However, most are offering systematic withdrawals, lifetime education and planning tools, and in-plan managed account services; they are still leery of offering guaranteed income solutions such as annuities.
Tag: Retirement Income
There are some who think Social Security will no longer be an option when they retire, some who think it will exist but benefits will be smaller, and even some who think the system will be saved and pay as it does today.
Researchers offer examples of how a retirement income strategy for middle income Americans, introduced last year, would work in different scenarios.
An analysis found defaulting a portion of balances in deferred income annuities (DIAs) would boost income for retirees later in life, and researchers offered suggestions for implementation by defined contribution (DC) plan sponsors.
Younger employees would benefit most from a requirement for employers to offer retirement plans, while older employees would benefit most from providing the option of guaranteed income for life from defined contribution (DC) plans.
PLANSPONSOR NewsDash readers weigh in on whether certain provisions of the Setting Every Community Up for Retirement Enhancement (SECURE) Act will lead to improved retirement income adequacy for Americans.
Defined contribution plan participants are unlikely to feel confidence about retiring when they receive no retirement income projections and no help defining discretionary versus required expenses.
According to the Insured Retirement Institute, systematic withdrawal strategies, whether a simple “x%” rule or based on a more sophisticated stochastic analysis of the probability that assets will not be depleted at various withdrawal rates, have two significant drawbacks.
EBRI dives into the spending patterns of older Americans and reveals what could make them outspend their income.
Seventy percent of employees surveyed by the Nationwide Retirement Institute think they are eligible for full Social Security benefits before they actually are.
Nearly three-quarters of workers say income stability is more important than maintaining wealth in retirement, but approximately one-third each chose managing their own assets or managing half of their assets and purchasing a guaranteed income product with the other half.
Mike Sasso, with Portfolio Evaluations, and a professor at Boston University, explained a new way of thinking to get plan sponsors to focus on retirement income for participants.
A professor at the UCLA Anderson School of Management discussed biases that must be considered when helping people make retirement income decisions.
The OASI Trust Fund is projected to become depleted in 2034, the same as last year’s estimate, according to this year's Trustees Report.
The ERISA Advisory Council’s recommendations to the Department of Labor (DOL) include publishing guidance confirming that a named plan fiduciary may appoint a 3(38) investment manager to select and monitor annuity and other lifetime income providers, as well as modifying qualified default investment alternative (QDIA) regulations.
In his experience leading Principal’s retirement income solutions business, Sri Reddy says, the No. 1 thing people get wrong about annuities is to say that purchasers of such products are investors.
Speakers at a Brookings Institution event agreed that a financial strength criterion asking how sound is an annuity carrier should be a critical part in any annuity selection safe harbor for defined contribution (DC) plan sponsors.