1. society
2. work
3. retirement

The Measure of Success
Mutual of America 2014 Annual Report
“I don’t
stay awake
at night
worrying.”
“My company’s
“Participation has
retirement plan
is going to help
me retire early.”
gone through
the roof.”
Table of Contents
2
Letter from the Chairman of the Board and Chief Executive Officer
5The Measure of Success
6Collaboration: Mosaic Rehabilitative Services
10Integration: Envision, Inc.
14Opportunity: VNA Care Network
18Participation: The Mutual of America Community
22 Boards of Directors
25 Financial and Corporate Information
mutual of america 2014 annual report
Independent ratings 1
A.M. Best (as of February 2015) A+ (Superior)
Standard & Poor’s® (as of November 2014) AA- (very strong)
Fitch (as of November 2014) AA- (very strong)
2014 selected financial Data
December 31 ($ in millions)
20142013
Premiums
Net Income Percentage
change
1,964.11,772.1 10.8%
63.1 49.128.5
General Account Assets 8,218.68,155.4
0.8
Separate Account Assets 9,579.48,515.0 12.5
17,798.016,670.4
6.8
Total Surplus (including Asset Valuation Reserve) 1,080.2 1,023.8
5.5
Total Assets Surplus Ratio* 13.1% 12.6%
* Total Surplus as a percentage of General Account Assets
Mutual Of America annual report
1
Letter from Thomas J. Moran
Chairman of the Board
and Chief Executive Officer
2
Mutual of America annual report
Mutual of America’s combination of asset quality, strong capitalization
and asset/liability matching has earned us financial strength ratings
that are among the highest in the life insurance industry, as affirmed
by the major independent rating agencies.2
Over the last decade, and particularly since the financial
Another significant challenge to achieving retirement
crisis of 2007–2008, we have witnessed a shift in the
readiness is inertia — the tendency for individuals to
perception of retirement plan success. Until recently,
delay enrolling in their retirement plan or, once enrolled,
participation and deferral rates were seen as the best
to remain at their initial deferral rate or allocation
measures of a successful retirement plan. Today, while
model that does not reflect their changing needs.
these measures of success remain critical, employees’
retirement readiness — the percentage of those on track
Employers can be part of the solution. The
to retire with sufficient lifetime income — is paramount.
Pension Protection Act of 2006, by endorsing the
best savings plan design elements — namely, auto-
Plan sponsors worry their plans are not as effective
enrollment, automatic deferral escalation and qualified
as they could be in helping their employees achieve
default investments — expanded the potential for
retirement readiness. That concern is well founded
retirement plan sponsors to help workers pursue
because retirement readiness is not easily achieved.
successful retirement outcomes. These basic structural
Though the economy showed signs of improvement in
elements raise participation, deferrals and the
2014, stagnant wages, soaring college costs, mortgage
likelihood of retirement readiness. By automating
woes left over from the housing bust and high levels
and streamlining the enrollment process, increasing
of consumer debt continue to burden individuals and
awareness of the benefits offered and encouraging
families. A sizeable percentage of workers responding
employees to participate at every opportunity, plan
to a 2014 Employee Benefit Research Institute survey
sponsors can help lead employees to make positive
reported they have virtually no retirement savings; 53%
retirement plan choices to achieve financial security
cited meeting day-to-day expenses as the main reason
in retirement.
3
they don’t contribute more to their retirement plans.
Mutual Of America annual report
3
Employees tend to wait too long to start saving
Assumes a $100 monthly contribution
n Start now n Wait 5 years
$100,954
$69,646
$46,435
$16,470
$7,012
Value in 10 years
$28,227
Value in 20 years
Value in 30 years
The illustration assumes a tax-deferred investment with a hypothetical average
annual rate of return of 6% compounded monthly. This is not a prediction of any
type of investment, is not representative of any investment strategy and is provided
for illustrative purposes only. Investment returns are not guaranteed, and your actual
return may vary significantly. Note: Under Mutual of America’s Separate Account
investment funds, participants benefit from gains and bear the risk of losses when
the market fluctuates.
Mutual of America embraces best practices for
Roughly 10,000 Baby Boomers will turn 65 today, and
enhancing and securing employees’ retirement
approximately 10,000 more will follow every day for
outcomes. We offer plan sponsors the necessary tools
the next 19 years.4 Many worry about their ability to
and support to help their employees reach their financial
retire in relative security or, in some cases, retire at
goals, including automatic enrollment and deferral
all. In their wake are individuals in their 20s and 30s,
escalation features and prudent, carefully selected and
sometimes referred to as the “boomer echo,” who face
monitored qualified default investment alternatives.
a challenging present and an uncertain future.
In addition, and perhaps most importantly, employers
The need for action has never been greater. As a
have the ongoing support of our Regional Office
company, our responsibility is to ensure our continued
representatives to help administer their plans and
financial strength for the benefit of our customers and
educate their employees. Dedicated to service, our
provide plan sponsors with the support they need.
representatives understand not only the specifics
We enjoin our clients to work with us in helping their
of every plan and its administrative and regulatory
employees achieve a secure retirement.
requirements, but the goals of their client organizations
and employees. Plan sponsors often assume they
cannot afford to make automatic plan features and
the accompanying employer match available to their
employees. But our salaried representatives can
suggest plan design modifications that are not only cost
Thomas J. Moran
effective in the short term, but can lead to long-term
Chairman of the Board and
advantages for an organization.
Chief Executive Officer
4
Mutual of America annual report
The measure of success
How do you build a successful
organization while helping employees
achieve retirement readiness?
• Automatic enrollment with automatic deferral increases
• A diverse array of prudent, carefully selected investment funds
• One-on-one employee education
Mutual Of America annual report
5
Without automatic
enrollment, I
would never have
started saving.
Oli v ia H ub b e l
Mosaic Rehabilitative Services Employee
6
Mutual of America annual report
100%
collaboration
Mutual Of America annual report
7
“As a healthcare provider,
we’re operating with
super-slim profit margins
in a hugely competitive
market. I wanted to better
support our employees
in a way that’s financially
smart for us.
The Seattle Regional Office showed us how
to make auto enrollment and auto deferral
increases affordable. The result? Participation
has gone through the roof, and the plan has been
key in recruiting.
Seventy-five percent of our staff is under 40.
Many are new graduates, and they’re not thinking
about retirement. With auto enrollment, they
don’t have to. With automatic deferral increases,
they’ll save more — again, without thinking about
it. And I love the retirement planning provided
by the target-date funds — pick one based on
your age and retirement date, and benefit from
professional asset allocation — brilliant!5
”
A n d r ea D u f f i e l d
President and Chief Executive Officer
Mosaic Rehabilitative Services
8
Mutual of America annual report
36% of Americans currently
contributing to an employersponsored retirement plan have
never increased the percentage
of salary they defer into their
retirement accounts.6
Automatic enrollment gets employees on the path to saving as soon as they
are eligible to participate in the plan. Younger employees, in particular, who
tend to be cash strapped and are least likely to think about retirement, stand to
benefit most from an early start on saving.
Overwhelmingly, automatically enrolled employees are glad that their employer
offers this feature, which has allowed them to start saving for retirement earlier
than they had planned.7 Knowing it’s smart to start saving early, they appreciate
Auto Escalation Feature
plan features that reduce the up-front enrollment decisions they have to make.
Employers, in turn, can meet their fiduciary obligations by providing a Qualified
Without Auto
Escalation
With Auto
Escalation to 10%
$383,393
$601,060
Default Investment Alternative (QDIA) for employees that do not make an
investment election when enrolled automatically.
Concerned with controlling costs, many employers feel they can’t afford to
implement auto features or increase employer contributions. But a good plan
design that includes automated features, ongoing participant education and
a motivating match can translate into real competitive advantages for an
Employee A
Employee B
organization in the form of heightened employee loyalty and the ability to
attract and retain talented workers. Depending on the plan, auto features can
Employees A and B are 25 years old,
and each earns $40,000. They both
contribute 6% of their salary annually,
but Employee B’s contributions
automatically escalate to 10%. Here’s
what they would have accumulated at
age 65 assuming an average annual
return of 6%.
The illustration assumes a tax-deferred
investment with a hypothetical average annual
rate of return of 6% compounded monthly. This is
not a prediction of any type of investment, is not
representative of any investment strategy and is
provided for illustrative purposes only. Investment
returns are not guaranteed and your actual return
may vary significantly. Note: Under Mutual of
America’s Separate Account investment funds,
participants benefit from gains and bear the risk
of losses when the market fluctuates.
also provide tax relief as well as exemption from certain discrimination-testing
requirements.
Our Regional Office representatives meet with plan sponsors for an in-depth
plan review to help gauge the health of their plan and discuss plan design
changes that can affect savings rates while remaining cost effective. For
example, instead of an employer matching 100% of the first 3% a participant
saves, the employer matches 50% of 6%. While the employer contribution
remains the same, the match formula motivates employees to save at least 6%,
effectively raising annual contributions to a participant’s retirement account
from 6% to 9%, which can result in substantially higher retirement income.
Mutual Of America annual report
9
100%
i n t e g r at i o n
It’s a pleasure to work
with a firm that cares
about our people as
much as we do.
Mic h ae l M o n t ef e r r a n t e
President and Chief Executive Officer
Envision, Inc.
10
Mutual of America annual report
Mutual Of America annual report
11
Shifting the conversation
from the plan balance to
what the balance means in
terms of retirement income
inspires people to save
earlier, save more and focus
on retirement readiness.
Individuals today face fewer guarantees of retirement security and greater
responsibility for financial decision making for retirement. Unfortunately, many
people lack the financial skills necessary to tackle these challenges.8
This is evident in the contradictory notions people have about how much they’ll
need in retirement and what it will take to get there. Many who say they don’t
need to save more than they already do have never calculated their future
income needs. Many believe their retirement savings are inadequate yet have
Of all our clients’ plans
that offer automatic
enrollment with a 90-day
opt-out provision, not
a single participant opted
out in 2014.
not increased their contributions.9
Most individuals think they will be able to get by with far less than the
recommended 70% to 80% of pre-retirement income. Showing these individuals
the retirement income their current account balances, contribution rates and
allocations hypothetically will provide is an important step in educating them
about retirement realities.
Mutual of America prides itself on providing precisely this sort of education
through meetings with all of our customers — regardless of the size of their
account balance. Our experience shows that face-to-face meetings are a highly
effective way to help people understand not only what they need to do but to
take action, as well. In addition to individual meetings, our Participant Account
Representatives also hold on-site group meetings on a regular basis to reinforce
the importance of saving for retirement and the value of the benefits
being offered.
In addition, our user-friendly suite of online calculators provides multiple,
graphic views of the impact of increased contributions on current and future
income. For some, seeing what their retirement savings will yield in retirement
income is a sobering moment of truth — and a much-needed wake-up call — that
can lead to higher levels of savings and greater confidence in their ability to
shape their financial future.10
12
Mutual of America annual report
“I feel pretty confident
about my investments in
the retirement plan and
my financial future.
I was happy to see Envision, Inc., offered
such a good plan. With the match, the
401(a) and tax-deferred contributions, it
beats what other companies offer.
When I started, Mutual of America’s
Regional Office reps came to explain the
plan and the fund choices. Over the years,
I’ve picked up financial knowledge, and I
think the plan offers a good mix of funds.
Envision has provided a good opportunity
for me as well as the other employees,
and that inspires loyalty and a willingness
to work hard. In all, I think it makes a big
difference in terms of morale.
”
Co l i n M o rg a n
Envision, Inc., Employee
Mutual Of America annual report
13
Mutual of America’s
clearly articulated
strategy in designing
its investment
platform results in
a diverse choice
of savings and
investment options
for our employees.
Ma ry A n n O ’Con n or
Chief Executive Officer
VNA Care Network
14
Mutual of America annual report
100%
opportunity
Mutual Of America annual report
15
“I want our employees to
know that when we offer
a product, we’ve done our
homework to bring them
options they can trust.
I think Mutual of America approaches things
in the same way. The range of investment and
savings options they provide is great without
being overwhelming. They’re very prudent
in their fund selection. They don’t follow
investment fads: they look carefully at each
investment and the investment managers
to see if they would be appropriate for
retirement saving. As a fiduciary, I don’t stay
awake worrying about telling employees, ‘This
is where the money for your retirement is going
to be.’ I know we have given our employees a
very strong financial company that really takes
the time and the effort to really look into every
investment they offer.
”
St ep ha ni e Jac k m a n -H avey
Chief Operating Officer
and Chief Financial Officer
VNA Care Network
16
Mutual of America annual report
Mutual of America offers a
diverse choice of Separate
Account investment
funds from the following
investment companies:
To achieve retirement readiness, sufficient plan contributions must go hand in
hand with an effective investment platform — one that can be easily understood
and is diverse enough to accommodate individuals of varying ages, investment
sophistication and tolerance for risk.
Mutual of America offers a broad but focused range of quality investment funds
that provide competitive, long-term performance at a reasonable cost. The
funds are managed by ten different investment managers, affording individuals
access to the expertise of some of the industry’s largest and best-recognized
investment advisers while enjoying the personal support of Mutual of America’s
representatives.
Following our emphasis on stability and quality, we avoid trend investing,
constantly chasing yesterday’s winners, in favor of funds that have an
opportunity for prudent, long-term success.11 None of the investment funds
available through our contracts bears a degree of risk that is so unusually high
that it would be inappropriate for retirement plans.12 In addition, we maintain
a rigorous and ongoing oversight process of the investment companies, their
funds and their investment management.
With automatic enrollment, plan sponsors can select a Qualified Default
Investment Alternative (QDIA) available through our group plans. This is
an especially important decision as workers enrolled automatically may be
investing for the first time and might not know how to create a diversified
portfolio of investments for their retirement. In recent years, target-date
funds have become a mainstay of the QDIA — for participants in our plans
and nationally13 — because they solve the twin challenges of maintaining
diversification and ensuring the portfolio reflects a changing risk outlook as
individuals age.
