The definition of retirement readiness isn’t the same for everyone, and a recent study found self-assessments of retirement preparedness vary with the amount of current savings and with time remaining until retirement. Generation X may be in the most precarious situation right now when it comes to getting ready for retirement. Employers may help all generations by offering benefits to help employees with current financial obligations and surprises; a financially well employee should be able to save more for retirement. And, once an employee has built a savings account, it needs to be preserved when he changes employers or leaves the workforce. One thing everyone should plan for is greater health care costs in retirement. Enjoy this edition of PLANSPONSOR Weekend.
A study from the Federal Reserve finds people at different ages have a savings threshold for feeling they are on track for an adequate retirement, and for those in retirement, reported economic well-being varies substantially with the reason for retirement.Read more >
A study shows Americans at least 45 years old who have not yet retired are struggling financially and falling behind in retirement savings, but defined contribution (DC) plan sponsors can help.Read more >
Not rolling defined contribution (DC) plan assets into an IRA or another DC plan has a very material impact on retirement deficits, an Employee Benefit Research Institute (EBRI) study found.Read more >
The Employee Benefit Research Institute (EBRI) says that due to the financial condition of the Medicare program and cutbacks to employment-based retiree health programs, in the future, individuals are going to have to pay a greater share of their health care costs in retirement.Read more >