INFOGRAPHIC
Employees are concerned about their financial futures – and employers can help
About a quarter ( 24 %) of employees ages 45 + are now expecting to retire later than they planned to a year ago , and about one in 10 ( 9 %) don ' t think they will ever be able to retire , with primary concerns about not being able to live the life they want in retirement ( 61 %), a future recession ( 52 %) and outliving their retirement income ( 50 %).
BETWEEN STUDENT LOANS , INTEREST RATE INCREASES AND INFLATION , EMPLOYEES HAVE A LOT TO NAVIGATE WHEN PLANNING FOR RETIREMENT .
For employees ages 45 +, this is exacerbated by concerns about the cost of healthcare ( 65 %), inflation / rising living costs ( 62 %) and Social Security not being there when they ' re ready to retire ( 59 %).
Because of these concerns , eight in 10 businesses ( 81 %) say many of their employees have asked them about the steps they can take to better prepare for retirement . Failure to fill this gap may lead to attrition – nearly two-fifths ( 39 %) of businesses have observed an increase in employees leaving for companies with better benefits over the past year as a result of economic uncertainty .
Employee interest in retirement solutions that offer pension-like income remains high
To hedge against an uncertain future , employees are interested in predictable sources of income in retirement . Nearly three-quarters ( 73 %) of employees ages 45 + who participate in 401 ( k ) plans wish they were offered a pension-like income stream within their employer-sponsored plan – such as a guaranteed lifetime income investment option . Additionally , when asked what would most increase their confidence in their retirement plan and financial investments , 55 % of respondents said guaranteed income options – the top response selected .
Employees are ready to act if employers provide these solutions . Nearly nine in 10 employees ages 45 + ( 87 %) say they would be at least somewhat likely to rollover their retirement savings into a guaranteed lifetime income investment option if they had the ability . x www . intelligentcxo . com
19