Employees willingly would give up a percentage of their salary for a guaranteed source of income during retirement, according to Bank of America Merrill Lynch data. The firm's 2012 Workplace Benefits Report found that 82% of employees reported they would give up 5% or more of their salary for a reliable income during their later years; 42% said they'd be willing to give up 10% or more of their salary. With Americans living longer and uncertainty lingering in the investment marketplace, retirement plan participants may consider guaranteed-income products to protect them financially in their golden years.
However, many of these options - such as longevity annuities and managed payout funds - are extremely rare options in employer-sponsored DC plans due to fiduciary and administrative complexities.
Register or login for access to this item and much more
All Employee Benefit News content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access