Help with your retirement planning
Count on Scarborough for advice and service in managing your retirement account. Using our retirement planning specialists and asset allocation services, you can choose a combination of investment options based on your individual situation, risk tolerance, investment experience, current assets and time frame. Click here to create a sample

		Broker IRA		Scarborough Plan
	Lower fees	Can have upfront sales charges as high as 5.75% or withdrawal charges that can last up to 6 years		No commissions, withdrawal or sales charges; 100% of your money is invested and 100% of your account is available at any time 1
	Annual Expenses	Can be as high as 3%		1.30% 2
	Fixed Income	Usually a bond or money market fund		A Stable Value Fund that provides the higher yield of a bond fund with the reduced risk of a money market fund and a guarantee of principal for all benefit withdrawals
	Loans	Not available		Loans are available; allows withdrawal without IRS penalty
	Retire at age 55	Must be 59-1/2 to take withdrawals with no IRS restrictions or 10% penalty on withdrawals		Retire at age 55 or older with no IRS restrictions or penalties on withdrawals

Your choice of investments
Scarborough has carefully selected eleven core funds from which you can choose. We also offer a self-directed account with thousands of other investment options. The Plan offers investment choices for different types of investors, with objectives ranging from conservative to aggressive. The funds have been chosen to provide investment objectives that include growth, income and capital preservation. We have created five custom portfolios that you can choose from or you can freely choose from all of the funds available in the Plan and transfer between them at any time at no cost.*

Stable Value Fund
Scarborough offers the benefit of a Stable Value Fund that provides the higher yield of a bond fund with the reduced risk of a money market fund, combining the advantages of both. A Stable Value Fund seeks to preserve your principal investment and generate a stable rate of return making it an ideal choice for a retirement account. Most broker IRA accounts retirement accounts offer fixed income products that either include a money market fund, which usually doesn't provide a substantial return on your investments, or a bond fund, which can be volatile and fluctuate in value.

Advantages over an IRA
Scarborough has several unique and valuable advantages over a broker-offered IRA - advantages that translate into better options and more flexibility for IBEW members. They are:

Lower Fees
We choose only 100% no-load investments, which means you'll never pay a sales charge or withdrawal fee**. Annual fees for managing your investments and administering your plan are more than 40% lower than the typical broker IRA. Plus, through our alliance with The Vanguard Group, Inc., we can provide you with even lower fees than the already low Investor shares through Vanguard's Admiral and Signal Shares™ mutual funds.

Flexible withdrawals and distributions
100% of your money is available to you at all times (unlike many broker IRAs or other retirement accounts that have withdrawal and surrender charges). The Plan offers you a variety of different withdrawal options, including full, partial or monthly distributions. (Distributions made before normal retirement age may be subject to IRS restrictions or penalties.)

Retire at age 55
If you retire at age 55 or over, you can withdraw your money from the Plan with no IRS restrictions or penalties. This feature is not available in a broker IRA, in which you must be 59-1/2 before you can withdraw money without penalty or restrictions.

If you retire before age 55
If you retire before age 55 and want a withdrawal, the IRS requires that you take substantial equal periodic payments (SEPP) whose annual amounts cannot be changed without penalty for 5 years, or until you reach age 59-1/2, whichever is longer.

Pay no taxes when you transfer money
You don't pay federal or state taxes when you transfer your money from an employer's pension, 401(k) or ESOP plan to the Local Unions Savings and Security Plan. You can also transfer money tax-free to Scarborough from IRAs or qualified plans at other financial institutions. All earnings, income and interest you receive from your investments in the plan are tax-deferred. You pay no taxes until you withdraw money from your account.

Borrow from your Plan
If you ever need to borrow money for any reason, you can take a loan from your Plan account, without IRS penalty. This valuable feature is not available in Broker IRAs.

Access your account day or night
You can check your account around the clock, using our toll-free automated system (866) 353-4015, or by visiting this website and clicking on the "My Account" button on any page.