All of our group and individual variable annuity contracts offer a wide range of
pay-out options at retirement, including guaranteed annuities, which provide
a guaranteed monthly income for life and, in various forms, permit income
payments to continue to a surviving spouse or beneficiaries. With longer life
expectancies, this feature can help ensure that individuals don’t outlive their
retirement assets.
Mutual Of America annual report
17
100%
p a r t i c i p at i o n
18
Mutual of America annual report
Mutual of America gives
me opportunities to give
back. It’s one of those
things I was looking for
— a company with a soul.
Je n n i f e r R a j pat
Mutual of America Employee
Mutual Of America annual report
19
The Mutual of America
Community Partnership Award
is only one way our Company
demonstrates its commitment
to strengthening communities
across America.
One measure of our success as a company is our ability to give back to the
communities in which we live and work. Our commitment to strengthening
communities in the U.S. and around the world has been an integral part of our
culture since our founding in 1945.
One of the many ways we demonstrate that commitment is through the Mutual
of America Community Partnership Award. Now in its 19th year, this award
honors the contributions that nonprofit organizations, in partnership with public
and private organizations, make to society.
The Community Partnership Award National Award winner and recipient of the
2014 Governor Hugh L. Carey Award is Fresh Start Surgical Gifts, which partners
with Rady Children’s Hospital in San Diego to create the Surgery Weekend
Program. Through this innovative program, a team of world-class surgeons,
dentists, anesthesiologists and other medical professionals volunteer their time
and talent to provide the gift of reconstructive surgery, dentistry and healthrelated services to financially disadvantaged children. Fresh Start treats 400
children annually through the program. In keeping with its goal of replicating
this program nationally, Fresh Start launched a Surgery Weekend Program at
the University of Chicago Comer Children’s Hospital.
In addition to our National Award winner, nine other organizations from
across the country were recognized through the 2014 Community Partnership
Award for their outstanding leadership in applying creative solutions to critical
challenges facing our country. Through the Community Partnership Award,
Mutual of America is proud to recognize, support and help extend the reach of
these vital partnerships.
Mutual of America’s culture of caring is perhaps best reflected in our employees’
individual giving, which the Company supports through matching contributions,
grants and gifts. In 2014, charitable donations exceeded $2 million, benefitting
more than 1,000 organizations. The Company’s philanthropic initiatives also
help support responsible, incisive television journalism by providing funding for
Moyers & Company and other award-winning Public Broadcasting Service
(PBS) programming.
In these times of economic uncertainty for so many, we will continue to do our
utmost to help strengthen our society and help Americans achieve a financially
secure future. Service to our customers and to the larger community in which
we live are values that have kept us strong since our founding.
20
Mutual of America annual report
“Mutual of America is different
from anywhere else I’ve
worked. People here go out
of their way to be friendly — to
customers and each other.
That shows in all the charitable
events the Company sponsors.
I’m a runner, and I do a lot of
charity runs. It’s a great way
to give back. Mutual of America
is all about that — they give
back and they care about
their community. It says a lot
about a company.”
Ma ry V e n toso
Mutual of America Employee
Mutual Of America annual report
21
Mutual of America Board of directors
Thomas J. Moran
John R. Greed
Chairman of the
Board and Chief
Executive Officer
Mutual of America
New York, New York
President
Mutual of America
New York, New York
Frances R.
Hesselbein
LaSalle D. Leffall,
Jr., M.D.
President and Chief
Executive Officer
The Frances Hesselbein
Leadership Institute
New York, New York
Charles R. Drew
Professor of Surgery
Howard University
College of Medicine
Washington, D.C.
General
Dennis J. Reimer
Elie Wiesel
Patrick A. Burns
Andrew W. Mellon
Professor in the
Humanities
Boston University
Boston,
Massachusetts
Consultant to the
Board of Mutual of
America
Bronxville, New York
U.S. Army (Retired)
National Security
Consultant
Arlington, Virginia
Founder, The Elie
Wiesel Foundation
for Humanity;
Nobel Laureate
New York, New York
22
Mutual of America annual report
Clifford L.
Alexander, Jr.
Kimberly Casiano
Earle H. Harbison, Jr.
Maurine A. Haver
President
Kimberly Casiano &
Associates Inc.
San Juan, Puerto Rico
Chairman
Harbison Corporation
St. Louis, Missouri
Founder and Chief
Executive Officer
Haver Analytics, Inc.
New York, New York
Senator
Connie Mack
Robert J.
McGuire, Esq.
Roger B. Porter,
Ph.D.
Peter J. Powers
Chairman Emeritus
Liberty Partners Group
Washington, D.C.
Counsel
New York, New York
IBM Professor of
Business and
Government
Harvard University
Cambridge,
Massachusetts
President
Alexander &
Associates, Inc.
New York, New York
Chairman Emeritus
H. Lee Moffitt Cancer
Center & Research
Institute
Tampa, Florida
Chairman and Chief
Executive Officer
Powers Global
Strategies, LLC
New York, New York
Roselyn Payne Epps, M.D.
The Board of Directors of Mutual of America Life Insurance Company, together with its officers
and employees, mourn the passing of their colleague and friend, Dr. Roselyn Payne Epps.
Dr. Epps was an esteemed member of the Board of Directors since 1992 and served with distinction on the Audit,
Executive, Long-Range Planning, Product and Marketing and Technology Committees. She was appointed Chair of
the Technology Committee in 2001, and in that role, was a passionate advocate of the ever-increasing importance of
technology to the continued success of Mutual of America.
Dr. Epps was recognized nationally and internationally for her life’s work in pediatrics and the public health sector. Her
distinguished career included roles in private practice, research and academia, the District of Columbia government,
Howard University College of Medicine and the National Institutes of Health.
Ever a trailblazer, Dr. Epps opened doors formerly closed to women and people of color: among her many “firsts,” she
was the first woman and first African-American president of the D.C. Chapter of the American Academy of Pediatrics
and the first African-American National President of the American Medical Women’s Association. In 2013, Dr. Epps
received the W. Montague Cobb Lifetime Achievement Award, presented by the W. Montague Cobb National Medical
Association Institute, in recognition of her extraordinary commitment to academic excellence, the health of the poor and
underserved, quality education and national leadership in medicine.
Over the past 22 years, Roselyn Epps played a major role in Mutual of America’s development and growth. We who
were privileged to have known her will long remember her strength of character, her dedication to service and her
commitment to the mission of Mutual of America.
Her wisdom and enthusiasm as well as her warmth and friendship will be greatly missed.
election of directors
Mutual of America policyholders and contract holders are entitled to participate in the election of Directors. The election is held each year on a
designated working day in April. In 2015 the election of Directors is scheduled for Thursday, April 23, 2015, between 10:00 a.m. and 4:00 p.m., at the
Home Office, 320 Park Avenue, New York, NY 10022. At each election, approximately one-third of the Directors are elected for terms of three years.
Each policyholder and contract holder whose policy or contract has been in force for one year prior to the date of election is entitled to one vote per
person to be cast in person, by mail or by proxy. Pursuant to Section 4210 of the New York Insurance Law, groups of policyholders or contract holders
have the right to nominate one or more independent tickets not less than five months prior to the date of each election. Mail ballots may be obtained
by writing to the Corporate Secretary at Mutual of America’s Home Office address, no later than 60 days prior to the date of election.
Mutual Of America annual report
23
Mutual of America Boards
Mutual of America Capital
Management LLC
Mutual of America Investment Corporation
Mutual of America Institutional Funds, Inc.
Amir Lear
Christopher C. Quick
John R. Greed
Margaret M. Smyth
Chairman and Chief
Executive Officer
Mutual of America Capital
Management Corp.
New York, New York
Vice Chairman
Global Wealth and
Investment Management
(Past)
Bank of America
New York, New York
Chairman of the Board,
President and
Chief Executive Officer
Mutual of America
Investment Corporation
and Mutual of America
Institutional Funds, Inc.
New York, New York
Chief Financial Officer, U.S.
National Grid
New York, New York
Theresa A. Bischoff
Chief Executive
Officer (Past)
American Red Cross in
Greater New York
New York, New York
James E. Quinn
President (Past)
Tiffany & Company
New York, New York
Alfred E. Smith IV
Noreen Culhane
Executive Vice
President (Past)
New York Stock Exchange
New York, New York
Chairman of the Board
(Past)
Saint Vincent Catholic
Medical Centers
New York, New York
Nathaniel A. Davis
John J. Stack
Chairman and Chief
Executive Officer
Chairman and Chief
Executive Officer (Past)
Ceska Sporitelna
Prague, Czech Republic
K12 Inc.
Herndon, Virginia
Robert C. Golden
Executive Vice President of
Corporate Operations (Past)
Prudential Financial, Inc.
Newark, New Jersey
John E. Haire
Chief Executive
Officer (Past)
Parade Publications, Inc.
New York, New York
24
Mutual of America annual report
Carolyn N. Dolan
Founding Principal and
Portfolio Manager
Samson Capital
Advisors LLC
New York, New York
LaSalle D. Leffall III
President and Founder
LDL Financial, LLC
Washington, D.C.
John W. Sibal
President and Chief
Executive Officer
Eustis Commercial
Mortgage Corporation
New Orleans, Louisiana
Patrick J. Waide, Jr.
President (Past)
Drucker Foundation
New York, New York
William E. Whiston
Chief Financial Officer
Archdiocese of New York
New York, New York
Financial
and corporate
information
Statement by Management 26
Consolidated Statutory Statements of Financial Condition
27
Consolidated Statutory Statements of Operations and Surplus
28
Consolidated Statutory Statements of Cash Flows 29
Notes to Consolidated Statutory Financial Statements
30
Report of Independent Registered Public Accounting Firm
Officers
47
49
Regional Offices
51
STATEMENT BY MANAGEMENT
Management is responsible for the integrity of the accompanying consolidated statutory financial statements. In meeting this
responsibility, management maintains systems of internal controls designed to provide reasonable assurance that assets are
safeguarded and that transactions are executed in accordance with appropriate authorization and are properly recorded. These
systems include an organizational structure that appropriately provides for delegation of authority and division of responsibility,
the communication and enforcement of accounting and business policies and procedures and the utilization of an internal audit
program that requires responsive action to audit findings.
The accompanying consolidated financial statements have been prepared by management in conformity with statutory accounting
principles prescribed or permitted by the New York State Department of Financial Services. Such practices differ from U.S.
generally accepted accounting principles (GAAP).
Since the New York State Department of Financial Services recognizes only statutory accounting practices for determining and
reporting financial condition and results of operations of insurance companies, and no consideration is given to GAAP financial
information, the accompanying consolidated statutory financial statements present the Company’s consolidated financial position
and results of operations in conformity with statutory accounting practices prescribed or permitted by the New York State
Department of Financial Services. The significant variances between such practices and GAAP are described in Note 9 to the
consolidated statutory financial statements, which is included on pages 47-48.
The accompanying consolidated statutory financial statements for the years ending December 31, 2014 and 2013, have been
audited by KPMG LLP, and their opinion, which states that the accompanying consolidated statutory financial statements are
fairly presented in conformity with accounting practices prescribed or permitted by the New York State Department of Financial
Services, is included on pages 47-48. Their audits were performed in accordance with the standards of the Public Company
Accounting Oversight Board (United States).
The Board of Directors has appointed an Audit Committee composed solely of directors who are not officers or employees. The
committee meets regularly with management, the Executive Vice President and Internal Auditor and the independent registered
public accounting firm to review audit scope and results, the adequacy of internal controls and accounting and financial reporting
matters. The Audit Committee also reviews the services performed by the independent registered public accounting firm and
related fee arrangements and recommends their appointment to the Board of Directors. The independent public accounting firm
and the Executive Vice President and Internal Auditor have direct access to the Committee.
26
Mutual of America annual report
CONSOLIDATED STATUTORY STATEMENTS OF FINANCIAL CONDITION
December 31, 2014 and 2013
ASSETS
General Account assets
Bonds and notes Common stocks
Cash and short-term investments
Guaranteed funds transferable Real estate
Policy loans
Investment income accrued
Deferred federal income taxes
Other assets
2014
2013
$ 7,597,960,336
25,430,966
40,749,758
18,808,598
238,386,236
107,875,676
77,815,757
95,060,012
16,476,952
$ 7,533,512,120
31,468,788
39,640,272
21,835,836
238,342,029
106,535,968
83,659,017
87,071,451
13,374,100
Total General Account assets
8,218,564,291
8,155,439,581
Separate Account assets
9,579,428,1138,514,976,029
TOTAL ASSETS
$17,797,992,404 $16,670,415,610
LIABILITIES AND SURPLUS
General Account liabilities
Insurance and annuity reserves
Other contract holders liabilities and reserves
Interest maintenance reserve
Other liabilities
$ 6,748,819,592 5,496,022
113,788,317
270,272,441
$ 6,769,759,330
5,849,367
132,048,698
223,906,363
Total General Account liabilities before asset valuation reserve
7,138,376,372
7,131,563,758
Separate Account reserves and other liabilities
9,579,428,1138,514,976,029
Total liabilities before asset valuation reserve
16,717,804,485
Asset valuation reserve
79,562,87672,740,031
Total liabilities
SURPLUS
Assigned surplus
Unassigned surplus
Total surplus
TOTAL LIABILITIES AND SURPLUS
15,646,539,787
16,797,367,361
15,719,279,818
1,150,000
999,475,043
1,150,000
949,985,792
1,000,625,043
951,135,792
$17,797,992,404 $16,670,415,610
See accompanying notes to consolidated statutory financial statements.
