Carl listed some statistics that demonstrate why the administration is concerned:
- 54% of workers report less than $25,000 in total savings and investments; 27% have less than $1,000;
- Half of U.S. workers do not have access to employer-based retirement plans;
- Only 54% of small businesses (those with fewer than 100 employees) offer a retirement plan;
- Plan participation rate is 75% for those with access to a plan; and
- The average account balance of the typical retiring defined-contribution plan participant is $144,000.
We work with a number of small business owners. In order to satisfy the need for an excellent low cost 401(k) plan we created our “Dream 401(k) Plan” with excellent choices, age appropriate asset allocation models, Roth 401(k) provisions and extremely low fees. We also work with plan participants to ensure high participation and adequate savings rates.
Employees who save what they should be saving are happier and more productive in the work place.
Don’t be a statistic. Make sure that you are saving adequately for your retirement.