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By Scott Culver
Communications Specialist
WEA Trust
March 2005
Public school employees in Wisconsin are fortunate when it comes to their 403(b) retirement savings option, says Dan Otter, a leading 403(b) authority and teacher in Washington, D.C. According to Otter, WEAC is the only teachers union in the nation to set up a 403(b) for its members.
“I’m completely impressed by what you are doing here,” said Otter, referring to the WEA Trust Tax Sheltered Annuity program. “This program has all the components we advocate for: education, low fees, quality investment options.”
A personal experience
Otter became interested in the 403(b) shortly after accepting his first
teaching job in California in 1993. He recalls how an uninvited 403(b)
sales rep showed up in his classroom with a plan to sell. Being solicited
in his classroom was bad enough, but the unwanted sales call coupled
with his employer’s disturbing lack of information regarding retirement
plan options spurred Otter into action.
He wanted to find out as much as he could about the 403(b) to make an educated choice. Accessing information, however, was a bigger challenge than he expected.
“I remember searching the Internet using Yahoo, and the results were either about insurance company products or information about the year 403 B.C.,” he said.
Through the years, Otter crossed paths with others who were equally dismayed by the lack of information, fed up with poor plan choices, and appalled by the prevalence of sales reps setting up shop in the teachers’ lounge. The sharing of stories and concerns grew into a movement, of sorts, advocating for improved 403(b) plans, access to unbiased information, and ultimately financial security for public employees.
In 1999, Otter and fellow teacher John Moore launched 403bwise.com, a Web site dedicated to educating teachers and other employees of nonprofit organizations about the 403(b). The Web site contains everything you need to become wise about 403(b) plans, and it is written in a manner that is easy to understand and entertaining.
The site includes a beginners’ area, 403(b) FAQs, and an area called Wise Moves, which provides information about how to start a 403(b), the impact of fees, how to lobby your employer for better choices, and a discussion board.
In the spirit of true advocacy, Otter engages in other activities to advance the cause, including writing books and articles, lecturing, and consulting. His new book, titled “Teach and Retire Rich,” is scheduled for release this month. In addition, he’s launched YourPlan.info, a customized Web site/portal developed for school districts. It allows districts to display basic 403(b) information along with specifics about their district’s plan, including forms and vendor lists.
A parting message
When asked if there was one message he wanted Wisconsin public school
employees to get, Otter responded: “Start saving now, pay attention
to fees, pay attention to the company, properly allocate, increase your
contributions regularly and take a strong look at what the WEA Trust
TSA program is offering. After Brett Favre, WEA Trust is the best thing
in Wisconsin.”
Posted March 1, 2005