Mutual Of America annual report
27
CONSOLIDATED STATUTORY STATEMENTS OF OPERATIONS AND SURPLUS
For The Years Ended December 31, 2014 and 2013
INCOME
Premium and annuity considerations Life and disability insurance premiums
2014 2013
$1,952,908,639 11,191,066
$1,760,488,109
11,628,468
Total considerations and premiums
Separate Account investment and administrative fees
Net investment income
Other, net
1,964,099,705
1,772,116,577
89,698,298
357,524,190
7,276,832
79,563,532
363,893,499
6,730,128
Total income
2,418,599,025
2,222,303,736
DEDUCTIONS
Change in insurance annuity reserves
Annuity and surrender benefits
Death and disability benefits
Operating expenses
435,550,469
1,664,359,487
9,538,618
245,888,421
369,136,047
1,545,944,999
8,817,386
246,622,975
Total deductions
2,355,336,995
2,170,521,407
63,262,030
51,782,329
Net gain before dividends
Dividends to contract holders and policyholders
(67,455)(86,975)
Net gain from operations 63,194,575
Federal income tax (expense) (1,251,483)(3,472,664)
Net realized capital gains Net income
1,145,704934,891
63,088,796
SURPLUS TRANSACTIONS
Change in:
Asset valuation reserve
(6,822,845)
Unrealized appreciation (depreciation)
(1,840,793)
Nonadmitted assets:
Prepaid assets and other, net
(2,530,720)
Net deferred income tax asset
8,794,813
Accounting related to:
(600,000)
Qualified pension plan
Nonqualified deferred compensation plan
(5,700,000)
Post retirement medical benefit plan (4,900,000)
Net change in surplus
SURPLUS
Beginning of year
End of year
See accompanying notes to consolidated statutory financial statements.
28
Mutual of America annual report
51,695,354
49,489,251
49,157,581
(19,132,817)
13,221,168
33,894,280
14,545,818
(34,688,992)
(673,997)
(13,066,380)
43,256,661
951,135,792
907,879,131
$1,000,625,043
$  951,135,792
CONSOLIDATED STATUTORY STATEMENTS OF CASH FLOWS
For The Years Ended December 31, 2014 and 2013
CASH FLOWS FROM OPERATIONS
Premium and other income collected
Net investment income
Separate Account investment and administrative fees
Benefit payments
Net transfers (to) from separate accounts
Investment and operating expenses paid
Other, net
Dividends paid to policyholders
2014 $ 1,964,174,086
361,469,048
89,689,913
(1,675,936,181)
(428,631,831)
(222,891,504)
7,883,873
(69,940)
Net cash from operations
2013
$ 1,772,078,122
366,723,296
79,563,532
(1,557,607,978)
(185,820,656)
(213,581,520)
6,736,110
(86,783)
95,687,464
268,004,123
CASH FLOWS FROM INVESTMENTS
Proceeds from investments sold, matured or repaid:
Bonds
Common stock
Mortgage loans Real estate
Other invested assets
Other
1,271,734,415
11,989,958
—
8,854,515
3,027,238
18,561,623
1,796,220,751
9,859,030
708,307
8,645,178
2,399,129
12,161,997
Total
1,314,167,749
1,829,994,392
Costs of investment acquired:
Bonds
Common stock
Real estate
(1,359,354,520)
(9,874,971)
(8,847,866)
(2,029,260,745)
(8,246,199)
(1,536,991)
Total
(1,378,077,357)
(2,039,043,935)
Net change in policy loans
(1,339,320)(5,577,633)
Net cash used in investment activity
(65,248,928)
(214,627,176)
CASH FLOW FROM FINANCING AND OTHER SOURCES
Net withdrawals on deposit-type contracts
Other cash applied
(39,195,676)
9,866,626
(13,875,136)
(17,454,486)
Net cash applied from financing and others sources
(29,329,050)
(31,329,622)
Net change in cash, cash equivalents and short-term investments1,109,486
22,047,325
Cash, cash equivalents and short-term investments:
Beginning of year
17,592,947
End of year
39,640,272
$   40,749,758 $   39,640,272
See accompanying notes to consolidated statutory financial statements.
Mutual Of America annual report
29
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation
The accompanying financial statements include the consolidated accounts of Mutual of America Life Insurance Company (Mutual
of America) and its wholly owned subsidiaries, Mutual of America Holding Company, LLC, Mutual of America Capital Management
LLC and Mutual of America Securities LLC. (collectively referred to as the Company), as permitted by the New York State
Department of Financial Services (formerly known as the State of New York Insurance Department). Significant intercompany
balances and transactions have been eliminated in consolidation.
Nature of Operations
Mutual of America provides retirement and employee benefit plans in the small to medium-size company market, principally
to employees in the not-for-profit social health and welfare field. In recent years, the Company has expanded to include forprofit organizations in the small to medium-size company market. The insurance company in the group is licensed in all 50
states and the District of Columbia. Sales operations are conducted primarily through a network of regional offices staffed by
salaried consultants.
Basis of Presentation
The accompanying consolidated statutory financial statements are presented in conformity with statutory accounting practices
prescribed or permitted by the New York State Department of Financial Services (New York Department). Such practices differ
from U.S. generally accepted accounting principles (GAAP). The significant variances between such practices and GAAP are
described in Note 9. The ability of the Company to fulfill its obligations to contract holders and policyholders is of primary concern
to insurance regulatory authorities.
The National Association of Insurance Commissioners (NAIC) has codified statutory accounting principles (Codification). The New
York Department issued Regulation No. 172 (Regulation No. 172), which adopted Codification, with certain significant modifications,
as the prescribed basis of accounting for its domestic insurers. Periodically, the New York Department amends Regulation No.
172 for revisions in the prescribed basis of accounting. All changes required by New York Regulation No. 172, as amended through
December 31, 2014, are reflected in the accompanying consolidated statutory financial statements.
The Company adopted Statement of Statutory Accounting Principles (SSAP) No. 102 (SSAP No. 102), Accounting for Pensions, a
Replacement for SSAP No. 89 on January 1, 2013. SSAP No. 102 requires that the funded status, which is the difference between a Defined
Benefit Plan’s projected benefit obligation and the fair value of its plan assets, be recorded as a liability, either through an immediate
charge to surplus or over a period not to exceed ten years. The Company elected a period not to exceed ten years. At January 1, 2013
and 2014, the minimum transition liability and required minimum charge to surplus was $65.4 million and $6.5 million and $55.2 million
and $6.1 million, respectively. However, when the Company’s annual pension expense includes the amortization of unrecognized prior
losses greater than the minimum required, the Company must record the higher amount of $10.2 million as the charge to surplus.
Furthermore, the annual January 1 charge to surplus is offset to the extent that the amount of expense recorded in the financial
statements includes amortization of previously unrecognized losses. As such, during 2013 and 2014, $10.2 million and $5.5 million of
the required minimum charge to surplus was reversed as the annual pension expense was recorded.
SSAP No. 92, Accounting for Postretirement Benefits Other than Pensions, a Replacement for SSAP No. 14 (SSAP No. 92) also
became effective on January 1, 2013. SSAP No. 92 requires that the Plan’s projected benefit obligation be recorded as a liability,
either through an immediate charge to surplus or over a period not to exceed ten years. The Company elected a period not to
exceed ten years. SSAP No. 92 changed the statutory accounting for the Company’s postretirement medical plan in two other
ways. It requires the Company to establish a postretirement medical liability for all employees whereas previously, the Company
was required to establish a liability for only those employees who currently met the vesting requirements of the plan. In addition,
amortization of prior unrecognized actuarial gains and losses now must be recognized over the average future working lifetime
30
Mutual of America annual report
of active employees in the plan, whereas under the previous accounting standard these gains and losses were amortized over
the average remaining life expectancy of vested employees.
At January 1, 2013 and 2014, the minimum transition liability and required minimum charge to surplus was $55.9 million and $5.6
million and $50.3 million and $5.6 million, respectively for the post-retirement medical plan and $11.8 million and $1.2 million and
$10.6 million and $1.2 million, respectively for the non-qualified deferred compensation plan. Furthermore, the annual January 1
charge to surplus is offset to the extent that the amount of expense recorded in the financial statements includes amortization
of previously unrecognized losses. As such, during 2013 and 2014 $4.5 million and $1.8 million, respectively, of the required
minimum charge to surplus was reversed as the annual pension expense was recorded for the post-retirement medical plan and
$.5 million and $.7 million, respectively, for the non-qualified deferred compensation plan. At December 31, 2014 due to year end
assumption updates to the projected benefit obligation of both plans, additional surplus charges of $1.1 million and $5.2 million
for the post-retirement medical and nonqualified deferred compensation plans, respectively, were required primarily due to the
change in the discount rate assumption for these plans.
Asset Valuations
Bonds, Notes and Short-Term Investments — Investment valuations are prescribed by the NAIC. Bonds, which include assetbacked and mortgage-backed investments qualifying for amortization, and notes, are stated at amortized cost. Amortization of
bond premium or discount is calculated using the constant yield interest method taking into consideration specified interest and
principal provisions over the life of the bond. Short-term investments are stated at cost, which approximates fair value, and consist
of highly liquid investments purchased with maturities of one year or less. Bond, note and short-term investment transactions
are recorded on a trade date basis. The fair value of bonds and notes is based upon quoted market prices provided by an
independent pricing organization. If quoted market prices are unavailable or an inactive market for the security currently exists,
fair value is estimated using internal valuation models and techniques or based upon quoted market prices for comparable
investments. At December 31, 2014, there were seven securities with a fair value of $32.7 million for which no quoted market
prices were available. As such, the Company used internal valuation models and techniques to determine the fair value of these
securities. The Company recorded an unrealized loss of $.6 million to adjust the carrying value of six of these securities, which
were required to be reported at the lower of amortized cost or fair value, to their current fair value at December 31, 2014. At
December 31, 2013, there were seven securities with a fair value of $31.3 million that were valued using this methodology. Bonds
are carried at the lower of amortized cost or fair value when their NAIC rating has fallen to class six.
Losses that are considered to be other-than-temporary are recognized in net income when incurred. All bonds are subjected to
the Company’s quarterly review process for identifying other-than-temporary impairments. This impairment identification
process utilizes a screening procedure that includes all bonds in default or not in good standing, as well as bonds with a fair value
that is less than 80% of their cost for a continuous six-month period. The Company writes down bonds that it deems to have an
other-than-temporary impairment after considering a wide range of factors, including, but not limited to, the extent to which cost
exceeds fair value, the duration of that market decline, an analysis of the discounted estimated future cash flows for asset-backed
and mortgage-backed securities, an analysis of the financial health and specific prospects for the issuer, the likelihood that the
Company will be able to collect all amounts due according to the contractual terms of the debt security in effect at the date of
acquisition, consideration as to whether the decline in value is due to general changes in interest rates and credit spreads and
the Company’s intent and ability to retain its investment in the issuer for a period of time sufficient to allow for any anticipated
recovery in fair value. If an impairment is determined to be other-than-temporary, a realized capital loss equal to the entire
difference between the amortized cost of the bond and its fair value is recorded and a new cost basis for the bond is established.
Credit-related other-than-temporary impairment losses are recorded as realized capital losses included in net income (and
through the asset valuation reserve), whereas interest-related other-than-temporary impairment losses are recorded in the IMR.
Common and Preferred Stocks — At December 31, 2014 and 2013, common stocks included $15.3 million and $22.1 million,
respectively, invested in a Mutual of America sponsored series of mutual funds for institutional investors. The December 31, 2014
Mutual Of America annual report
31
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
and 2013, amounts also include $10.1 million and $9.4 million, respectively, invested in actively managed Large-Cap and SmallCap Value equity portfolios in 2014 and a Mid-Cap Growth equity portfolio in 2013. Common stocks in good standing are stated
at fair value. Fair value is determined by reference to valuations quoted by an independent pricing organization. Unrealized gains
and losses are recorded directly to unassigned surplus.
Losses that are considered to be other-than-temporary are recognized in net income when incurred. All equity investments are
subjected to the Company’s quarterly review process for identifying other-than-temporary impairments. This impairment
identification process utilizes a screening procedure that includes all common stock issuers not in good standing, as well as
common stocks where the fair value is less than 80% of their cost for a continuous six-month period. The Company writes down
common stocks that it deems to have an other-than-temporary impairment after considering a wide range of factors, including,
but not limited to, the extent to which cost exceeds fair value, the duration of that market decline, an analysis of the financial
health and specific prospects for the issuer and the Company’s intent and ability to retain its investment for a period of time
sufficient to allow for any anticipated recovery in fair value in the short-term. The Company also considers other qualitative and
quantitative factors in its evaluation of other-than-temporary impairments.
Guaranteed Funds Transferable — Guaranteed funds transferable consists of funds held with a former reinsurer and is stated at the
total principal amount of future guaranteed transfers to Mutual of America. During 2013, the $1.5 million unrealized loss that had
previously been recorded against this asset was reversed as it was determined that this valuation allowance was no longer needed.
Real Estate — Real estate, which is classified as Company-occupied property, is carried at cost, including capital improvements,
net of accumulated depreciation of $175.1 million and $166.3 million at December 31, 2014 and 2013, respectively, and is depreciated
on a straight-line basis over 39 years. Tenant improvements on real estate investments are depreciated over the shorter of the
lease term or the estimated life of the improvement.
Policy Loans — Policy loans are stated at the unpaid principal balance of the loan. During 2014 and 2013, the Company recognized
$.2 million and $.1 million of realized capital losses, respectively, on certain loans where the loan value exceeded the associated
collateral on the loans and collection efforts on the unpaid balances of the policy loans were unsuccessful. Also at December 31,
2013, the Company recorded a $1.1 million unrealized loss on certain other policy loans where the current total outstanding
principal and interest amounts exceed the current value of the related participant account balances available as collateral to
satisfy these loans. There were no additional unrealized losses recorded in 2014.
Other — Certain other assets, such as net deferred income tax assets not expected to be realized within three years, furniture
and fixtures and prepaid expenses, are considered “non-admitted assets” and are excluded from the consolidated statutory
statements of financial condition.
