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.

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