{"id":322249,"date":"2024-10-30T09:26:17","date_gmt":"2024-10-30T13:26:17","guid":{"rendered":"https:\/\/lgcassociates.com\/?p=322249"},"modified":"2024-10-30T09:26:17","modified_gmt":"2024-10-30T13:26:17","slug":"save-for-retirement-with-lgc-esop","status":"publish","type":"post","link":"https:\/\/lgcassociates.com\/es\/save-for-retirement-with-lgc-esop\/","title":{"rendered":"How to Save for Retirement with LGC: An Interview with Shawnda Trout"},"content":{"rendered":"

Two years ago, LGC took a powerful step in transforming our company culture. In 2022, CEO George Lessmeister and co-founder Glen Greenawalt launched the Employee Stock Ownership Plan (ESOP) as a meaningful new benefit for LGC\u2019s employees. They recognized a key opportunity to improve employee retention, loyalty, and motivation by fostering a true sense of ownership across the company.\u00a0<\/span><\/p>\n

Designed to address challenges in an industry known for high turnover, the ESOP was introduced just <\/span>before LGC\u2019s 20th anniversary<\/span><\/a> as a way to strengthen our team\u2019s commitment to our mission.<\/span><\/p>\n

Reflecting on the ESOP, CEO George Lessmeister noted:<\/span><\/p>\n

\u201cWe continue to hear stories from business owners who are struggling with culture and a desire to empower their employees to feel like owners. As my co-founder Glen and I continued to talk about this challenge, we decided to motivate our employees by giving them a percentage of ownership.\u201d<\/span><\/i><\/p><\/blockquote>\n

This month, we\u2019re revisiting the ESOP program, gaining insights from our \u201cCoffee Break\u201d discussions, and underscoring the value of preparing for retirement. In this interview, Corporate Controller Shawnda Trout shares more on the ESOP program, its benefits, and why starting early with retirement savings can make a difference.<\/span><\/p>\n

\"ESOP<\/p>\n

Q: What is the ESOP and how does it work?<\/b><\/h4>\n

The ESOP is a retirement benefit we offer at LGC where you don\u2019t have to contribute any of your own funds to the program. What makes it unique is that by simply coming to work everyday and doing your job, you can participate in the plan.\u00a0<\/span><\/i><\/p>\n

Q: Who is eligible for the program?<\/b><\/h4>\n

All employees are eligible for the ESOP program. Our internal employees as well as our temporary employees are eligible as long as they work the 1000 hours and stay employed past the 12 month mark. So, we feel that\u2019s a unique opportunity for temporary employees to be a part of something bigger than simply working their shift.<\/span><\/i><\/p>\n

Q: How is the ESOP different from a 401K?<\/b><\/h4>\n

With a 401K, you would be contributing your own money and typically employers match those funds to a certain degree whether it\u2019s 25%, 50% or dollar for dollar but you\u2019re contributing your own funds.\u00a0 <\/span><\/i>One of the key differences is that those funds or the account that they\u2019re building up in that 401K is invested in companies outside of the company you\u2019re working for. Whether it\u2019s the stock market or mutual funds, that money is put into other investments; whereas with the ESOP, the funds are invested directly into LGC. You are earning ownership shares in LGC , so the work you do everyday is affecting how those funds grow.\u00a0<\/span><\/i><\/p>\n

Q: Why is it important to start saving for retirement as soon as possible?<\/b><\/h4>\n

It’s always better to start early. The earlier you start, the more time you’re giving your investments to grow and gain. Even if it’s a small amount, always start early.\u00a0<\/span><\/i><\/p>\n

\"retirement\"<\/p>\n

Q: Why do you think offering the ability to save for retirement is important to the culture of LGC?<\/b><\/h4>\n

Glen and George have always been big advocates of the American Dream, starting from the bottom, working your way up and becoming successful. I think that\u2019s one reason they decided to offer this perk to our employees because they want everyone to feel a part of the LGC family and a part of what this company has grown to be in the past 20 years. I think the more that people feel they can play a part in the success of LGC and see that play out in their personal wealth as they grow and reach retirement age, I think that\u2019s a great benefit that a lot of other companies don\u2019t offer.\u00a0<\/span><\/i><\/p>\n

Q: Do you have any general tips for saving money?<\/b><\/i><\/h4>\n