Insurance and Annuity Reserves
Reserves for annuity contracts are computed on the net single premium method and represent the estimated present value of
future retirement benefits. These reserves, which were $.9 billion at both December 31, 2014 and 2013, are based on mortality
and interest rate assumptions (ranging predominately from 5.00% to 6.50% at both December 31, 2014 and 2013), which meet
or exceed statutory requirements and are not subject to discretionary withdrawal.
Reserves for contractual funds not yet used for the purchase of annuities are accumulated at various credited interest rates that,
during 2014 and 2013, averaged 1.91% and 2.03%, respectively, and are deemed sufficient to provide contractual surrender values
for these funds. These reserves, which were $5.8 billion at both December 31, 2014 and 2013, are subject to discretionary
withdrawal at book value.
32
Mutual of America annual report
Reserves for guaranteed investment contracts, which were $22.7 million and $29.8 million at December 31, 2014 and 2013,
respectively, are accumulated at various guaranteed interest rates, which during 2014 and 2013 averaged 1.96 % and 1.98%,
respectively, and meet statutory requirements. Reserves for life and disability insurance are based on mortality, morbidity and
interest rate assumptions, and meet statutory requirements.
Interest Maintenance and Asset Valuation Reserves
Realized gains and losses, including certain other-than-temporary impairment losses, net of applicable taxes, arising from
changes in interest rates are accumulated in the IMR and are amortized into net investment income over the estimated remaining
life of the investment sold. All other realized gains and losses are reported in the consolidated statements of operations.
An Asset Valuation Reserve (AVR), applying to the specific risk characteristics of all invested asset categories excluding cash,
policy loans and investment income accrued, has been established based on a statutory formula. Realized and unrealized gains
and losses, including other-than-temporary impairment losses arising from changes in the creditworthiness of the issuer, are
included in the appropriate subcomponent of the AVR. Changes in the AVR are recorded directly to unassigned surplus.
Separate Account Operations
Variable annuity considerations and certain variable life insurance premiums may be allocated at participants’ discretion
among investment funds in Separate Accounts. Separate Account funds invest in mutual funds, including funds managed by
Mutual of America Capital Management Corporation, a wholly owned subsidiary (the Advisor), and other funds managed by
outside investment advisors. All net realized and unrealized capital gains in the Separate Accounts, which reflect investment
performance of the mutual funds in which they invest, accrue directly to participants (net of administrative and other Separate
Account charges) and are not reflected in the Company’s Consolidated Statutory Statements of Operations and Surplus.
Investment advisory charges are based on the specific fee charged for each of the individual underlying investments of the
Separate Accounts and are assessed as a percentage of the plan’s or participant’s account balance. Certain Separate Account
administrative charges are assessed as a percentage of the plan’s or participant’s account balance as determined by the
Company’s pricing tiers, which are based on established ranges of plan or participant account balances. In 2014 and 2013, such
charges were equal to approximately 1.02 % and 1.05%, respectively, of total average Separate Account assets. Separate
Account charges and investment advisory fees paid to the Adviser are included in the Consolidated Statutory Statement of
Operations and Surplus. Investments held in the Separate Accounts are stated at fair value and are not available to satisfy
liabilities of the General Account. Participants’ corresponding equity in the Separate Accounts is reported as liabilities in the
accompanying statements. Premiums and benefits related to the Separate Accounts are combined with the General Account
in the accompanying statements. Net operating gains and losses are offset by changes to reserve liabilities in the respective
Separate Accounts. These reserves, which were approximately $9.6 billion and $8.5 billion at December 31, 2014 and 2013,
respectively, are subject to discretionary withdrawal at fair value.
Premiums and Annuity Considerations
All annuity considerations derived from voluntary retirement savings-type plans and defined benefit plans, which represent the
vast majority of the Company’s annual premiums, are recognized as income when received. Insurance premiums and annuity
considerations derived solely from defined contribution plans are recognized as income when due. Group life and disability
insurance premiums are recognized as income over the contract period.
Investment Income and Expenses
General Account investment income is reported as earned and is presented net of related investment expenses. Operating
expenses, including acquisition costs for new business, are charged to operations as incurred.
Mutual Of America annual report
33
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
Dividends
Dividends are based on formulas and scales approved by the Board of Directors and are accrued currently for payment subsequent
to plan anniversary dates.
Certain 2013 amounts included in the accompanying consolidated statutory financial statements have been reclassified to
conform to the 2014 presentation.
2. INVESTMENTS
Valuation
The statement and fair values of investments in fixed maturity securities (bonds, notes and short-term investments) at December
31, 2014 and 2013, are shown below. Excluding U.S. government and government agency investments, the Company is not
exposed to any significant concentration of credit risk.
December 31, 2014 (in millions)
Statement
Value
Gross Unrealized
Gains
Losses
Fair
Value
Fixed maturities:
Mortgage- and asset-backed securities:
Residential mortgage-backed securities $2,013.8 $ 71.9 $ 5.1$2,080.6
Commercial mortgage-backed securities
—
—
—
—
Other asset-backed securities
53.4
1.5
—
54.9
Total $2,067.2 $ 73.4 $ 5.1 2,135.5
U.S. Treasury securities and obligations of U.S.
government corporations and agencies
1,104.9
23.2
7.7 1,120.4
Obligations of states and political subdivisions
28.3 2.8 — 31.1
Debt securities issued by foreign governments
23.7 1.1 — 24.8
Corporate securities 4,404.9 257.7 37.84,624.8
Total $7,629.0 $358.2 $50.6$7,936.6
December 31, 2013 (in millions)
Statement
Value
Gross Unrealized
Gains
Losses
Fair
Value
Fixed maturities:
Mortgage- and asset-backed securities:
Residential mortgage-backed securities $1,985.1 $ 59.8 $ 32.8$2,012.1
Commercial mortgage-backed securities
—
—
—
—
Other asset-backed securities
38.7
.1
.3
38.5
Total $2,023.8 $ 59.9 $ 33.1$2,050.6
U.S. Treasury securities and obligations of U.S.
government corporations and agencies
1,041.8
13.4
29.9 1,025.3
Obligations of states and political subdivisions
26.4 1.8 — 28.2
Debt securities issued by foreign governments
23.9 2.1 — 26.0
Corporate securities 4,440.2 224.1 67.24,597.1
Total $7,556.1 $301.3 $130.2$7,727.2
The Company does not have any exposure to subprime mortgage loans, either through direct investment in such loans or through
investments in residential mortgage-backed securities, collateralized debt obligations or other similar investment vehicles.
Approximately 97% of the $3.1 billion invested in mortgage-backed securities were issued by Fannie Mae (FNMA), Freddie Mac
(FHLMC) or Ginnie Mae (GNMA) and, as such, are 100% guaranteed by the U.S. government. The Company does have investments
in publicly traded bonds of financial institutions. These financial institutions may have investments with subprime exposure. At
34
Mutual of America annual report
December 31, 2014, the statement value and fair value of the Company’s bond investments in financial institutions with subprime
exposure totaled $703.1 million and $771.7 million, respectively. At December 31, 2013, the statement value and fair value of the
Company’s bond investments in financial institutions with subprime exposure totaled $779.6 and $854.4 million, respectively.
Short-term fixed maturity securities with a statement value and fair value of $31.0 million and $22.6 million at December 31,
2014 and 2013, respectively, are included in the above tables. At both December 31, 2014 and 2013, the Company had $3.2
million (par value $3.2 million for both years), respectively, of its long term fixed maturity securities on deposit with various
regulatory agencies.
Fair Value
The Company values its financial instruments at fair value. Fair value is an estimate of the price the Company would receive upon
selling a security in an orderly arms-length transaction. Investments are categorized based on a three-level valuation hierarchy
for measurement and disclosure of fair value. The valuation hierarchy is based upon the transparency of inputs used to measure
fair value. The three levels are as follows:
Level 1 —quoted prices in active markets for identical securities.
Level 2 —quoted prices for similar assets in active or non-active markets or other significant observable inputs (including yield,
quality, coupon, rate, maturity, issue type, quoted prices for similar securities, prepayment speeds, trading
characteristics, etc.).
Level 3 —significant unobservable inputs (including the assumptions in determining the fair value of investments).
The Company has determined the fair value inputs used to measure all of its assets that are considered financial instruments,
which include fixed maturity securities, common stocks, cash and short-term investments, policy loans, other invested assets and
Separate Account funds whose net asset values are calculated on a daily basis. Cash, short-term investments, common stocks,
investments in publicly traded mutual funds that are registered with the Securities and Exchange Commission and Separate
Account assets were determined to be Level 1. Separate Account liabilities, which are equal to Separate Account assets, are
determined to be Level 1 as the value of these liabilities changes in conjunction with the change in Separate Account assets. The
vast majority of the Company’s fixed maturity securities (bonds and notes), and all of its policy loans, and other invested assets
were determined to be Level 2. Finally, certain fixed maturity securities and the guaranteed funds transferrable, representing less
than 1% of the total, for which quoted market prices were unavailable or an inactive market for the security currently exists, were
determined to be Level 3. The inputs used for valuing these securities are not necessarily an indication of the risk associated with
investing in those securities.
The following tables provide fair value information at December 31, 2014 and 2013, about the Company’s assets that are considered
financial instruments:
As of December 31, 2014
Financial Instruments (in millions)
Level 1
Level 2
Level 3
Total
Bonds and notes
$    —
$7,872.9
$32.7
$7,905.6
Common stocks25.4
—
— 25.4
Cash and short-term investments40.7
—
— 40.7
Policy loans — 107.9
—107.9
Guaranteed funds transferrable —
— 21.821.8
Separate Account assets9,579.4
—
— 9,579.4
Total
$9,645.5
$7,980.8
$54.5
17,680.8
Mutual Of America annual report
35
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
As of December 31, 2013
Financial Instruments (in millions)
Level 1
Level 2
Level 3
Total
Bonds and notes $     —$7,673.2
$31.3 $ 7,704.5
Common stocks31.5 — — 31.5
Cash and short-term investments39.6 — — 39.6
Policy loans
—106.5
— 106.5
Guaranteed funds transferrable — — 22.122.1
—
— 8,515.0
Separate Account assets8,515.0
$8,586.1
$7,779.7
$53.4
$16,419.2
Total
The fair value of Level 3 securities increased from $53.4 million at December 31, 2013, to $54.5 million at December 31, 2014,
primarily as a result of the change in fair value of Level 3 securities net of interim paydowns during the year. The fair value of
bonds and notes classified as Level 3 increased by $1.1 million in 2014 as a result of the redetermination of the fair value net of
paydowns on these securities during the year. The guaranteed funds transferrable declined due to the receipt of scheduled
principal payments during the year. There were no additional securities added to the Level 3 classification during 2014 and there
were no securities transferred between Levels 1, 2 & 3 during 2014 and 2013.
In determining the fair value of Level 3 bonds and notes, the Company utilized expected cash flows provided by an independent
valuation service together with discount rate and default factor assumptions commensurate with the current credit rating of such
securities and consistent with those that would be used in pricing similar types of securities based upon market conditions that
existed at December 31, 2014 and 2013.
Unrealized Gains and Losses
At December 31, 2014 and 2013, net unrealized (depreciation) appreciation reflected in surplus consisted of the following:
December 31 (in millions)
2014
2013
Change
Equity securities (common and preferred stock) $ 2.9 $4.1 $(1.2)
Bonds and notes
(9.2) (8.6)(.6)
Other assets
(1.1) (1.1) —
Net unrealized (depreciation) appreciation $(7.4)
$(5.6)
$(1.8)
Net unrealized depreciation related to the Company’s bonds, equity securities and other assets increased by $1.8 million during the year
as shown above. Net unrealized appreciation of $2.9 million related to equity securities at December 31, 2014, consists of $3.1 million of
gross unrealized gains and $.2 million of gross unrealized losses, of which none of the unrealized losses are greater than 12 months old.
Net unrealized appreciation of $4.1 million related to equity securities at December 31, 2013, consisted of $4.2 million of gross unrealized
gains and $ .1 million of gross unrealized losses, of which none of the unrealized losses were greater than 12 months old.
Previously, Regulation No. 172 was amended to adopt an accounting change set forth in SSAP No. 100, Fair Value Disclosures,
under which the criteria used to evaluate the fair value of investment securities, which were previously determined to be otherthan-temporarily impaired, was changed. At the time of adoption, the Company recorded an $11.7 million unrealized loss to adjust
the fair value of certain securities to an amount that more realistically reflected market conditions at that time. These bonds had
an adjusted book value of $27.1 million prior to the recognition of this unrealized loss. In order to adjust these securities to their
estimated fair value, a $.6 million unrealized loss was recorded on these securities at December 31, 2014 as compared to a $10.0
million unrealized gain that was recognized on these securities for the year ended December 31, 2013.
The following is an analysis of the fair values and gross unrealized losses as of December 31, 2014 and 2013, aggregated by fixed
maturity category and length of time that the securities were in a continuous unrealized loss position. As shown in the table below,
total gross unrealized losses as of December 31, 2014 and 2013, were $50.6 million and $130.2 million, respectively, and the
36
Mutual of America annual report
majority of such losses related to corporate and U.S. Treasury securities. These unrealized losses arise primarily from general
changes in interest rates and credit spreads, which are still wider than historical norms, despite having narrowed somewhat
during 2014, and are not due to fundamental credit problems that exist with the specific issuers. The Company has the ability
and intent to hold those securities that are in an unrealized loss position for a sufficient period of time in order for them to recover.
The tables that follow exclude $6.3 billion and $4.7 billion at December 31, 2014 and 2013, respectively, of fair value of fixed
maturity securities in an unrealized gain position.
