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| Benefits & Administration |
| Sponsors Place High Value on Match, Advisers |
| Ninety-four percent of retirement plan sponsors
polled by American Century Investments said providing a matching contribution
in their plans is at least somewhat important to encourage employees to save,
with 51% saying it is extremely important. Providing access to a financial
adviser was ranked as at least somewhat important by 95% of respondents, with
31% saying it is extremely important. Nearly all respondents said supporting
employees’ efforts to have a secure retirement is an important corporate goal
for providing retirement plans, yet only 28% measure how ready employees are for
retirement.Read more > |
| Many Lack Basic Retirement Income Knowledge |
| A large majority (80%) of retirement-age
Americans received failing grades after taking a basic quiz on how to make
their nest eggs last throughout retirement, according to The American College
of Financial Services. A recent survey from the organization revealed the
well-known “4% rule” is a complete mystery to seven in 10 Americans, and a
majority of people age 60 to 75 with at least $100,000 in assets lack important
knowledge in areas such as life expectancy, Social Security, long-term care
needs, investment risk, and more.Read more > |
| The estimated aggregate funding level of pension
plans sponsored by S&P 1500 companies decreased, from 84% to 83%, at the
end of November, according to Mercer. The rise in liabilities due to a further
decrease in interest rates used to calculate corporate pension plan liabilities
overpowered the increase in assets from rising equity markets, causing the 1%
dip in funded status.Read more > |
| Affluence No Buffer for Retirement Health Cost Fear |
| Money is apparently no protection from the
terror that strikes at the hearts of Baby Boomers contemplating health care
costs in retirement, according to the third annual Nationwide Retirement
Institute survey. A majority of survey respondents (72%)—all with at least
$150,000 in household assets—say one of their top fears in retirement is health
care costs getting out of control. Fear isn’t doing much to inspire these
pre-retirees to take action, however.Read more > |
