Tag: Retirement Readiness

Hearing Witnesses Offered Recommendations to Promote Retirement Savings

Recommendations included conducting a comprehensive review of the American retirement system, educating small employers about plan options, allowing for open multiple employer plans (MEPs), changing certain defined contribution (DC) plan rules to facilitate greater savings, and increasing financial and retirement education, especially for women.

EBRI Reassesses Whether DC or DB Plans Are Better for Participants

A new EBRI research report compares the outcomes of participants in automatic enrollment 401(k) plans versus defined benefit (DB) plans; when reducing the rate of return assumptions and utilizing current annuity purchase prices, results show that in many cases the automatic enrollment 401(k) plans lose their comparative advantage to the stylized, final-average DB plans.