December 31, 2014 (in millions)
Fixed maturities:
Mortgage- and asset-backed securities:
Residential mortgage-backed securities
Commercial mortgage-backed securities
Other asset-backed securities
Total
Fair Unrealized
Number
Value
Losses
of Issues
Twelve Months or Less
Fair Unrealized
Number
Value
Losses
of Issues
Twelve Months or Greater
$  3.3
—
13
$  325.1
$ 5.1
129
—
—
—
4.1
—
4
—
—
—
1.9
—
2
$  3.3
$  —13
$  331.1
$ 5.1
135
U.S. Treasury securities and obligations of U.S.
government corporations and agencies
31.5
.1
7
310.8
7.6
146
———
———
Obligations of states and political subdivisions
Debt securities issued by foreign governments
———
———
288.512.2 62 710.425.6 208
Corporate securities
Total
$323.3$12.3 82 $1,352.3$38.3 489
December 31, 2013 (in millions)
Fair Unrealized
Number
Value
Losses of Issues
Twelve Months or Less
Fair Unrealized
Number
Value
Losses of Issues
Twelve Months or Greater
Fixed maturities:
Mortgage- and asset-backed securities:
Residential mortgage-backed securities
$  735.8$27.3 159 $ 93.1$ 5.4 31
Commercial mortgage-backed securities
———
———
Other asset-backed securities
31.0
.3
5
2.4
.1
1
Total
$  766.8$27.6 164 $ 95.5$ 5.5 32
U.S. Treasury securities and obligations of U.S.
government corporations and agencies
560.6
20.6
139
137.2
9.2
47
Obligations of states and political subdivisions
———
———
Debt securities issued by foreign governments
———
———
Corporate securities
1,193.646.7 79 293.920.6 17
Total
$2,521.0$94.9 382 $526.6$35.3 96
Realized Capital Gains and Losses
Net realized capital gains (losses) reflected in the statements of operations for the years ended December 31, 2014 and 2013,
were as follows:
December 31 (in millions)
2014
2013
Equity securities (common and preferred stock) $1.3 $1.1
Other assets
(.2) (.2)
Net realized capital gains
$1.1 $ .9
Mutual Of America annual report
37
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
At December 31, 2014 and 2013, the book value and fair value of the Company’s mortgage-backed and asset-backed securities
portfolios totaled $3.1 billion and $3.2 billion, and $3.0 billion and $3.0 billion, respectively, of which approximately 97% in both years
are U.S. government agency guaranteed instruments. Investments in loan-backed and asset-backed securities are carried at
amortized cost, except for those securities rated as class 6 by the NAIC, which are carried at lower of amortized cost or fair value.
Sales of investments in fixed maturity securities resulted in $8.1 million and $24.0 million of net interest rate related gains being
accumulated in the IMR in 2014 and 2013, respectively, as follows:
December 31 (in millions)
Fixed maturity securities
Proceeds
Gross realized gains
Gross realized losses
2014
$1,251.1 8.6 (.5)
2013
$1,854.5
25.6
(1.6)
During 2014 and 2013, $26.3 million and $29.6 million, respectively, of the IMR was amortized and included in net investment income.
Sales of investments in equity securities resulted in $1.4 million and $1.1 million of net capital gains in 2014 and 2013, respectively
being recognized in net income as follows:
December 31 (in millions)
Equity securities
Proceeds
Gross realized gains
Gross realized losses
2014
$17.0 1.7 (.4)
2013
$10.0
1.3
(.2)
Maturities
The statement and fair values of investments in fixed maturity securities by contractual maturity (except for mortgage-backed
securities, which are stated at expected maturity) at December 31, 2014, are shown below. Expected maturities may differ from
contractual maturities because borrowers may have the right to prepay obligations with or without prepayment penalties.
December 31, 2014 (in millions)
Due in one year or less
Due after one year through five years
Due after five years through 10 years
Due after 10 years
Total
Statement
Value
Fair
Value
$  245.7 $  249.0
1,211.6 1,304.8
3,085.7 3,196.3
3,086.0 3,186.5
$7,629.0 $7,936.6
3. GUARANTEED FUNDS TRANSFERABLE
In 1980, Mutual of America terminated a reinsurance arrangement and assumed direct ownership of funds held by John Hancock
Mutual Life Insurance Company (Hancock), the former reinsurer, and direct liability for the contractual obligations to policyholders.
The liability to such policyholders is included as insurance and annuity reserves in the consolidated statutory statements of
financial condition. The principal amount of the funds held by the former reinsurer is guaranteed to earn at least 3.125% per year.
The guaranteed funds are transferable to Mutual of America over time through 2030 and are stated at the total principal amount
of future guaranteed transfers to Mutual of America of $18.8 million and $21.8 million at December 31, 2014 and 2013, respectively.
The actual interest and other allocated investment earnings related to this contract amounted to $1.0 million and $1.7 million in
2014 and 2013, respectively, and are included in net investment income.
38
Mutual of America annual report
4. REAL ESTATE
Real estate consists primarily of an office building that Mutual of America purchased for its corporate headquarters. The Company
occupies approximately one-third of this office building as its corporate headquarters and leases the remaining space. Depreciation
expense was $8.8 million and $8.6 million in 2014 and 2013, respectively.
5. PENSION PLAN AND POSTRETIREMENT BENEFITS
Pension Benefit and Other Benefit Plans
The Company has a qualified, noncontributory defined benefit pension plan covering virtually all employees. Benefits are
generally based on years of service and final average earnings. The Company’s funding policy is to contribute annually, at a
minimum, the amount necessary to satisfy the funding requirements under the Employee Retirement Income Security Act of
1974 (ERISA). The Company also maintains a nonqualified deferred compensation plan that provides benefits to employees whose
total compensation and calculated benefit exceeds the maximum allowable compensation limits for qualified retirement plans
under ERISA.
The Company has two defined benefit postretirement plans covering substantially all salaried employees. The postretirement
benefit plan expense required to be recorded under these plans was $15.1 million and $17.8 million in 2014 and 2013, respectively.
Employees may become eligible for such benefits upon attainment of retirement age while in the employ of the Company and
upon satisfaction of service requirements. One plan provides medical, dental and vision benefits and the second plan provides
life insurance benefits. The postretirement plans are contributory for those individuals who retire with less than 25 years of eligible
service, with retiree contributions adjusted annually, and contain other cost-sharing features, such as deductibles and coinsurance.
All benefit plans are underwritten by Mutual of America. To the extent that the claims do not exceed stop-loss limits for single
life occurrences, the plans are self-insured. Stop-loss coverage is purchased from an unaffiliated carrier.
As of January 1, 2014 and 2013 the Company had a total recognized liability for pension benefits of $38.3 million and $40.5 million,
respectively, consisting of an unamortized transition liability of $6.1 million and $10.2 million and the accrued benefit cost of $32.2
million and $30.3 million, respectively.
For other benefits, as of January 1, 2014 and 2013 the Company had total recognized liabilities of $54.2 million and $43.8 million,
respectively, for the postretirement medical plans and $62.8 million and $57.3 million, respectively, for the non-qualified deferred
compensation plans. The $54.2 million and $43.8 million recognized liability for the postretirement medical plans at January 1,
2014 and 2013 consisted of an unamortized transition liability of $5.6 million and $5.6 million and an accrued benefit cost of $48.6
million and $38.2 million. For the non-qualified deferred compensation plan, the recognized liability at January 1, 2014 and 2013
consisted of an unamortized transition obligation of $1.2 million and $1.2 million transition liability and a $61.6 million and a $56.1
million accrued benefit cost, respectively.
The expected amortization of the unrecognized transition liability will be $5.6 million for the postretirement medical plan and
$1.2 million for the non-qualified compensation plan, respectively, per year through 2022. As shown in the table below, the
Company also recorded a $12.0 million additional charge to surplus for the postretirement medical plan effective January 1, 2013,
beyond the minimum required, as permitted by SSAP No. 92. There was no additional charge to surplus for the postretirement
medical plan for 2014.
Mutual Of America annual report
39
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
The following table provides a status of the Company’s pension and postretirement benefit plans as of December 31, 2014 and
December 31, 2013 (millions):
Pension Benefits
2014
2013
Other Benefits
2014
2013
Accumulated Benefit Obligation
Projected Benefit Obligation
Plan Assets at Fair Value
Funded Status
Accrued Benefit Cost
Additional Surplus Charge greater than minimum
Unrecognized items
$245.0 $308.4 244.2 $ (64.2)
26.8 —
$ (37.4)
$219.1 $280.7 235.5 $ (45.2)
32.2 —
$ (13.0)
58.4 180.9 —
(180.9)
126.8 —
$ (54.1)
$  49.5
157.2
—
$(157.2)
98.3
12.0
$ (46.9)
Prior Service Costs
Unrecognized (Losses) Gains
Additional Surplus Charge Beyond Minimum
Transition asset
Total Unrecognized Liability
$   (.7)
(75.7)
—
39.0 $ (37.4)
$(.8)
(45.1)
—
32.9 $ (13.0)
2.7 $2.7
(56.8)
(49.6)
—
—
—
—
$ (54.1) $ (46.9)
The components of net periodic benefit costs as calculated in the January 1, 2014 and 2013 plan valuations are as follows:
Pension Benefits
December 31 (in millions)
2014
Service costs
$ 13.7 12.9 Interest cost on Projected Benefit Obligation (PBO)
Expected return on plan assets
(23.1)
Prior services costs
.7 Settlement
—
4.8 Amortization of unrecognized net loss (gain)
Net benefit expense $ 9.0 2013
$ 14.4 11.0 (18.9)
.7 —
9.7 $ 16.9 Other Benefits
2014
2013
$ 4.9 6.6 —
(.1)
1.2 2.5 $15.1 $ 6.4
6.2
—
(.1)
—
5.3
$17.8
The changes in the PBO and plan assets are as follows:
Pension Benefits
December 31 (in millions)
Change in PBO
PBO, beginning of the year
Service costs
Interest costs
Change in assumptions
Settlement
Actuarial loss (gain)
Effect of adoption of SSAP 102 and SSAP 92
Benefits and expenses paid
PBO, end of year
40
Mutual of America annual report
2014
$280.7 13.7 12.9 26.2 —
.1 —
(25.2)
$308.4 2013
$279.6 14.4 11.0 (14.8)
— 5.0 —
(14.5)
$280.7 Other Benefits
2014
$157.1 4.9 6.6 —
(1.2)
22.7 —
(9.2)
$180.9 2013
$119.8
6.4
6.2
(11.5)
—
8.9
30.8
(3.5)
$157.1
December 31 (in millions)
Pension Benefits
2014
Other Benefits
2013
Change in Plan Assets
Plan assets, beginning of the year
$235.4 Employer contributions
15.0 Return on plan assets
19.2 Benefits and expenses paid (25.2)
Plan assets, end of year
244.4 Plan assets (lower than) PBO $ (64.2) 2014
$188.9 15.0 45.3 (13.8)
235.4 $ (45.3) 2013
$    — $    —
—
—
—
—
—
—
—
—
$(180.9)
$(157.1)
At December 31, 2014 and 2013, all of the pension plan assets are invested in several of the investment funds offered by the
Company’s Separate Accounts and in the Company’s General Account, and consisted of approximately 82% in equity investments
and 18% in fixed-income investments. A distribution of plan assets by investment objective as of December 31, 2014 and 2013, is
as follows:
December 31, (in millions)
2014
Fixed Income Funds
Equity Funds:
Index Growth Balanced Total Level 1 Investments
General Account Total plan assets
2013
$ 41.6
119.3 43.5 36.3 $240.7 3.5 $244.2 $ 32.1
120.6
39.9
35.3
$227.9
7.5
$235.4
The underlying investments funds of the Separate Accounts are based on quoted market prices within an active market and as
such are classified as Level 1. Amounts held in the General Account are valued at contract value, which is equal to fair value.
Amounts held in the General Account are considered to be cash equivalents and are not subject to fair value evaluation.
The Company made contributions to its defined benefit plan of $15.0 million in both 2014 and 2013. The Company estimates that
it will make a contribution of at least $15.0 million to this plan in 2015. Benefits expected to be paid from this plan total $21.5
million in 2015, $17.2 million in 2016, $23.0 million in 2017, $20.8 million in 2018 and $24.0 million in 2019. The aggregate benefits
expected to be paid in 2020 through 2024 total approximately $145.0 million. The calculation of expected benefits is based on
the same assumptions used to measure the Company’s benefit obligation at December 31, 2014.
The assumptions used in determining the aggregate projected benefit obligation for pension and other benefit plans were as
follows:
Weighted average Assumptions at December 31 Discount rate
Rate of compensation increase
Expected return on plan assets
Pension Benefits
2014 2013
Postretirement
Medical
Non-qualified
Deferred
Compensation
2014 2014
2013
2013
3.75%4.50%4.25%4.50%3.25%4.50%
4.00%4.00%4.00%4.00%5.00%5.00%
9.50%9.50%
During 2014, the Company changed from using one blended discount rate assumption for its qualified pension plan, non-qualified
deferred compensation plan and its postretirement medical plans to a specific discount rate applicable to each plan based upon
the liability duration for each plan. Previously one discount rate assumption was used for all three plans based upon the blended
Mutual Of America annual report
41
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
liability duration of all three plans. As a result of this change, the discount rate for the qualified plan remained at 4.50% while the
non-qualified deferred compensation plan and the postretirement medical plan discount rates were changed from 4.50% to
4.00% and 5.25%, respectively. The Company believes that developing a discount rate applicable to each plan results in a more
refined determination of the company’s liability under each plan. The net effect of this change resulted in a net decrease in
postretirement medical expense for 2014 of $1.5 million had the Company applied the original rate of 4.50%.
The Company’s overall expected long-term rate of return on plan assets was determined based upon the current projected benefit
payout period and the current mix of plan investments, which generally consists of approximately 80% equity investments and
20% fixed-income investments. The Company believes that this investment mix properly matches the plan’s benefit obligations.
The equity component of the expected long-term rate of return was determined using a combination of the actual rate of return
of equities (net of inflation) and an inflation-adjusted equity rate of return (assuming an inflation rate of 3.7%) based upon
historical 30-year rolling averages.
