EBNs sister title Money Management Executive reports that as Americans see their pay cut and 401(k) matches suspended, they are worried about their preparedness for retirement, according to a Hartford survey.
Thirty-four percent are either extremely or very worried about their ability to save for retirement, and 56% fear theyllhave to cut back on their contributions.
Tom Foster, Jr., retirement spokesman for The Hartford, says companies should do what they can to encourage workers to save, even if they cut back on matches, by sponsoring educational meetings on retirement savings, adopting automatic enrollment and promoting the Savers Credit that allows a 50% tax credit, up to $1,000, for low earners who make contributions to a defined contribution plan.
The good news is that Americans are thinking more than ever about retirement and the need to save for it, Foster says. The bad news is that they are finding it more difficult than ever to do something about it. Employers do have an opportunity to help.
