Savings & Security

Financial wellbeing is fundamental to long-term stability. First Lantern offers several programs that help Lanterns protect their income, save for the future, and build financial resilience. These benefits are designed to serve diverse organizations—from multigroup environments to public agencies to corporate teams.

Retirement Savings

First Lantern provides retirement programs that help Lanterns save steadily throughout their careers. Depending on your organization, you may participate in a defined contribution plan, a defined benefit plan, or both.

Defined Contribution Plans (401(k)/403(b)/457(b))

These plans allow Lanterns to contribute a portion of their pay on a pre-tax or Roth (after-tax) basis.

Eligibility

Lanterns are eligible to participate in the retirement plan beginning the first of the month following 60 days of employment.

Company Match

First Lantern matches 100% of the first 4% of eligible pay that Lanterns contribute to the plan, helping Lanterns grow their retirement savings faster.

Flexible Contributions

Lanterns may increase, decrease, or pause contributions at any time, subject to plan guidelines and IRS contribution limits.

Traditional & Roth Options

Lanterns may choose:

  • Traditional pre-tax contributions
  • Roth after-tax contributions
  • Or a combination of both

Automatic Enrollment

Eligible Lanterns are automatically enrolled at a 4% contribution rate unless they elect otherwise.

Investment Options

Choose from a broad range of investment options, including:

  • Diversified mutual funds
  • Target-date retirement funds
  • Conservative and growth-focused portfolios

Target-date funds are designed to automatically adjust investment risk as Lanterns approach retirement age.

Portability

Retirement accounts remain with Lanterns even if they transition to another role or leave the organization, subject to plan rules and distribution requirements.

Financial Wellness Support

Lanterns have access to retirement planning tools, educational resources, and investment guidance to help support long-term financial goals.

Annual Contribution Limits

IRS contribution limits may change annually. Lanterns should refer to the plan administrator for current annual maximum contribution amounts.

Defined Benefit / Pension Plans

Some Lanterns may participate in pension plans that provide a guaranteed monthly retirement benefit.

Pension Plan Features

Benefits may be based on:

  • Years of service.
  • Compensation history
  • Contributions from participating groups
  • Plan-specific benefit formulas

Depending on plan design, pension plans may also include:

  • Early retirement options
  • Survivor benefits
  • Cost-of-living adjustments (COLA)

Employees participating in a pension plan will receive additional details specific to their program eligibility and benefit structure.

Health Savings Accounts (HSA)

If enrolled in a qualified medical plan, Lanterns may open an HSA to set aside pre tax dollars for eligible medical expenses.

Key Features:

  • Money goes in tax-free, grows tax-free, and can be used tax-free for qualified healthcare costs.
  • Funds never expire—you keep your balance year to year, even if you change organizations or retire.
  • Many Lanterns use their HSA as a long-term investment vehicle to save for healthcare in retirement.

Flexible Spending Accounts (FSA)

FSAs help Lanterns set aside pre-tax money for healthcare or dependent care needs.

Health Care FSA

Covers eligible expenses such as office visits, prescriptions, dental work, glasses, and contact lenses.

Dependent Care FSA

Supports costs such as childcare, eldercare, after-school care, and day camps. FSAs are governed by annual limits, and unused funds may not carry forward depending on your plan’s rules.

Income Protection Benefits

Life Insurance

Life insurance helps protect your household financially if something unexpected happens.

Coverage typically includes:

  • Basic life insurance, provided at no cost
  • Optional supplemental coverage for Lanterns or their household members
  • Accidental Death & Dismemberment (AD\\&D) benefits

Disability Benefits

If you’re unable to work due to illness or injury, disability benefits help replace a portion of your income.

  • Short-term disability typically covers several weeks or months of income.
  • Long-term disability provides extended coverage for serious or long duration conditions.
  • Many plans include rehabilitation or return-to-work support.