For many U.S. workers, retirement conjures up images of sunshine and travel. When it comes to planning for this chapter in life, however, many workers fall short. Over a third of workers ages 60 and older (34 percent) say they aren’t sure how much they’ll need to save in order to retire, according to a CareerBuilder survey. Also, employees aren’t always using the tools employers give them to start their savings: More than 1 in 4 workers age 55 and older (26 percent) do not participate in a 401(k), IRA or other retirement plan.
What Does This Mean for You?
Planning for retirement can be stressful for workers. Employers can help ease this stress by providing their employees guidance in this area. There are a variety of ways you can help your employees plan for a financially secure retirement, such as financial education and coaching to make sure employees know how much they need to save. Many employers simplify and automate the process of enrolling in retirement financial plans, to make it as easy as possible for employees to start saving. Many also give a company match to employees, to encourage them to save right away. It’s important to ensure your employees feel empowered with the tools they need to plan for their future.