The reality is that many retirement planning decisions already require participants to evaluate concepts they may not fully understand. That reality raises an important question. Should a plan exclude a potentially beneficial option simply because some participants may find it difficult to understand?
Tag "SECURE Act"
When too many moving parts are introduced at once, decisions slow down. Employers may delay action while trying to understand their options, or they may default to inaction when the path forward is not clear.
Viewing this content requires a Basic (Free) Membership or better. You are not currently logged in. If you have an account, you may login below, or use the “Log In”
The blend of traditional and modern retirement plan types could evolve further with SECURE 3.0.
If you look at headlines in the retirement industry trade press, rarely does a week go by when you don’t see an article lamenting the low retirement savings numbers. How do we change this?
Ironically, while some see lowering the savings limit as politically palatable because it impacts only a small segment of the population, that same fact reduces the effect of such a policy shift.
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.
More sophisticated plan participants who can afford to hire their own adviser. They don’t ask more from the plan. They ask for less, in hopes of gaining more control over their own destiny. For a variety of reasons, this isn’t as easy as some participants would like it to be.
Beyond the usual gestation period, here are some specific “trigger points” which plan sponsors have reacted to that have accelerated their decision to move into a PEP?
The Biggest 401k Fiduciary Fireworks, Fizzles, And Flops In 2021
Flops may not be forever. They may just be good ideas before their time. If you’re going to belittle them, you best hurry, because, if you wait too long, you may just discover they aren’t flops anymore. As a result, let’s not waste any time before the shelf-life of these flops expire.