Encouraging plan members to set aside money for their future—and to invest those savings in a thoughtful way to grow them over time—is the great retirement savings challenge for plan sponsors. But one thing is clear: making it easy for members to save and invest removes a key barrier to success. Hats off to the DC plan sponsors that are doing just that. Through creativity, innovation and smart decision-making, there is a pronounced and measurable move to simplify the DC plan experience for members.
For all of the complexities in the group savings and group benefits world, the work of plan administrators and sponsors really comes down to a few simple items: engaging employees in their plans; ensuring that they understand the benefits they’re entitled to; and giving them the tools and information they need to take appropriate actions.
Procrastination, confusion and a harried lifestyle are all causes of plan member inertia. DC pension plan providers continue to look for ways to break through inertia and help members reach long-term financial security. We’re not asking them to go to financial boot camp. We’re asking them to fill out a form, join a plan, contribute, […]