The Center for Retirement Research (CRR) at Boston College's study finds half of Americans are at risk of having insufficient income to maintain their pre-retirement standard of living.
Data & Research
More than half plan to add to or enhance plan education and communication programs, and 21% plan to offer or enhance a company match.
Cerulli Associates says this is advisers’ biggest challenge.
However, advice seeking increases with age, account balance and annual contribution level.
This is up from 34% in 2016.
But, employees younger than 25 and older than 65 are more likely to say they try to save/invest their HSA funds, a survey finds.
They are making the move to become more competitive in light of the fact revenue growth has slowed to 7%.
The impact is greater for younger investors, as they have a long time horizon for saving, MassMutual finds.
Upon review, the correlations between financial education and improved financial behaviors is often better explained by other individual difference factors that were not measured in a given study, such as familiarity with numerical concepts, financial confidence, and willingness to take risks.
A number of key terms commonly present difficulty for nonprofit plan sponsors of all sizes—in particular the terminology surrounding “revenue sharing,” “fee levelization,” “fee policy statements,” and “3(21) vs. 3(38) advisers.”
Higher-income workers, making $90,000 a year, will pay $277,000, according to America’s Best 401k.
The Center for Retirement Research projects that 40% of those born between 1976 and 1985 will be unable to replace 75% of the income they received between the ages of 55 and 54 when they reach age 70.
New research from Finhabits, a retirement plan robo-advisory platform, suggests small businesses in Hispanic-majority metro areas struggle to offer retirement plans, but there are opportunities for significantly improving coverage in these areas and elsewhere.
With Americans expecting to live to age 90 and many finding retirement savings a challenge, work, at least part-time, could become a retirement expectation for many.
An American Century study also found that when offered the option of receiving either a 100% match on 3% of their retirement plan contributions or a 3% higher salary, 77% of pre-retirees chose the match.
In addition, the use of online sources of information and advice is growing.
Forty-six percent say they would “save less” or “stop saving” in their 401(k) if the tax deferred status of their plan was taken away, according to the Wells Fargo/Gallup Investor and Retirement Optimism Index.
Another 40% say they reduced their debt during the year.
More than half (52%) of Americans surveyed think individuals will play a larger role in health insurance and retirement savings, a survey finds.
A Lincoln Financial Group study found government employers want to see better technology, advanced plan designs and personalized service from providers.