The health care cost trend rate assumption has an effect on the amounts reported for the postretirement benefit plans. The
assumption is 5.5% for 2015, 5.0% for 2016, 5.0% for 2017, 5.0% for 2018, 5.0% for 2019 and 5.0% for 2020 and beyond. For
example, increasing the assumed health care cost trend rate by 1% each year would increase the accumulated postretirement
obligation for the plan as of December 31, 2014, by $14.5 million and the aggregate of the service and interest cost components
of the net periodic benefit cost for 2014 by $1.5 million. Benefits expected to be paid from this plan and the non-qualified deferred
compensation plan total $14.3 million in 2015, $10.7 million in 2016, $11.8 million in 2017, $16.5 million in 2018 and $12.7 million in
2019. Aggregated benefits expected to be paid in the period 2020 through 2024 total approximately $68.0 million. The calculation
of expected benefits is based on the same assumptions used to measure the Company’s benefit obligation at December 31, 2014.
Savings and Other Incentive Plans
All employees may participate in a Company-sponsored savings plan under which the Company matches a portion of the
employee’s contributions up to 6% of salary. The Company contributed $2.7 million and $2.6 million in 2014 and 2013, respectively.
The Company also has a long-term performance-based incentive compensation plan for certain employees and directors. Shares
under this plan are granted each year and generally vest over a three-year period. The value of such shares is equal to the number
of shares multiplied by the current share price, which is determined by the level of total assets of the Company. A financial
performance threshold measure must also be met in order to receive a payout at the end of the third year. The total expense
incurred related to these plans was $13.3 million and $13.5 million in 2014 and 2013, respectively. At December 31, 2014 and 2013,
the accrued liability related to these plans was $25.7 million and $23.9 million, respectively.
6. COMMITMENTS AND CONTINGENCIES
Rental expenses approximated $26.8 million and $26.5 million as of December 31, 2014 and 2013, respectively. The approximate
minimum rental commitments under noncancelable operating leases are as follows: $4.8 million in 2015; $3.9 million in 2016; $2.6
million in 2017; $1.9 million in 2018; $1.0 million in 2019 and $.6 million in 2020 and beyond. Such leases are principally for leased
office space and certain data processing equipment, furniture and communications equipment. Certain office space leases
provide for adjustments relating to changes in real estate taxes and other expenses.
The Company is involved in various legal actions that have arisen in the course of the Company’s business. In the opinion of
management, the ultimate resolution with respect to such lawsuits, as well as other contingencies, will not have a material adverse
effect on the Company’s consolidated financial statements.
42
Mutual of America annual report
7. FEDERAL INCOME TAXES
Effective January 1, 1998, Mutual of America’s pension business became subject to federal income tax. Mutual of America files
its federal income tax return on a separate company basis.
Mutual of America adopted SSAP No. 101, Income Taxes, a replacement of SSAP No. 10R, effective January 1, 2012. During the
first quarter of 2012, Regulation No. 172 was amended to adopt the provisions of SSAP No. 101. This guidance requires that a
deferred tax asset (DTA) or deferred tax liability (DTL) be established for temporary differences between the tax and statutory
reporting bases of assets and liabilities. The change in Mutual of America’s net DTA must be recorded as a separate component
of gains and losses in surplus.
Net DTAs are required to be recorded as an admitted asset to the extent that the amount will be realized within three years,
subject to a maximum admitted asset equal to 15% of statutory surplus and to the Company’s risk based capital ratio exceeding
certain thresholds.
A reconciliation of the income tax (expense) recognized in the Company’s consolidated statutory financial statement of operations
to the amount obtained by applying the statutory rate of 35% to net gain from operations before federal income taxes follows:
December 31 (in millions)
Net gain from operations
Statutory rate
Tax at statutory rate
IMR amortization
Realized capital (gains) losses
Net capital gains (losses) deferred in IMR
Pension and post retirement medical benefits
Change in non-admitted assets
Change in Mutual of America’s net DTA
Other including LLC adjustment
Federal income tax (expense)
Effective tax rate
2014
$ 63.2 35%
(22.1)
9.2 (0.4)
(2.8)
9.1 0.9 (0.9)
5.7 $ (1.3)
2.1%
2013
$ 51.7
35%
(18.1)
10.3
(.3)
(8.4)
42.7
(22.5)
(6.7)
(.5)
$ (3.5)
6.7%
The federal income tax expense of $1.3 million in 2014 is primarily attributable to the Alternative Minimum Tax incurred by Mutual
of America and $3.5 million in 2013 relates primarily to the Company’s non-insurance subsidiaries.
The components of the net DTA recognized in the Company’s statement of financial condition are as follows:
December 31 (in millions)
Total gross DTAs excluding unrealized (gains) losses
Statutory valuation allowance adjustment
Total adjusted gross DTAs excluding unrealized (gains) losses
Total gross DTLs excluding unrealized (gains) losses
Mutual of America’s net DTA
Tax effect of unrealized (gains) losses
DTA nonadmitted
Mutual of America’s net admitted DTA
Non-insurance Subsidiaries DTA’s
Total net DTAs
2014
$ 250.1 $­   —
$250.1 (18.9)
231.2 2.2 (138.5)
94.9 0.2 $  95.1 2013
$ 251.6
—
$251.6
(21.3)
230.3
1.0
(145.2)
86.1
1.0
$  87.1
Mutual Of America annual report
43
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
At December 31, 2014, Mutual of America’s gross DTA including the tax effect of unrealized losses of $252.3 million consisted of
$229.7 million of ordinary DTAs and $22.6 million of capital DTAs. The net decrease in the gross DTA was $1.5 million excluding
unrealized (gains) losses. As shown in the above table, Mutual of America’s net admitted DTA increased by $8.8 million during 2014.
The tax effects of temporary differences that give rise to a significant portion of the DTAs and DTLs arise from the differing
statutory and tax-basis treatment of assets and liabilities, insurance and annuity reserves, realized capital gains and losses on
investment transactions, nonadmitted assets and net operating loss carryforwards. Included in such differences are items
resulting from transition rules under the Internal Revenue Code as of January 1, 1998, which accompanied the change in taxation
of Mutual of America’s pension business. The transition rules will continue to moderate Mutual of America’s current tax expense
over the next several years. As such, Mutual of America incurred a federal income tax expense of $.8 million in 2014 and $.8 million
in 2013. The other $.4 million in 2014 and $2.6 million in 2013 of the tax expense shown on the Consolidated Statement of
Operations and Surplus relates to the operating results of the Company’s non-insurance subsidiaries. At December 31, 2014, the
Company had net operating loss carryforwards of approximately $161.6 million, expiring at various dates between 2021 and 2026.
Effective April 1, 2014, Mutual of America’s non-insurance subsidiaries converted from Delaware Corporations to Delaware Limited
Liability Companies (LLC’s). As a result of this conversion, the non-insurance subsidiaries will no longer be included in a noninsurance consolidated income tax return, but rather each entity will be treated as a disregarded entity of Mutual of America for
federal income tax purposes and its financial results will be included in the federal and state income tax returns of Mutual of
America, as applicable.
On October 20, 2014, the Internal Revenue Service initiated an audit of the non-insurance subsidiaries’ tax return for the year
2013. The Company believes that additional taxes, if any, assessed for the year under examination will not have a material effect
on its financial position.
8. FAIR VALUE OF FINANCIAL INSTRUMENTS
The fair values of financial instruments have been determined using available market information and the valuation methodologies
described below. Considerable judgment is often required in interpreting market data to develop estimates of fair value for financial
instruments for which quoted market prices are not available or an inactive market for the instrument currently exists. Accordingly,
certain fair values presented herein (refer to Note 2) may not necessarily be indicative of amounts that could be realized in a current
market exchange. The use of different assumptions or valuation methodologies may have a material effect on the estimated fair
value amounts. Amounts related to the Company’s financial instruments at December 31, 2014 and 2013, were as follows:
2014
(in millions)
Statement
Value
Fair
Value
2013
Statement
Value
Fair
Value
ASSETS
Bonds and notes $7,598.0 Common stocks
25.4 Cash and short-term investments
40.7 Guaranteed funds transferable
18.8 $7,905.6 25.4 40.7 21.8 $7,533.5 $7,704.5
31.5 31.5
39.6 39.6
21.8 22.1
LIABILITIES
Insurance and annuity reserves $6,705.3 $6,917.3 $6,732.6 $6,889.1
44
Mutual of America annual report
Fixed Maturities and Equity Securities — Fair value for fixed maturities is determined by reference to market prices quoted by
an independent pricing source. If quoted market prices are not available, fair value is determined using internal valuation models
and techniques or based upon quoted prices for comparable securities. Fair value for equity securities is determined by reference
to valuations quoted by an independent pricing organization.
Cash and Short-Term Investments — The carrying value for cash and short-term investments approximates fair values due to
the short-term maturities of these instruments.
Guaranteed Funds Transferable — Fair value for guaranteed funds transferable is determined by reference to market valuations
provided by the former reinsurer.
Mortgage Loans — Fair value for mortgage loans is determined by discounting the expected future cash flows using the current
rate at which similar loans would be made to borrowers with similar credit ratings and remaining maturities.
Policy Loans — The majority of policy loans are issued with variable interest rates, which are periodically adjusted based on
changes in rates credited to the underlying policies and therefore are considered approximate fair value.
Insurance and Annuity Reserves — Contractual funds not yet used to purchase retirement annuities and other deposit liabilities
are stated at their cash surrender value. General Account policies are issued with variable interest rates that are periodically
adjusted based on changes in underlying economic conditions.
The fair value of immediate annuity contracts (approximately $.9 billion at both December 31, 2014 and 2013) was determined
by discounting expected future retirement benefits using current mortality tables and interest rates based on the duration of
expected future benefits. Weighted average interest rates of 3.29% and 3.94% were used at December 31, 2014 and 2013,
respectively.
9. SIGNIFICANT DIFFERENCES BETWEEN STATUTORY ACCOUNTING PRACTICES AND
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP)
The accompanying financial statements are presented in conformity with statutory accounting practices prescribed or permitted
by the New York Department (statutory accounting), which practices differ from GAAP. The significant variances between such
practices and GAAP are described below. The Company has not computed the variance between Surplus and Net Income
calculated in accordance with statutory accounting practices prescribed or permitted by the New York Department and GAAP,
as there is no reporting requirement to do so and the costs involved exceed the benefits derived from these calculations.
Generally, GAAP results in a more favorable presentation of the Company’s financial condition.
Asset Valuations and Investment Income Recognition
GAAP requires the Company’s bonds and notes to be classified as either held to maturity (HTM) or available for sale (AFS);
whereas for statutory accounting, no such classification is required. In addition, for GAAP, AFS bonds and notes are carried at
their fair value with the unrealized gains and losses applied directly to equity; whereas for statutory accounting, all bonds and
notes in good standing are carried at their amortized cost.
Realized capital gains and losses, net of applicable taxes, arising from changes in interest rates are recognized in income currently
for GAAP accounting, rather than accumulated in the IMR and amortized into income over the remaining life of the security sold
for statutory accounting.
Mutual Of America annual report
45
NOTES TO CONSOLIDATED STATUTORY FINANCIAL STATEMENTS
December 31, 2014 and 2013
A general formula-based Asset Valuation Reserve is recorded for statutory accounting purposes, whereas such a reserve is not
required under GAAP.
For statutory accounting, certain assets, principally net deferred income tax assets not expected to be realized within three years,
furniture and fixtures and prepaid expenses are excluded from the statement of financial condition by a direct charge to surplus;
whereas under GAAP, such assets are carried at cost, net of accumulated depreciation.
Policy Acquisition Costs
Under GAAP, policy acquisition costs that are directly related to and vary with the production of new business are deferred and
amortized over the estimated life of the applicable policies, rather than being expensed as incurred, as required under statutory
accounting.
Insurance and Annuity Reserves
Under statutory accounting practices, the interest rates and mortality and morbidity assumptions used are those which are
prescribed or permitted by the New York Department. Under GAAP, for annuities, the interest rate assumptions used are generally
those assumed in the pricing of the contract at issue; for disability benefits, the interest rates assumed are those anticipated to be
earned over the duration of the benefit period. Mortality and morbidity assumptions are based on Company experience.
Premium Recognition
Insurance contracts that do not subject the insurer to significant mortality or morbidity risk are considered, under GAAP, to be
primarily investment contracts. GAAP requires all amounts received from policyholders under these investment contracts to be
recorded as a policyholder deposit rather than as premium income.
Deferred Income Taxes
GAAP requires that a deferred tax asset or liability be established to provide for temporary differences between the tax and
financial reporting bases of assets and liabilities. Statutory accounting adopted similar accounting principles, except that deferred
income tax assets (net of any required valuation allowance) are recognized for statutory accounting only to the extent that they
can be utilized within three years; whereas for GAAP, all such assets are recognized (net of any required valuation allowance)
regardless of when they will be utilized until they expire. All changes in deferred income tax assets or liabilities are recorded
directly as a charge or benefit to surplus for statutory accounting purposes.
Cash and Short-Term Investments
The Statements of Cash Flows are presented in accordance with statutory accounting. This reporting format differs from GAAP,
which requires a reconciliation of net income to net cash from operating activities. The statutory Statements of Cash Flows
include changes in cash and short-term investments and also certain non-cash related changes.
10. SUBSEQUENT EVENTS
The Company has evaluated subsequent events through March 19, 2015, the date the financial statements were available to
be issued, and no events have occurred subsequent to the balance sheet date and before the date of evaluation that would
require disclosure.
46
Mutual of America annual report
Independent Auditors’ Report
The Board of Directors
Mutual of America Life Insurance Company:
We have audited the accompanying consolidated statutory financial statements of Mutual of America Life Insurance Company
and its subsidiaries, which comprise the consolidated statutory statements of financial condition as of December 31, 2014 and
2013, and the related consolidated statutory statements of operations and surplus, and cash flows for the years then ended, and
the related notes to the consolidated statutory financial statements.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with statutory
accounting practices prescribed or permitted by the New York State Department of Financial Services. Management is also
responsible for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation
of financial statements that are free from material misstatement, whether due to fraud or error.
