Employers that sponsor retirement plans do so because they understand the importance of helping to support their employees’ current and future financial health.
Employer-sponsored retirement savings plans are a valuable recruiting and retention tool, but they’re more than just a benefit meant to attract and retain quality workers. Your 401(k) plan can help employees build a stronger sense of long-term financial security—and if a company can help its workers alleviate even some of their financial stress, it’s all the better for everyone involved.
A purpose. Community. Professional growth. A paycheck. What employees get out of work varies depending on their role, so you can’t approach everyone with one-size-fits-all encouragement. If a company wants to retain good leaders, which is crucial for any future business success, many different incentives should be considered — not the least of which is compensation.
America’s Baby Boomers have now been receiving Social Security benefits for nearly 15 years, and subsequent generations — Generation X, Millennials and Generation Z — continue the steady march toward retirement.
While no two individuals are alike and generalizations don’t always apply, one thing all three generations after the Baby Boomers share is a growing awareness of the increasing need to plan, save and invest for retirement.
Even among the most disciplined savers, headwinds and outright threats to retirement security are constant: regulatory changes, rising income taxes, insufficient participation rates, inadequate deferral rates, cybercrime, scams … the list goes on.
Considering how important an income source Social Security benefits have become for U.S. retirees, many Americans demonstrate a poor understanding of this vital program.
In fact, a recent study found that almost half (49%) of U.S. adults aren’t certain how much of their income Social Security replaces (or will replace).1 Likewise, 49% of survey respondents believed — incorrectly — that their benefits would increase at full retirement age if they file to receive benefits early.1
