Tag: savings

Recommended by Ricochet Members Created with Sketch. 401(k)s Not Working for People?

 

I work as a “retirement plan administrator” and am credentialed as an “expert” in the non-investment-side of 401(k)s and older-style pension plans. As such, my antennae always twitch any time I see a story regarding my industry. This story got me shaking my head at the framing of the issue.

I see companies’ payroll, deferral, and contribution figures every day, so I know that folks are not utilizing their 401(k) plans enough. Such a huge percentage of employees don’t defer anything, while others are deferring only, say, 2 percent; not even enough to earn all of their company’s matching contribution available to them.

While Hawaii Rep. Tulsi Gabbard has come under deserved fire for defending Syrian dictator Bashar al-Assad, Jim Geraghty of National Review and Greg Corombos of Radio America are applauding Gabbard today for being the only Democrat willing to stand up to Senate Democrats who contend that being a member of the Knights of Columbus is disqualifying for service as a federal judge. They also brace for the imminent presidential campaign of California Sen. Kamala Harris, who is very liberal but is one of only a few Democrats with a legitimate shot at the nomination. And, as more stories emerge of the fiscal hardship of federal employees going without pay during the partial shutdown, they are staggered by statistics showing that nearly 80 percent of Americans live paycheck to paycheck and over 60 percent don’t have enough money saved to cover six months of expenses.