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  • Pension Plans
  • This is the accessible text file for GAO report number GAO-06-42 entitled 'Private Pensions: Information on Cash Balance Pension Plans' which was released on November 4, 2005. (gao.gov)
  • Report to Congressional Requesters: United States Government Accountability Office: GAO: October 2005: Private Pensions: Information on Cash Balance Pension Plans: GAO-06-42: GAO Highlights: Highlights of GAO-06-42, a report to congressional requesters: Why GAO Did This Study: The nation s private defined benefit (DB) pension system, a key contributor to the financial security of millions of Americans, is in long-term decline. (gao.gov)
  • Here are tips for HR leaders to consider when transitioning from pension plans to more updated retirement plans. (adp.com)
  • A mere 7.4 percent of the total Indian population is covered under any form of pension plans, which is an alarming a figure in itself. (countercurrents.org)
  • Hispanic
  • Kirkwood says participation increased because instead of just translating retirement information, the presenters addressed the issue in terms of Hispanic culture. (shrm.org)
  • Hispanic wage and salary workers were significantly less likely than both white and black workers to participate in a retirement plan, although native-born Hispanics were more likely to participate than non-native born Hispanics. (docplayer.net)
  • wage
  • In fact, Social Security replaces nearly 40 percent of an average wage earner's income during retirement. (protective.com)
  • Since 1980, the number of active participants in Pension Benefit Guaranty Corporation (PBGC) insured single employer DB plans has dropped from 27.3 percent of all national private wage and salary workers in 1980, to about 15 percent in 2002, and more recently the PBGC has assumed billions of dollars in unfunded benefit obligations from bankrupt plan sponsors. (gao.gov)
  • Among full-time, full-year wage and salary workers ages 21 64, the sponsorship rate was 62.3 percent and 54.5 percent of the workers participated in a retirement plan. (docplayer.net)
  • Almost 74 percent of wage and salary public-sector workers participated in an employment-based retirement plan. (docplayer.net)
  • younger
  • For some couples, it may be advantageous for the higher earning and older spouse to defer Social Security in order to maximize the survivor benefit for their younger spouse. (nj.com)
  • Retiring early and beginning Social Security pre-maturely may have the unintended consequence of reducing future benefits - often to the detriment of the younger spouse. (nj.com)
  • While the older spouse may become eligible for Medicare at age 65, the younger spouse may need to continue working or acquire costly individual coverage so be careful not omit these potential expenses from the retirement budget. (nj.com)
  • Unless grandfathered into the former plan, older workers experience a greater loss of expected benefits than younger workers. (gao.gov)
  • boost
  • Kirkwood's challenge: to make the benefit meaningful to all employees and boost participation to maintain a viable plan. (shrm.org)
  • employee
  • Nonetheless, cash balance research indicates that the effects of a conversion depend on many factors, including the generosity of the CB plan, transition provisions that might limit any adverse effects on current employees, and firm-specific employee demographics. (gao.gov)
  • To target retirement communication, first segment the employee population into groups by gender, age, cultural background and retirement plan behaviors. (shrm.org)
  • There may be employees who feel like the move to a defined contribution plan represents a broken promise, a violation of the unwritten social contract - employee loyalty exchanged for guaranteed fixed retirement income. (adp.com)
  • The best way for HR leaders to build trust as they convert their defined benefit plan to a defined contribution plan is to communicate continuously about the change, monitor employee happiness and productivity, and offer support and guidance throughout the transition. (adp.com)
  • 5 Employment-Based Retirement Plan Participation: Geographic Differences and Trends, 2013 By Craig Copeland, Ph.D., Employee Benefit Research Institute Introduction The financing of retirement has become a vital topic in the United States as the population has aged. (docplayer.net)
  • Workers 25-34 today are less likely to save for retirement than employees 10 years ago, according to a survey earlier this year by the nonprofit Employee Benefit Research Institute. (lowellsun.com)
  • money
  • They decide to pick a year to stop working (usually 65) rather than trying to understand how much money they need to abandon a steady income. (forbes.com)
  • Naturally, if you delay retirement, you'll have more income generating years, as well as fewer years of having to withdraw money from your retirement accounts. (protective.com)
  • On the flipside, an early retirement means making sure you have enough money so that you can enjoy doing the things you like and have planned for. (protective.com)
  • These resources can help you explore some of the most important considerations in retirement, from managing your money to maintaining your health and well-being. (financialengines.com)
  • The Internal Revenue Service makes this easier by offering catch-up provisions that allow individuals over the age of 50 to contribute extra money to individual retirement accounts and 401(k)s. (bankrate.com)
  • contribution
  • Retirement communication focuses on increasing participation and contribution rates, discouraging employees from taking loans from their 401(k) accounts, and ensuring that investments are age- and risk-appropriate. (shrm.org)