Auditors’ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in
accordance with auditing standards generally accepted in the United States of America and in accordance with the auditing
standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements.
The procedures selected depend on the auditors’ judgment, including the assessment of the risks of material misstatement of
the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control
relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal
control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies
used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Basis for Adverse Opinion on U.S. Generally Accepted Accounting Principles
As described in Notes 1 and 9 to the consolidated financial statements, these financial statements are prepared by Mutual of
America Life Insurance Company using statutory accounting practices prescribed or permitted by the New York State Department
of Financial Services, which is a basis of accounting other than U.S. generally accepted accounting principles. Accordingly, the
financial statements are not intended to be presented in accordance with U.S. generally accepted accounting principles.
The effects on the financial statements of the variances between the statutory accounting practices described in Notes 1 and 9
and U.S. generally accepted accounting principles, although not reasonably determinable, are presumed to be material.
Mutual Of America annual report
47
Adverse Opinion on U.S. Generally Accepted Accounting Principles
In our opinion, because of the significance of the variances between statutory accounting principles and U.S. generally accepted
accounting principles discussed in the Basis for Adverse Opinion on U.S. Generally Accepted Accounting Principles paragraph,
the financial statements referred to above do not present fairly, in accordance with U.S. generally accepted accounting principles,
the financial position of Mutual of America Life Insurance Company as of December 31, 2014 and 2013, or the results of its
operations or its cash flows for the years then ended.
Opinion on Statutory Basis of Accounting
In our opinion, the consolidated statutory financial statements referred to above present fairly, in all material respects, the
financial condition of Mutual of America Life Insurance Company and its subsidiaries as of December 31, 2014 and 2013, and the
results of their operations and their cash flows for the years then ended, in accordance with statutory accounting practices
prescribed or permitted by the New York State Department of Financial Services described in Notes 1 and 9
New York, NY
March 19, 2015
48
Mutual of America annual report
mutual of america officers
Thomas J. Moran
Chairman of the Board and Chief
Executive Officer
John R. Greed
President
William S. Conway, CLU,
ChFC
Senior Executive Vice President
and Chief Operating Officer
William Rose
Senior Executive Vice President
and Chief Marketing Officer
James J. Roth
Senior Executive Vice President
and General Counsel
Paul Travers, CFA, FLMI
Chairman, President and Chief
Executive Officer
320 Park Analytics LLC
Amir Lear, CFA
Chairman and Chief
Executive Officer
Mutual of America Capital
Management LLC
Thomas J. Dillman, CFA
President
Mutual of America Capital
Management LLC
Thomas Gilliam, CLU
Chairman and Chief
Executive Officer
Mutual of America Foundation
Theodore L. Herman, CLU,
ChFC
Vice Chairman
Mutual of America Foundation
Actuarial Services
Jeremy J. Brown, FSA,
MAAA, EA, CLU, ChFC
Executive Vice President
and Chief Actuary
Corporate Actuarial
Virginia A. Carlisi, FLMI,
ACS
Vice President
Fanny F. Eng, FSA, MAAA,
EA
Vice President and Actuary
Joseph A. Gross, FSA,
MAAA
Vice President and Actuary
Andrew B. Hirschfeld, ASA,
MAAA
Vice President and Actuary
Steve Ngai, FSA, MAAA
Vice President and Actuary
Actuarial Consulting
Mark Koehne, MAAA, EA
Senior Vice President
and Actuary
David M. Block, MAAA, EA
Vice President and Actuary
Robert J. McElroy, MAAA,
EA
Vice President and Actuary
Judy Mui
Vice President
Joanne Chang
Second Vice President
Jenny B. Kim
Second Vice President
Administrative
Technical Services
Jared Gutman
Executive Vice President
and Chief Privacy Officer
Administrative Services
Dennis S. McManus, FLMI,
ACS
Senior Vice President
Rachelle Rossini
Second Vice President
Joseph Aurello
Second Vice President
Thomas Isenberg, FLMI,
CEBS, AFSI
Second Vice President
Corporate Law
Jennifer Rajpat, ACS, AIAA
Second Vice President
Scott H. Rothstein
Executive Vice President and
Deputy General Counsel
Corporate Finance
Chris W. Festog, CPA
Executive Vice President and
Chief Financial Officer
George L. Medlin, CIA
Executive Vice President
and Treasurer
Budget & Cost Accounting
Nicholas A. Branchina
Senior Vice President
Robert Healy, CAMS
Vice President
William J. Krupskas
Vice President
Corporate Tax
Harold J. Gannon
Senior Vice President
Estelle E. Miller, CPA
Vice President
Technical Services
Financial Reporting
Nicole Lanni, FLMI, ACS,
CIA
Senior Vice President
Christopher M. Miseo, CPA
Senior Vice President and
Director of Accounting and
Financial Reporting
Miro Beverin, FLMI, ACS
Vice President
Victor Fried, FSA, MAAA,
EA
Vice President and Actuary
John A. Schabhutl, CPA
Vice President and Deputy
Director of Financial Reporting
Thomas K. Ng
Second Vice President
Financial Systems
Barry S. Goldberg
Vice President
Brian J. Keogh
Vice President
Raymond Guinta
Vice President
Joe Tsien
Second Vice President
Cindy Y.W. Lee
Vice President
Planning and Analysis
Thomas J. Poulakowski
Vice President
Kenneth F. Powers, CEBS,
ACS
Vice President
Dawn C. Weissman
Vice President
James Buckland
Senior Vice President
Timothy R. Johnson
Second Vice President
Employee Benefits
Michael P. Mulligan
Second Vice President
Kathleen L. Summers, FLMI,
ACS, AIAA
Second Vice President
Katherine Cannizzaro
Senior Vice President
Treasury
Myron O. Schlanger, CPA,
FLMI
Senior Vice President and
Associate Treasurer
Anne Marie Carroll
Senior Vice President and
Associate General Counsel
Nicholas S. Curabba
Senior Vice President and
Associate General Counsel
James K. McCutcheon
Senior Vice President and
Associate General Counsel
Vincent R. Fitzpatrick, III
Vice President and
Associate General Counsel
Anne M. McCarthy
Vice President and
Associate General Counsel
Thomas M. Hogan
Vice President and
Associate General Counsel
Thomas Ciociano
Senior Vice President
Jenny Lum, FLMI, ACS
Vice President
Fareeza Mohamed
Second Vice President
Facilities Management
Sean Carroll
Senior Vice President
John Terwilliger, FLMI, ACS
Senior Vice President
Hal Bacharach
Vice President
James D. Gribbin
Vice President
James Griffin
Vice President
Human Resources
Michael E. Conway, SPHR
Senior Vice President
Amy M. Latkin
Vice President and
Assistant General Counsel
Tanisha L. Cash, PHR, CCP
Senior Vice President
Enterprise Risk
Management
John R. Luebs
Senior Vice President
Jeffrey Tsai, FSA
Senior Vice President
Debra A. Branson
Vice President
Mary Ellen McCarren, FLMI,
ACS
Vice President
Training & Leadership
Development
FINRA/SEC Regulatory
Compliance
Kathryn Lu
Executive Vice President and
Chief Compliance Officer
Eileen M. Tarasco
Vice President
Kyle Medlin
Second Vice President
Maria L. Brophy
Senior Vice President
Human Resources &
Corporate Services
Steven Duong, CPA
Vice President
Daniel J. LeSaffre
Executive Vice President
Aferdita Gutierrez
Second Vice President
Corporate Services
Carson J. Dunbar, Jr.
Senior Vice President
Lynn M. Nadler, FLMI, ACS,
AIAA
Senior Vice President
Joseph Krakowski, ACS,
AIAA
Vice President
John P. O’Connor
Vice President
Internal Audit
John J. Corrigan, CPA, CIA,
CISA
Executive Vice President
and Internal Auditor
Diana H. Glynn, CPA, CIA,
CISA, FLMI, ACS
Vice President
Robert P. Kane, CIA, CFSA
Vice President
Hendrix J. Paul, CISA
Second Vice President
Mutual Of America annual report
49
mutual of america officers
Marketing & Corporate
Communications
Administration
Sean A. Mannion
Senior Vice President
Florence Ferguson, ACS,
AIAA
Vice President
Samuel M. Greene
Vice President
Mario F. Bento
Vice President
Martine A. Krause, ACS,
AIAA
Vice President
John R. Gilbride
Vice President
Taryn M. Lubin
Vice President
Michael P. Heffernan, CEBS,
CLU, ChFC
Vice President
Kathleen M. Mullally, CLU,
ChFC
Vice President
Peter R. Skrzypinski, FLMI,
ACS
Vice President
Kieran P. O’Dwyer
Vice President
Annette C. Henry, CLU
Field Vice President
Advertising, Direct
Response
& Telemarketing
Ed Wonacott
Senior Vice President
Frances Infantino
Senior Vice President
Marcia Hudson
Vice President
Paul L. Morigerato
Vice President
Linda M. Pistey
Second Vice President
Matthew J. Malm
Second Vice President
James Gober
Executive Field Vice President,
Western Region
Louis A. Montanti, CEBS
Executive Field Vice President,
Eastern Region
Barbara Romine-Greene,
CEBS, RPA, CRPS
Executive Field Vice President,
Mid-South Region
Gary P. Wetterau, CFA
Executive Vice President
Phil Jordan
Vice President
Jacqueline Sabella
Vice President
Lydia Kieser
Vice President
Michelle Olave, CFA
Second Vice President
Esther M. Lester, FLMI, ACS
Vice President
Marketing
S. Albert Singh, FLMI
Vice President
Office of Technology-NY
Information Security
Alfie Tucker
Vice President
Office of the
Chairman, President &
Chief Executive Officer
Andrew Katz
Second Vice President
External Affairs
Financial Consulting
Services
William G. Shannon
Senior Vice President
Greg F. Auman
Vice President
Mary Ellen Dolan, CEBS
Vice President
Joseph Hummel
Senior Vice President
Edward J. T. Kenney
Special Consultant, Assistant
to the Chairman
Strategic Planning
Michael J. O’Grady
Senior Vice President
Zohreh Ghaissari
Vice President
Office of the
Secretary
Ann M. Norton
Vice President
Diane M. Aramony
Executive Vice President
and Corporate Secretary/Assistant
to the Chairman
Joseph S. Reeves
Vice President
Stephen Saladrigas, ChFC
Vice President
Corporate Communications
Patricia R. Sawyers
Vice President
Jeffrey M. Angelo
Executive Vice President
Brian Sullivan
Vice President
Barbara Crane
Senior Vice President
Kellie T. Thomas
Vice President
Mary-Clare Swanke, FLMI,
ACS
Senior Vice President
National Accounts/
Institutional Funds
Annette Barbasch
Vice President
Thomas E. MacMurray, CLU,
ChFC, FLMI
Senior Vice President
John P. Clare
Vice President
Office of Technology
Joan M. Squires, CEBS
Executive Vice President and
Chief Information Officer
Peter Nicklin
Senior Vice President
IT Operations
Robert Giaquinto
Executive Vice President
Salvatore P. Conza
Senior Vice President
Howard J. Rubin
Senior Vice President
Sonia Samuels
Senior Vice President
Michael L. Ellis
Vice President
Ronald Fried
Vice President
50
Corinne Joffe
Vice President
Scott Stankiewicz, CEBS,
RPA, CRPS
Executive Field Vice President,
Mid-West Region
Competition & Research
Paul O’Hara
Senior Vice President
Sales Operations
Mutual of America annual report
Dennis J. Routledge
Senior Vice President
John Ciesla, CISSP
Vice President
Joseph P. O’Reilly
Vice President
Kevin J. Quinn
Vice President
Research
Joseph R. Gaffoglio, CFA,
CPA
Executive Vice President
IT Business Applications/
Telecommunications
James P. Accurso, CFA
Senior Vice President
and Director of Fixed
Income Research
Susan Watson
Vice President
David W. Johnson
Senior Vice President
Evelyn Trujillo
Second Vice President
Duygu Akyatan
Vice President
Julie Moulic
Second Vice President
Evan B. Carpenter, CFA
Vice President
LAN Administration/
Solution Center
Kevin Frain, Jr.
