Participants March 5, 2019

Participants Say They Have the Knowledge, but Do They Use It?

The majority of retirement plan participants surveyed said they have knowledge about their retirement plan and fees, but while the majority also said they know they need to save at least 10% of their salary, many are not doing so.

Reported by

Nearly eight out of 10 participants, 76.7%, in 401(k) or 403(b) plans are saving more than 4%, according to a survey by Vestwell summarized in its report, “The Retirement Advantage.”

Additionally, 59.5% say they are comfortable with their knowledge about their retirement plan, and 64.7% know they need to save 10% of their salary or more for a comfortable retirement. More than two-thirds, 67.3%, said they know where to find their retirement plan fees. Just over six out of 10, 61.6%, said they engage with their retirement plan. Only 33.5% said they wish they understood more about retirement planning.

However, only 25.7% of those between the ages of 25 and 34 are saving more than 10%, and 44.2% of those between the ages of 55 and 64 are saving this much.

Simple participant education ideas can make a great impact, according to Vestwell; after hearing one Investopedia statistic about the benefit of saving early, 21.7% of respondents said they plan to increase their retirement plan contribution. Another 26.4 said it made them rethink their deferral rate but could not afford to increase it.

Nearly all of those surveyed, 92.9%, said it is important or very important to have enough money to retire at or before age 65. Overall, 42% of Americans have less than $10,000 saved for retirement, but those with access to a retirement plan appear to be putting away much more than that, Vestwell says.

Vestwell’s findings from its survey of 672 employees, conducted in February, can be downloaded here.

Break from the Grind March 5, 2019

Most Managers Believe March Madness Activities Boost Morale and Productivity

However, nearly half of professionals surveyed say they are distracted by sports activities at work.
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With March Madness approaching, research from global staffing firm Robert Half, 72% of senior managers said college basketball tournament activities have a positive impact on staff morale.

 

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More than half of survey respondents (52%) also see productivity benefits.

 

Three-quarters of companies report they organize sports-related festivities in the office. These include friendly competitions (45%), wearing team apparel (43%), watching games (29%) and decorating workspaces (28%).

 

However, nearly half (49%) of professionals surveyed say they are distracted by sports activities at work. This includes 64% of males and 33% of females. In addition, two-thirds of employees ages 18 to 34 say they are distracted by sports activities at work, compared to 43% of those ages 35 to 54 and 27% of those ages 55 and older.

 

The online surveys include responses from more than 2,800 senior managers at companies with 20 or more employees in 28 major U.S. cities and more than 1,000 workers 18 years of age or older and employed in office environments in the U.S.

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