  • But change is afoot, and defined benefit plans are dwindling as more employers transition to defined contribution plans. (adp.com)
  • Boeing Co. is one example of a business that has successfully transitioned to a defined contribution plan, a move that covered approximately 68,000 employees, including managers and executives. (adp.com)
  • Participate
  • Cindi Kirkwood, HR manager at The Gant Aspen in Colorado, has a problem: Fewer than half of her employer's 100 employees participate in the condominium hotel's 401(k) plan. (shrm.org)
  • Participate in the retirement plan at all. (shrm.org)
  • Across all ages, workers with employment-based health insurance from their own employers were more than twice as likely to participate in a retirement plan as those without health insurance from their own employers. (docplayer.net)
  • health
  • GAO s analysis of a representative sample of plan conversions determined that most conversions occurred between 1990 and 1999 and primarily in the manufacturing, health care, finance and insurance industries. (gao.gov)
  • So, during open enrollment in November 2011, she invited bilingual presenters to explain retirement and health benefits to Spanish-speaking employees. (shrm.org)
  • Still predicts that these health plans were not able to afford insurance coverage. (bestquotesforinsurance.com)
  • years
  • Every day the increasing weight of years admonishes me more and more, that the shade of retirement is as necessary to me as it will be welcome. (fool.com)
  • Instead of working longer (or in addition to that), you might also ease into retirement by working a little in your first few years of retirement. (fool.com)
  • To enhance your golden years, follow these last-minute retirement planning strategies. (bankrate.com)
  • However
  • However, conversions from traditional DB plans to CB plans have sometimes been controversial because of the effect conversions may have on the benefits of workers of different ages. (gao.gov)
  • However, with new social norms eroding the family-based system of support, old-age care for low-income citizens has become a critical challenge. (countercurrents.org)
  • Make
  • When you're living on a reduced income it will be extra hard to pay off credit card debt or other high-interest debt, and those payments can hurt your ability to make other necessary payments. (fool.com)
  • But because Social Security doesn't replace all of your income, you need to make sure you maximize your benefits. (protective.com)
  • Much like Jesus, I do not know the day or the hour, but from an earthly perspective at some point there will be a generation who will not even make it to retirement. (moneyhelpforchristians.com)
  • Even though this advice may seem contrary to what we often hear, it may make sense for some individuals approaching retirement with inadequate savings. (bankrate.com)
  • percent
  • About 47 percent of all conversions grandfathered at least some of the employees into the former traditional DB plan. (gao.gov)
  • On the other hand, your monthly income would be increased by as much as 32 percent if you wait until age 70 to collect. (bankrate.com)
  • help
  • Help convey the power of compounding, and get people over the hurdle of procrastination,' says Barbara J. Hogg, retirement communication leader for Aon Hewitt. (shrm.org)
  • These HR tips for pension changes can help your organization control the costs of retirement plans while supporting your talent through these changes. (adp.com)
  • Four simple ways to help cut costs in retirement. (financialengines.com)
  • If you're saddled with hefty student loan payments, look into income-based repayment plans, which may help lighten your burden. (lowellsun.com)
  • benefits
  • What GAO Found: Current pension and economic literature provides little conclusive evidence about the effects of CB plan conversions on benefits. (gao.gov)
  • Most conversions set participants opening account balances equal to the present value of benefits accrued under the previous plan, although the interest rate used to calculate the balance varied around the 30-year Treasury bond rate. (gao.gov)
  • Most plans provided some form of transition provisions to mitigate the potential adverse effects of a conversion on workers expected benefits for at least some employees. (gao.gov)
  • GAO s simulations of the effects of conversions on pension benefits show the following: * In conversions from a traditional DB plan to a typical CB plan, most workers, regardless of age, would have received greater benefits under the DB plan. (gao.gov)
  • When it comes to claiming your Social Security benefits, there's no "one size fits all" approach. (financialengines.com)
  • participation
  • Recommended Citation: Craig Copeland, Employment-Based Retirement Plan Participation: Geographic Differences and Trends, 2013, EBRI Issue Brief, no. 405, October Report availability: This report is available on the Internet at Table of Contents Introduction. (docplayer.net)
  • 7 Defining the Correct Retirement Participation Level Participation Levels. (docplayer.net)
  • employees
  • The more targeted the retirement message is, the more relevant it becomes to employees. (shrm.org)
  • For example, during the recession, I had some clients who struggled with employees taking more loans from their 401(k) plans,' she says. (shrm.org)
  • further
  • Of course, the challenge with this approach is that greater risk could lead to a loss of principal, placing you even further away from your retirement goal. (bankrate.com)