The introduction of the National Employment Savings Trust in the United Kingdom has helped reverse a decline in pension membership, but an article notes that challenges still remain.
Plan sponsors see the benefits of automatic enrollment and continue to adopt it, according to Bank of America Merrill Lynch.
Pension plan sponsors can overcome the barriers to implementing auto features
There has been an increase in the number of American plan sponsors whose primary focus is on improving the retirement readiness of their participants, according to a survey.
Of the 1.6 million people who have been automatically enrolled in workplace pension plans in the United Kingdom, just 9% have opted out.
Among the touted benefits of auto-enrollment features in a capital accumulation plan (CAP) is the assumption—and hope (fingers crossed)—that plan members who contribute to their plans sooner will invest over longer periods and reap the benefits from tax-free compounding of investment returns on their contributions. But while there’s no definitive way to gauge whether auto-enrollment […]
Disappointingly few Canadians are participating in their workplace retirement savings plans. Those who do aren’t paying much attention. So capital accumulation plan (CAP) sponsors are constantly searching for ways that inspire employees to save enough for retirement. One potential solution involves signing employees up by default.
Probably the most significant change in the DC landscape over the past five years is the realization that, instead of solely focusing on educating DC plan members to become wise investors, plan sponsors need to consider how best to deal with the significant percentage of members who have at least one of the following traits:
Auto features in retirement plans can get employers to their group retirement plan goals faster while better preparing their employees for retirement, says new U.S. research.
People don’t consciously control a lot of their behaviour. For plan sponsors, this is frustrating, because getting employees engaged in benefits and retirement plans is all about behaviour change.