Retirement security has become more important to many employees
The economic and financial crises over the last three years unveiled a retirement savings crisis long in the making. While Social Security’s shortfalls are a perennial worry, recent steep declines in 401(k) accounts — in some cases combined with inadequate savings over a longer period — and falling housing prices have forced many workers to shelve their dreams of a comfortable retirement, at least temporarily.
Since the economic crisis, nearly two-thirds of survey respondents have been paying closer attention to their retirement readiness. This is particularly true of older workers, DB plan participants and higher-income workers. Over the last three years, retirement security has taken on greater priority for nearly nine in 10 older workers
Business owners/managers will need to focus more on the quality of the retirement plan they offer to employees to attract and retain talented people. A great way to address this is to hire an independent fiduciary to a manage their company retirement plan. This will improve results and reduce anxiety.
Please comment or call to discuss how this affects you and your company.
- In Retirement Planning, Knowledge Trumps Confidence (money.usnews.com)
- Small Business Owners: Workers financially unprepared for retirement at crisis level. (401kplanadvisors.com)
- Benchmarking: The Key to a 401k Plan Sponsor’s Fiduciary Compliance Review (401kplanadvisors.com)