Plan Sponsors Interested in Plan Designs and Programs that Enhance Participant Wellness

Plan sponsors are interested in plan designs based on several key provisions of the SECURE 2.0 Act of 2022; expanding financial wellness initiatives; and developing innovative retirement income decumulation strategies, J.P. Morgan Asset Management found in its 2025 “Defined Contribution  Plan Sponsor Survey.”

However, plan sponsors eager to promote others’ well-being are not without room for improvement of their own. Some 53% of plan sponsors responding to the survey do not realize they are plan fiduciaries—despite each of them having legal obligations as such. This marks a decline from an already troubling 55% in 2023 and 57% in 2015 who did not realize their fiduciary status.

SECURE 2.0 Drives New Design Adoption

J.P. Morgan’s research found that several key provisions of the SECURE 2.0 Act of 2022 appeal to plan sponsors—suggesting the legislation could drive new innovations in plan design.

Seventy-eight percent of plan sponsors found making available a Roth plan—where employees can save after-tax money that will be tax-free upon withdrawal—appealing. Twenty-one percent found the new feature somewhat appealing, leaving only 3% who find it unappealing.

Following a similar trend, 89% of participants found it appealing to add plan options that provide participants guaranteed income each month in retirement. Eighty-four percent and 74%, respectively, found appealing the ability to offer emergency savings accounts that can be accessed anytime, and matching contributions to the retirement plan of a participant’s qualified student loan repayments.

Commitment to Wellness

Eighty-three percent of plan sponsors feel a strong responsibility for employees’ financial well-being, up from 73% in 2015. Sixty-five percent of respondents say employee benefits are more valued now than they were five years ago. In turn, more than 80% either offer or are considering offering a financial wellness program as part of their broader benefits strategies.

“The findings emphasize the important role of financial wellness programs in boosting employee productivity and engagement,” said Alyson Frost, head of retirement insights, in a statement. “Plan sponsors are committed to providing the necessary tools and education for long-term financial security, and we anticipate further adoption of innovative strategies to meet the diverse needs of today’s workforce.”

J.P. Morgan found that plan sponsors’ commitment to their employees’ financial wellness leaves room for improvement. Programs such as emergency savings, student loan repayment assistance and management assistance, for instance, remain under-implemented—especially among smaller employers.

The research shows that employers’ satisfaction with their plans’ participant engagement and communications efforts pale as well. Only 45% are highly satisfied in these areas or are confident that their programs have meaningfully improved participant engagement.

“Our survey highlights the importance for plan sponsors to refine their offerings by embracing thoughtful design and making strategic investments, which can greatly enhance participants’ retirement readiness,” said Meghan Conklin, vice president of retirement insights at J.P. Morgan Asset Management, in a statement. “Understanding how regulatory advancements, such as SECURE 2.0, can be leveraged effectively in plan design is crucial, ensuring that options not only complement but also adapt to a more modern workforce.”

Generational Perspectives

J.P. Morgan’s Defined Contribution Plan Sponsor Survey also highlights how generational differences within workforces can influence the way plan sponsors respond to their employees’ financial wellness needs.

Notably, only 22% of plan sponsors with a significant Generation X employee base—defined as those born between 1965 and 1980—express strong confidence that their employees are saving adequately for retirement. This emphasizes the need for targeted strategies to help Gen X achieve a comfortable, upcoming retirement.

Plan sponsors with younger workforces tend to express greater confidence in participant saving behaviors, as well as stronger interest in offering enhanced financial wellness benefits like student loan support and emergency savings programs. Fifty-two percent of employers with a notable population from Generation Z—meaning those born between 1997 and 2012—reported offering a financial wellness program, compared to 42% employers with highly Gen X-concentrated workplaces.

Dissimilarly, plan sponsors with heavy concentrations from GenX are more likely than those with younger workers to report that their employees are experiencing increased financial pressures. These plan sponsors believe their organizations should be doing more to help, yet they are less likely to offer financial wellness programs.

J.P.Morgan Asset Management, in partnership with Greenwald Research, surveyed 750 plan sponsors from January 7 to 31.