401(k) Eligibility Nearly Universal

And when they are offered a plan, 87.6% of participants participate.

Nearly 90% (89.4%) of U.S. employees are eligible to participant in their employer’s defined contribution (DC) plan, according to the Plan Sponsor Council of America’s 59th Survey of Profit Sharing and 401(k) Plans. Almost as many, 87.6%, have a balance in their plan, and 81.9% contributed to their plan in 2015.

The average deferral was 6.8% in 2015. Lower-paid participants contributed an average of 5.5%, while higher-paid participants contributed an average of 7.0%. Company matches to 401(k) plans averaged 3.8%, and the average contribution to 401(k)/profit sharing combination plans was 5.4%.

Just over two-thirds, 66.8%, of companies work with a financial adviser. Of those, 59.1% pay a fixed fee, and 35.1% pay a percentage of plan assets. The majority of plan expenses are paid by the company, with the exception of recordkeeping and investment consultant fees. Plans offer an average of 19 funds.

The funds most commonly offered are indexed domestic equity funds (79.3%), actively managed domestic equity funds (78.0%), actively managed domestic bond funds (74.7%), and actively managed international equity funds (73.4%).

Roughly one-third (34.6%) of sponsors offer investment advice, most frequently offered by a registered investment adviser (RIA) (28.8%), a certified financial planner (27.8%) or a third-party web-based provider (16.6%).

Over half (57.5%) of plans use automatic enrollment—most commonly at large plans (66.7%), but only among 25.5% of plans with fewer than 50 participants. Half of plans automatically enroll participants at a 3% deferral rate, up from 40.4% in 2014. The most common default option is a target-date fund (TDF). The report is based on a survey of 614 defined contribution plan sponsors.

SURVEY SAYS: Embarrassing Holiday Party Moments

We recently covered a survey about embarrassing manager behaviors at office holiday parties.

Last week, I asked NewsDash readers, “Have you had or witnessed an embarrassing moment at an office holiday party?”

Only 14.3% of responding readers admitted to having had an embarrassing moment at an office holiday party, while 85.7% said they did not. However, 57.1% reported they have witnessed an embarrassing moment at an office holiday party, and 42.9% have not.

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Not all shared the embarrassing moment they had or witnessed, with one saying, “I refuse to comment on the grounds that I may incriminate myself—or at least embarrass myself!” Most embarrassing moments shared involved alc.ohol.

Embarrassing Holiday Moments 

Drunk junior associate came on to the boss’s wife.

Drunk master of ceremonies.

The usual embarrassment: someone drank too much and had to leave early.

Male senior partner of law firm assumed all the women in the office enjoyed his annual embrace and kiss at holiday party. UGH!!!!

Getting too drunk and throwing up.

I refuse to comment on the grounds that I may incriminate myself – or at least embarrass myself!

A woman who had too many holiday spirits, tried to sit on a table and promptly leaned back and fell off the back of the table. She had a long dress on that went over her head and it took her several excruciating moments with her bloomers on display to everyone to get herself together and back on her feet.

In the few verbatim comments, respondents also noted that drinking is usually the reason for embarrassing moments. A few expressed distaste for office parties, and a couple suggested something they’d rather have than an office holiday party. No Editor’s Choice this week.

A big thank you to all who participated in the survey!

Verbatim 

Official holiday parties are generally enjoyable and embarrassment free. I choose to avoid the unofficial parties where coworkers drink too much and get stupid. It makes it difficult to show respect for them at work. I'd just rather not know.

Hate them, avoid them at all costs.

I do not want to see it, hear it, know of it moments so if the holiday party is outside of work hours, I do not attend. It is far better that way

I would rather have cash.

In 10 years, my company has gone from off-site, after hours events to in-house, lunch hour gatherings. It's actually kind of nice, although at this point we could just stop altogether.

Keep on drinking!

Some people don't know when to quit drinking. It's a shame.

A nice gift, and an afternoon off while people have the option to get together is often much more appreciated than a mandatory attendance party.

 

NOTE: Responses reflect the opinions of individual readers and not necessarily the stance of Asset International or its affiliates.

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