MTHA Backstretch Pension Program Upgraded With Modern Services

The Maryland Backstretch Pension Plan, which this year achieved more than 300 participants at the close of signups June 1, is ready to launch a new structure that will provide more options for those enrolled in the plan.

The Maryland Thoroughbred Horsemen’s Association Board of Directors earlier this year approved a proposal to allow an online platform for a “self-directed” plan whereby individual account holders can monitor and place their money into various funds similar to other modern pension plans or 401Ks. Members will also be able to make withdrawals far more easily, and at any time, as long as they qualify. Previously, withdrawals had to occur during predefined periods throughout the year. 

Under the plan, which will employ a John Hancock app, participant balance will be invested in a “default investment option” that will use select financial funds based on age. Members, however, will have the option to return at any time from the John Hancock app to modify their investment funds.

Each person’s account will also allow them to view account details such as balance, rate of return, and the status of individual investment funds.

To introduce the revised program, the MTHA has scheduled Zoom meeting for Tuesday, Oct. 22, at 12 p.m.

Here is the link:

‍https://manulife-johnhancock.zoom.us/j/81214527517.

The passcode is 532408.

The webinar will include information on how to register through the plan’s website, by using the John Hancock app, or by one-on-one personal enrollment with a specialist by telephone or in the MTHA office. The webinar will also include information on the various services offered and the various funds that will be available for investment purposes.

The Oct. 22 online meeting will provide a great opportunity for MTHA plan participants to ask questions about the new system and the changes to the existing pension plan structure.

Please note the webinar is for those who already are enrolled in the MTHA Backstretch Pension Plan. The MTHA will continue to have its customary annual online two-month signup period each spring.

The MTHA Board of Directors again this year authorized $1 million for Plan Year 2023-24, and it was approved by the Maryland Racing Commission. The plan is available to trainers, assistant trainers and backstretch workers, which includes grooms, exercise riders, hot walkers, pony persons and stable foremen who meet various criteria.

The MTHA reviews the annual contribution each year. The pension fund is derived from money deducted annually from the Thoroughbred Purse Account. In 2020, the MTHA shifted to online signups given COVID-19 restrictions and will continue to do so in 2025.

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