When you enroll in the HSA option, Rockwell Automation contributes to your account ($200 for individual coverage and $400 for family coverage). You can make pre-tax contributions* too, up to IRS limits.

You can use your HSA to pay for eligible expenses during the year. At the end of the year, any money left in your account automatically rolls over to the next year, potentially allowing your account to grow each year—and even earn interest!

The money is always yours to keep, even if you change medical plans, and you can take it with you if you leave the company or retire.

How You Can Use Your HSA at Retirement

During retirement, you can use money in your HSA to pay for expenses such as:

  • Medicare Part B and D premiums
  • Premiums for a Medicare HMO (but not a Medicare supplemental policy)
  • Deductibles, copays and coinsurance
  • Prescription drug expenses
  • Other medical expenses not covered by health insurance, such as dental care, eyeglasses, prescription sunglasses, contact lenses, hearing aids, medical home modifications and over-the counter medications for which you have a prescription

If you’re under age 65 and use your HSA funds for non-qualified expenses, you’ll pay a 20% tax penalty in addition to income taxes. Once you reach age 65, you can use the money for non-health care expenses without the additional tax penalty. For more information, read the HSA option Summary Plan Description or discuss with your financial planner. Learn more about the Health Savings Account.

*State income taxes apply in Alabama, California and New Jersey.

Published: September 19, 2013

New Investment Performance & Research Pages Are Now Available on Fidelity NetBenefits®

75% of workplace retirement savers say they’re comfortable going online for investment information.* And now, Fidelity NetBenefits® makes it easier than ever to find the data and perspective you need—whether you are checking in on your funds’ performance, doing a simple comparison of your plan options, or conducting an in-depth analysis.

New Investment Performance & Research pages: You will find a full listing of funds available in your plan, with annualized and cumulative returns, daily quotes, basic fees and restrictions. Availability of benchmark data, filtering and comparison capabilities—including details on your personal returns—make it easier to evaluate and monitor the investment options available to you.
Key information on all your plan investments:

  1. A new tab format that’s easier to navigate
  2. Benchmark data for quick evaluation
  3. Comprehensive screening with side-by-side comparisons

Personal performance details:

  1. View your personal rate of return as an annual average or for the total time period you’ve held the fund
  2. Cost basis and index (benchmark) comparisons for each fund
  3. New performance charts show trends in values and returns over your ownership period

Enhanced Investment Detail pages: Get in-depth information on every investment available through your plan. We’ve brought key data to the forefront—including fund facts and highly intuitive, easy-to-understand charts and graphs.

The ins and outs of your investment options:

  1. Intuitive graphics translate complex data into information you can use
  2. Objective, third-party information for Fidelity and non-Fidelity funds

*EBRI Retirement Confidence Survey, 2012.

Keep in mind that investing involves risk. The value of your investment will fluctuate over time and you may gain or lose money.

Published: July 2013

A Taxing Question: What Are the Different 401(k) Contribution Types?

Rockwell Automation provides several ways to save in the 401(k) plan. You can choose to make before-tax contributions, regular after-tax contributions or Roth after-tax contributions. All three options allow you to receive matching contributions from Rockwell Automation. The key differences are in how the contribution types are treated for tax purposes, today and at retirement.

What Happens When You Contribute What Happens During Your Working Years What Happens When You Leave or Retire
Before-Tax Savings Your taxable income is reduced by the amount you contribute. Taxes are deferred on any investment earnings. Generally, you pay taxes on your distribution (both contributions and earnings).
After-Tax Savings Your taxable income is not reduced. Taxes are deferred on any investment earnings. Generally, you pay taxes on investment earnings only, not your contributions.
Roth After-Tax Savings Your taxable income is not reduced. Taxes are deferred on any investment earnings. Generally, you don’t pay taxes on your distribution (including contributions and earnings).*

* You must have first made Roth contributions under the 401(k) plan at least five years prior to the date you take a distribution and be over 59½ (or be disabled or deceased) for earnings to be distributed tax-free.

How to Choose?

To decide which contribution type is right for you, consider your current and future income tax rates. If you contribute to the 401(k) plan, you will pay taxes on the money in your account at some point. Your goal is to pay those taxes when your tax rate (i.e., tax bracket) will be lower—either now or in the future when you withdraw your money. (Important: Everyone’s situation is different, and this is not personal tax advice. For that, it’s best to talk with an attorney or tax professional to determine what’s right for you.)

You can also get help examining different savings scenarios from the professionals at Financial Engines. They offer objective, unbiased retirement help for your 401(k) plan. To get started, call Fidelity (1.877.765.4015) and ask to speak with Financial Engines, or visit www.financialengines.com/forRA/help.

Mix It Up

You don’t have to choose just one—you can split your contributions among different types. (Just be sure to contribute at least 7% of pay to receive the maximum company match!)

For more information on the contribution types, or to change your contributions, visit www.401k.com.

Important: The tax information contained herein is general in nature, is provided for informational purposes only and should not be construed as legal or tax advice. Rockwell Automation does not provide legal or tax advice and cannot guarantee that such information is accurate, complete or timely. Laws of a particular state or laws that may be applicable to a particular situation may have an impact on the applicability, accuracy or completeness of such information. Federal and state laws and regulations are complex and are subject to change. Changes in such laws and regulations may have a material impact on pre- and/or after-tax investment results. Rockwell Automation makes no warranties with regard to such information or results obtained by its use and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information. Always consult an attorney or tax professional regarding your specific legal or tax situation.

Financial Engines® is a registered trademark of Financial Engines, Inc. Online Advice and Professional Management provided solely through Financial Engines Advisors L.L.C., a federally registered investment advisor and wholly owned subsidiary of Financial Engines, Inc. Financial Engines does not guarantee future results.

Published: February 2013