Savers
Program details
Setting up an account is easy, and you can decide how much to save
Save through your employer
If your employer participates in the Maine Retirement Investment Trust (MERIT), you can choose to:
Do nothing
Your employer will add you to the program. If you choose to do nothing, after 30 days you will be enrolled automatically with the default savings and investment options. The default savings rate is 5% of your gross pay, and that amount is deducted from your paycheck after taxes have been taken out.
Customize your account
You can choose to customize your contribution amounts, investment options, and beneficiaries. Once enrolled, you’ll start saving a percentage of your paycheck automatically in your own retirement savings account — a Roth IRA.
Save on your own
If you’re self-employed or don’t work for an employer registered with MERIT, you can contribute directly to your own Roth IRA account. It’s easy and takes only a few minutes to get started:
Create an account
You’ll just need your Social Security number, date of birth, and residential address.
Customize your savings choices
Set up automatic contributions from your bank account to your MERIT account, or choose the initial minimum contribution and select your investment options. Learn more about contribution limits.
Prefer to opt out?
Participation in MERIT is completely voluntary. You can opt out or re-enroll in the program whenever you’re ready.
What to expect when you’re enrolled
If you were added by your employer and chose not to make changes to your account, after the 30-day opt out period you’ll be automatically enrolled with the default savings and investment elections:
5%
Contribution rate
After taxes have been taken out, 5% of your gross income earned with your facilitating employer will be contributed to your account.
First
30
days
When you enroll, your funds will be invested in our Capital Preservation option until 30 days have passed after your initial contribution. This option offers very low levels of risk and helps protect funds from fluctuations in value.
After
30
days
After 30 days, your funds will be exchanged automatically to a default Target Retirement Date option based on the expected year of your retirement at age 65.
Program eligibility
You’re eligible for an account if:
You are at least 18 years old
You have earned taxable wages from a Maine employer
Deciding what to save
How much to save is your choice. You’ll have the flexibility to choose the savings rate and investment options that feel most comfortable to you. Need help? You can find a number of resources and tools designed to help you determine what investments are right for you.
Your ideal savings rate
Use our retirement calculator to experiment with different savings rates to see what fits your budget.
What is a Roth IRA?
A Roth IRA is a type of retirement account that you fund with your after-tax wages, a percentage of which are deposited into your Roth IRA. Your Roth IRA earns money based on your investment choices, and those earnings are automatically added to your contributions. When you retire and start taking money out of your Roth IRA (like you’re paying yourself), there are no taxes. In other words, all the earnings in your account over the years are tax-free. And that’s a big deal. For more details on Roth IRAs you can visit the Internal Revenue Service (IRS) website.
Can I save less than 5% or opt out?
Yes, anytime! If trying a lower savings rate doesn’t work for you, you can opt out of participating in MERIT online, by phone, or mailing in this form. If you opt out before the end of the 30-day notification period, no payroll deductions will be made on your behalf and your account will not be activated. If you opt out after 30 days, your employer will be notified to stop your payroll deductions, and any deductions that may have been made can be withdrawn. You can always rejoin the program and begin contributing to your account at any time by accessing your account online or by contacting our Client Service Team.
See how your contributions can add up
Discover how your contributions to a MERIT account can add up over time and help you save for your future.
What does the program cost me?
MERIT has an annual asset-based fee of approximately 0.32%. This means you will pay approximately $0.32 for every $100 in your account. There is also a $22 annual account fee (that is charged quarterly at $5.50 each quarter). These fees pay for the administration of the program and the operating expenses charged by the underlying investment funds in which the program’s portfolios are invested.
How to customize your account
Once you have set up your MERIT account, you’ll have the power to:
Change your contribution rate
Change your investment choices
Designate beneficiaries (who will inherit your IRA in the event of your passing)
Manage your personal information
Make withdrawals
Have questions?
We have answers in our FAQs.
Find details on how to use your account and other information about the program in our FAQ section.