Vice President
Joseph Antonowicz
Vice President
Youlian Simov
Vice President
Mutual of America
Capital Management
LLC
John Korbis
Vice President
Alexander Kotlyar
Vice President
Isabel E. Macalintal
Vice President
Administration
Nirav Parikh
Vice President
Thomas P. Kelly
Vice President
John Polcari
Vice President
Client Services
Kirsten Ramstrom
Vice President
Nancy McAvey
Senior Vice President
Equities
Stephen J. Rich
Executive Vice President
and Chief Equity Strategist
Marguerite H. Wagner
Executive Vice President
Fixed Income
Andrew L. Heiskell
Executive Vice President and
Director of Fixed Income
Jamie A. Zendel
Vice President
Alexander Ginis
Second Vice President
Robert J. Lewis, III, CFA
Second Vice President
Michael Mastrogiannis
Second Vice President
MUTUAL OF AMERICA REGIONAL OFFICES
AKRON, OHIO
CHICAGO, ILLINOIS
HONOLULU, HAWAII
MILWAUKEE, WISCONSIN
Korinna Gundrum, CRPS
Regional Vice President
Christopher Conway, ChFC
Senior Field Vice President
Lee M. Robinson
Associate Account Executive
Troy S. Johnson
Senior Regional Vice President
Carter M. Adler, ACS
Service Manager
Pamela M. Kodrich
Vice President
Embassy Corporate Park
3700 Embassy Parkway
Suite 500
Akron, OH 44333-8377
Tel. (330) 665-1915
Four Westbrook
Corporate Center
Suite 240
Westchester, IL 60154-5736
Tel. (708) 836-0644
737 Bishop Street
Suite 2305
Honolulu, HI 96813-3211
Tel. (808) 532-1055
Lisa A. Thurston, ACS,
CRPS, AIAA
Vice President
ANCHORAGE, ALASKA
CINCINNATI, OHIO
Dennis Dudley, CRPS
Account Executive
Mark Deady, CEBS, CRPC,
CRPS
Senior Regional Vice President
Denali Towers South
2600 Denali Street
Suite 502
Anchorage, AK 99503-2754
Tel. (907) 274-7449
ATLANTA, GEORGIA
Austin Ort, ChFC, CLU,
CRPS
Vice President
Gregory S. Hibbert, CRPS
Service Manager
Five Concourse Parkway, NE
Suite 1275
Atlanta, GA 30328-7102
Tel. (770) 396-9795
BALTIMORE, MARYLAND
Michael R. Braney, CRPS
Vice President
Nathan Foster, ACS
Second Vice President
Court Towers
210 West Pennsylvania Avenue
Suite 210
Towson, MD 21204-5301
Tel. (410) 825-7770
BOSTON, MASSACHUSETTS
Christopher Bailey, ChFC,
CRPS
Senior Field Vice President
James McAdams, CEBS,
CRPS
Vice President
Westborough Office Park
1800 West Park Drive
Suite 350
Westborough, MA 01581-3927
Tel. (508) 366-2418
Stephen G. Yards, CEBS
Field Vice President
Cristie A. Sams
Service Manager
HOUSTON, TEXAS
Christopher Thompson
Senior Field Vice President
Shari M. Lavelle, FLMI, ACS,
PCS, ARA, AIAA
Second Vice President
3040 Post Oak Boulevard
Suite 1250
Houston, TX 77056-6552
Tel. (713) 850-1371
INDIANAPOLIS, INDIANA
Turfway Ridge Office Park
7300 Turfway Road
Suite 560
Florence, KY 41042-1386
Tel. (859) 283-1200
Mark Deady, CEBS, CRPC,
CRPS
Senior Regional Vice President
DALLAS, TEXAS
300 North Meridian Street
Suite 1000
Indianapolis, IN 46204-1382
Tel. (317) 237-2190
Jody A. Jurica, CEBS
Senior Field Vice President
Christopher Geddie, CRPS
Service Manager
Urban Towers North
Suite 1420-N
222 Las Colinas Boulevard West
Irving, TX 75039-5446
Tel. (972) 556-2371
DENVER, COLORADO
Scot McMorris, CRPS
Regional Vice President
Brendan Tucker
Service Manager
Plaza Tower One
6400 South Fiddler’s Green Circle
Suite 1700
Greenwood Village, CO 80111-4961
Tel. (303) 694-6102
HARTFORD, CONNECTICUT
Robert V. Fay, CEBS
Senior Field Vice President
Joy Beatrice-Cody, FLMI,
ACS, AIAA
Vice President
JoAnn Bule, CEBS
Vice President
LONG ISLAND, NEW YORK
David J. Lynch
Senior Field Vice President
Joseph Mullady, FLMI, ACS
Vice President
Two Jericho Plaza, Suite 303
Jericho, NY 11753-1670
Tel. (516) 937-9177
LOS ANGELES,
CALIFORNIA
Brian Q. Severin, CRPS
Senior Regional Vice President
Shannon Moriarty, ACS,
CRPS, AIRC
Vice President
Rosa R. Weyman, CRPS
Field Vice President
111 W. Ocean Boulevard
Suite 925
Long Beach, CA 90802-7931
Tel. (562) 983-0407
Paul T. Wierzba, CEBS,
CRPS
Field Vice President
Two Park Plaza
10850 West Park Place
Suite 520
Milwaukee, WI 53224-3637
Tel. (414) 359-1221
MINNEAPOLIS, MINNESOTA
Troy S. Johnson
Senior Regional Vice President
Beth A. Eberbach, FLMI,
ACS, PCS
Vice President
Normandale Lake Office Park
8000 Norman Center Drive
Suite 1110
Bloomington, MN 55437-1119
Tel. (952) 820-0089
NASHVILLE, TENNESSEE
NEW YORK CITY, NEW
YORK
Tyrone A. Golatt, FLMI
Senior Regional Vice President
Harry Harris
Vice President
One Liberty Plaza
165 Broadway, Suite 4601
New York, NY 10006-1465
Tel: 212-587-9045
PARSIPPANY, NEW JERSEY
Michael J. Scott
Vice President
Justin J. DiGirolamo, ACS
Service Manager
Morris Corporate Center
300 Interpace Parkway
Suite 260
Parsippany, NJ 07054-1125
Tel. (973) 299-8228
PHILADELPHIA,
PENNSYLVANIA
Charles P. Bagley CLU,
ChFC, FLMI, CRPS, CEBS,
RPA, CASL
Vice President
LaDoverick Huggins
Senior Field Vice President
William R. Gallagher, CRPS
Field Vice President
Melanie J. De Cant, FLMI,
ACS
Service Manager
Anthony C. DePiero, FLMI,
ACS
Second Vice President
One Lakeview Place
25 Century Boulevard
Suite 411
Nashville, TN 37214-3601
Tel. (615) 872-8223
Blue Bell Executive Campus
470 Norristown Road, Suite 301
Blue Bell, PA 19422-2322
Tel. (610) 834-1754
PHOENIX, ARIZONA
NEW ORLEANS, LOUISIANA
James Murphy, CRPS
Seniior Field Vice President
Eileen Gettys, CEBS, CRPS
Field Vice President
Mariela M. Rodriguez, FLMI,
ACS, CRPS
Second Vice President
Three Lakeway Center
3838 North Causeway Boulevard
Suite 3100
Metairie, LA 70002-8342
Tel. (504) 832-9055
Benjamin D. Bartel, CRPS
Vice President
Ann M. Balzano
Vice President
Biltmore Financial Center
2398 E. Camelback Road
Suite 510
Phoenix, AZ 85016-9012
Tel. (602) 224-8080
Somerset Square
95 Glastonbury Boulevard
Suite 410
Glastonbury, CT 06033-4414
Tel. (860) 659-3610
MUTUAL OF AMERICA ANNUAL REPORT
51
mutual of america regional offices
Pittsburgh,
Pennsylvania
Patrick A. Ring, CRPS
Vice President
Meghan McIntyre, ACS,
AIAA
Vice President
Three Gateway Center
401 Liberty Avenue
Suite 2378
Pittsburgh, PA 15222-1011
Tel. (412) 391-1300
Queens, New York
Tyrone A. Golatt, FLMI
Senior Regional Vice President
Adyna Pressley
Second Vice President
Forest Hills Tower
118-35 Queens Boulevard
Suite 1602
Forest Hills, NY 11375-7251
Tel. (718) 520-8998
St. Louis, Missouri
Southfield, Michigan
Ralph Joest, CRPS
Regional Vice President
James D. Fergusson, CLU,
ChFC, CEBS, RPA
Senior Field Vice President
Duane Stumpp, ACS, AIAA
Second Vice President
The Sevens Building
7777 Bonhomme Avenue
Suite 1710
St. Louis, MO 63105-1940
Tel. (314) 721-3123
Norman Watkins, Jr., ACS
Service Manager
Arboretum One
9100 Arboretum Parkway
Suite 360
Richmond, VA 23236-3493
Tel. (804) 560-0023
Brian Q. Severin, CRPS
Senior Field Vice President
Janet Koblen, ACS
Vice President
James Tiensvold, CEBS
Field Vice President
Symphony Towers
750 B Street
Suite 2860
San Diego, CA 92101-8132
Tel. (619) 544-0860
San Francisco,
California
Abbas Moloo, CEBS, CRPS
Vice President
Michael P. Malone, ACS,
CRPS
Vice President
Rochester, New York
1333 North California Boulevard
Suite 660
Walnut Creek, CA 94596-4504
Tel. (925) 937-9900
Brian Thomas, CRPS
Vice President
Seattle, Washington
Edwin W. Wallace, FLMI,
ACS, ALMI
Vice President
Linden Oaks Office Park
90 Linden Oaks, Suite 210
Rochester, NY 14625-2808
Tel. (585) 264-9890
One Northwestern Plaza
28411 Northwestern Highway
Suite 1100
Southfield, MI 48034-5518
Tel. (248) 351-4190
San Diego, California
Richmond, Virginia
Nicholas R. Forst, CRPS
Regional Vice President
Julie Malewski
Vice President
Tampa Bay, Florida
Jeanne E. Tyre, ChFC
Vice President
Krista Farinas, FLMI, ACS
Service Manager
Bayport Plaza
3000 Bayport Drive
Suite 950
Tampa, FL 33607-8408
Tel. (813) 281-8882
Tarrytown, New York
Leonard Egan, CLU,
ChFC, CRPS
Vice President
Martha Sulca
Service Manager
120 White Plains Road
Suite 120
Tarrytown, NY 10591-5588
Tel. (914) 332-0124
Washington, D.C.
Renee Shew, CEBS, CRPS
Vice President
David Lim, CRPS
Regional Vice President
Geoffrey Callan, CEBS
Field Vice President
Clifton Anderson
Service Manager
Caroline Magruder, FLMI,
ACS, CRPC
Service Manager
Alderwood Business Center
3400 188th St. S.W.
Suite 440
Lynnwood, WA 98037-4773
Tel. (425) 778-8434
One Research Court
Suite 350
Rockville, MD 20850-6223
Tel. (301) 977-6717
West Palm Beach,
Florida
Ivan B. Gregory, CRPS,
CRPC
Vice President
Debbie A. Rogers
Vice President
One Lakeside at Centrepark
1450 Centrepark Boulevard
Suite 200
West Palm Beach, FL 33401-2280
Tel. (561) 471-1445
52
Mutual of America annual report
Mutual of America
National Telecommunications
and Conference Center
1150 Broken Sound Parkway N.W.
Boca Raton, FL 33487-3598
Before investing in our variable annuity contracts, you should consider the investment objectives, risks, charges and
expenses (a contract fee, Separate Account expenses and Underlying Funds expenses) carefully. This and other
information is contained in the contract prospectus or brochure and Underlying Funds prospectuses. Please read
the prospectuses and brochure carefully before investing. The prospectuses and brochure can be obtained by calling
1-800-468-9185 or visiting mutualofamerica.com.
Mutual of America’s group and individual retirement products are variable annuity contracts and are suitable for long-term investing, particularly
for retirement savings. The value of a variable annuity contract will fluctuate depending on the performance of the Separate Account investment
funds you choose. Upon redemption, you could receive more or less than the principal amount invested. A variable annuity contract provides no
additional tax-deferred treatment of benefits beyond the treatment provided to any qualified retirement plan or IRA by applicable tax law. You
should carefully consider a variable annuity contract’s other features before making a decision.
Withdrawals from our products are generally subject to income tax at your ordinary income tax rate at the time of withdrawal, and if made prior to
age 59 1/2 , a 10% federal tax penalty.
Statements made in this publication by clients of Mutual of America are not paid testimonials. These testimonials may not be representative of the
experience of other clients and are not indicative of future performance or success.
While these ratings do not apply to the safety or investment performance of the Separate Account investment funds available under Mutual of
1
America’s products, they do reflect the Company’s ability to fulfill its General Account obligations, which include its obligations under the Interest
Account, annuity purchase rate guarantees and annuity benefit payouts, as well as life insurance and disability income payments. Third party ratings
are subject to change.
Ibid.
2 Ruth Helman, Nevin Adams, Craig Copeland, and Jack VanDerhei, “The 2014 Retirement Confidence Survey: Confidence Rebounds — for Those With
3
Retirement Plans,” EBRI Issue Brief, no. 397 (March 2014), http://www.ebri.org/surveys/rcs/2014/EBRI_IB_397_Mar14.RCS.pdf.
D’Vera Cohn and Paul Taylor, “Baby Boomers Approach 65 – Glumly,” Pew Research Center, Washington, D.C., (December 20, 2010), http://www.
4
pewresearch.org/daily-number/baby-boomers-retire/.
The target date set forth in each Retirement Fund’s name is the approximate date that the fund expects investors to retire and begin withdrawing
5
their account balance. The value of a Retirement Fund is not guaranteed at any time, including at and after the target date. There is no guarantee
that a Retirement Fund will correctly predict market or economic conditions, and as with other mutual fund investments, you could lose money. In
addition to a retirement date, individuals should consider their risk tolerance, time horizon, personal circumstances and complete financial situation
before investing.
Fact Sheet: 2009 Survey of Employee Sentiments on Saving for Retirement,” Retirement Made Simpler, (September 2009), http://www.
6
RetirementMadeSimpler.org/Library/RMS_Styles_Fact_Sheet_FINAL_092309.pdf.
7
See the November 7, 2007, study by Harris Interactive on behalf of Retirement Made Simpler, available at www.retirementmadesimpler.org/Library/
8
Annamaria Lusardi and Olivia S. Mitchell, “Financial Literacy and Planning: Implications for Retirement Wellbeing,” (October 2006), http://www.
FINAL%20RMS%20Topline%20Report%2011-5-07.pdf.
dartmouth.edu/~alusardi/Papers/FinancialLiteracy.pdf.
Ibid.
9
Ibid.
10
11
Past performance is no guarantee of future returns.
The performance of the Separate Account investment funds is not guaranteed, and any assets allocated to them may decrease or increase in value.
12
Ken Hoover, “Target-Date Funds Gain In Popularity,” Investor’s Business Daily (April 25, 2014).
13
Mutual of America Life Insurance Company
320 Park Avenue, New York, NY 10022-6839
1-800-468-3785 • mutualofamerica.com
Mutual of America Life Insurance Company is a registered Broker-Dealer.
Mutual of America® and Mutual of America Your Retirement Company ®
are registered service marks of Mutual of America Life Insurance Company.
Design: Decker Design, Inc.
Photography: John Madere
Printing: RR Donnelley
Printed in the USA
Mutual of America
Life Insurance Company
320 Park Avenue
New York, New York 10022
mutualofamerica.com
“I feel comfortable
with my
investment
choices.”
“I’ll have more
“I wanted to
start contributing
as soon as I
started my job.”
saved for
retirement
than I thought
possible.”