Securian 401(K): Complete Guide & Review (2024)

Securian 401(k) plans are typical in employer benefit programs, as well as life insurance and other financial products. The plans can be a great way to save for retirement and make long-term investments, but the features can sometimes be challenging to understand.

Therefore, we’ve provided some basic information you need to start taking advantage of your 401(k). Read more below about Securian 401(k) plans, how much you can contribute, how you can withdraw money, and more.

Enter your ZIP code into our free quote comparison tool above to compare financial products, such as Securian 401(k)s or life insurance.

What is a 401(k) plan?

A 401(k) plan is a retirement savings account that allows employees to set aside a portion of their paycheck for long-term investments. Some employers will also match contributions up to a certain amount.

According to IRS guidelines, there are two different kinds of qualified retirement plans that are eligible for tax benefits—defined contribution plans and defined benefit plans. A 401(k) is a defined contribution plan. Therefore, the available balance in a 401(k) account is determined by the amount contributed to the plan and the performance of investments.

The employee must contribute to the 401(k), but earnings from investments are not taxed until the funds are withdrawn.

Read more: Securian Retirement Plans: Complete Guide & Review

What makes Securian 401(k) plans different?

Businesses can choose to work with Securian to provide retirement plans to their employees regardless of their size. However, Securian does specialize in plans with up to $200 million in assets.

Securian strives to put its clients first. For example, revenue sharing is credited to accounts every day to create equity in assessing plan costs. In addition, foreign tax credits are credited back to the accounts that generated them to lower expenses and increase performance. Finally, Securian uses the most efficient share class to help lower costs and get better returns.

Securian’s retirement plans have investments that operate in an open architecture platform, along with its Securian Signature Series programs. The open architecture program has more than 6,000 investment options that include:

• Mutual funds (both actively and passively managed)
• Collective investment trusts (including stable value funds and nonproprietary target-date/target-risk funds)
• Variable insurance trusts (including strategies with managed risk and volatility)
• Institutional separate accounts

If a plan is a Securian Signature Series program, investments are chosen by the Securian Due Diligence Committee.

Securian also provides plan management for employers. Services such as fiduciary support, loan processing, terminated participant tracking, and required notices management are included at no additional cost. As a result, employers don’t have to worry about the administrative duties of providing retirement plans for employees.

How much can I contribute to my 401(k)?

The maximum amount that employees can contribute to their 401(k) plan in 2022 is $20,500. However, people over 50 can make additional catch-up contributions of up to $6,500 in 2022. As a result, the maximum joint contribution that combines employee and employer contributions is $61,000 (or $67,500 for people over 50) in 2022.

Highly compensated employees (HCEs) may be prohibited from making the maximum contribution, even if they can afford to do so. Employers must compare contributions made by HCEs to the average contribution made by non-HCEs so that HCEs are not saving unfairly compared to other employees.

How do I withdraw money from my 401(k)?

The Securian 401(k) terms and conditions of withdrawal will differ based on the timing of your withdrawals. If you withdraw money from your 401(k) before age 59 1/2, you will typically face a 10% tax penalty on top of the taxes that are already due on your plan.

To withdraw money from a 401(k) early, you must have experienced a triggering event. Triggering events include retiring or leaving a job, dying or becoming disabled, reaching age 59 1/2, experiencing a specific hardship, or having the plan terminated.

Once you reach age 72, you must begin receiving required minimum distributions (RMDs) unless the company still employs you. Your 401(k) income will be taxed as ordinary income.

If you have decided to withdraw money from your Securian 401(k), you can access your plan information using your Securian 401(k) login and finding the Securian 401(k) withdrawal form. If you cannot submit this form online, you may call the Securian 401(k) phone number at (800) 233-2881.

How is Securian rated?

Securian has an A+ rating from A.M. Best, meaning it has a superior ability to meet its financial obligations. In addition, Securian has an AA- rating from Standard & Poor’s, which indicates a solid financial condition.

Only a few Securian 401(k) reviews from customers are available online. Unfortunately, many of them cite problems with customer service, such as having to make multiple phone calls to get answers and disorganization in finding solutions.

With that being said, Securian has an NAIC complaint index of 0.16, which indicates that they get significantly fewer complaints than companies of a similar size in the insurance industry.

Finally, Securian has an A+ rating from the BBB.

Should I buy a Securian 401(k)?

Securian Financial provides various financial products, including life insurance, annuities, retirement plans, and more. In addition, the company makes it easy to get your finances for future needs.

Securian also has an official record of providing good customer service, although this may vary based on specific locations or customer service representatives. Unfortunately, customers also have trouble getting the information they need in some cases.

Overall, Securian is an excellent financial institution, but you should make sure to research your options carefully before making any decisions. If you’re interested in Securian 401(k) plans or other financial products, enter your ZIP code into our free quote comparison tool below.