Retirement

Being prepared for retirement is no longer an after-thought as President Barack Obama boldly claimed at last night’s State of the Union; TIAA-CREF’s new survey adds to this national conversation, noting that one-in-three covered Americans say they place guaranteed income at top of their retirement to-do list, but many are faced with problems that their traditional retirement offerings can’t answer.

President Barack Obama’s inclusion of retirement security in Tuesday night’s State of the Union Address was mostly welcomed by the benefits community, but left some disappointed by a perceived “attack” on the 401(k).

The president also touched briefly on the Affordable Care Act, challenging Republicans to let Americans know what their “specific plans [are] to cut costs, cover more people, and increase choice.”

The study of gerontology, the comprehensive analysis of aging and the problems of the aged, now makes up a new job description and possible new organization direction at Bank of America Merrill Lynch’s retirement plan and financial benefit business.

Among the steps the president outlined in his State of the Union address are raising the minimum wage to $10.10 for future federal contract workers and creating a retirement savings program for people whose employers don’t offer a 401(k) plan.

President Barack Obama offered more Americans the chance to save for retirement through payroll deductions with a plan for new government-sponsored savings accounts.

Although plan sponsors aren't required by law to have one, the investment policy statement is one of the primary documents the Internal Revenue Service and Department of Labor request when they visit employers for plan audits.

With its launch of the new 401(k) feature “How Do I Compare,” Putnam Investments allows plan participants to compare their progress in saving for retirement with their peer group and top-tier savers. This tool takes advantage of employees’ natural inclination to keep up with the “Joneses” by applying this psychology to their nest egg.

Now that baby boomer and older generations are moving into and past retirement, it's important for financial advisers to understand how to recruit and sell to generations X and Y.

Employers are saving an average of $1,500 per worker in HSA-qualified health plan premiums, according to a 2013 survey by Kaiser and HRET. In 2012 alone, the Wells Fargo-administered HSA program saved U.S. businesses an additional $25 million in payroll taxes. This year, the total savings will top $40 million.