The story arc of the 401k mimics that of software. Each release adds to and builds on features and benefits over and above those of previous releases.
Tag "retirement"
We asked retirement advisors from across the country whether they felt SECURE 2.0 had been over-hyped or represented a game changer. Here’s what they said on a few key issues.
Unlike previous definitions, this version takes a definitive step towards allowing plan sponsors to forgo traditional financial measures. Rather than relying on extensive academic studies, this new Rule represents a certain leap of faith.
Even without these extremes, this asset class brings with it a roller coaster experience, something many retirement savers won’t be able to stomach.
There is an out, of course, but that might eliminate the so-called “institutional pricing” advantage former employees have for staying in the plan in the first place.
If you’re over fifty, that gold watch gleams closer and closer. You start thinking. You start wondering. You start asking questions.
Nobody’s perfect. It’s unfair to expect recordkeepers to be. Everyone makes mistakes—even recordkeepers. The problem is what happens when a mistake occurs.
How do you solve, for example, the problem of integration between the payroll software and the 401k recordkeeper’s website?
A few years ago, this might have been classified as a common “mistake.” Again, “mistake” is in quotes because this is less an issue for certain plans (usually small firms or particular industries) than others.
Retirees should think for themselves and what alternatives they have regarding their retirement assets. These aren’t the same as they were when they were working.
