People continue to worry about having enough money to live on in retirement. Check out these insights from our retirement readiness survey for ways to help employees feel less stressed about — and more prepared for — the future.
Only 33% are confident about their level of retirement readiness
Only 19% think about their retirement plan monthly or more often
of retirement plan participants say money for retirement is their top financial concern
Top 5 Financial Worries
GO AUTOMATIC
Research shows that automatic features, like auto enrollment and auto increases, improve retirement outcomes. Automatic features help people overcome their tendency to stay in their current state and delay decisions, also known as inertia.
Even with statistics like this, some employers are hesitant to adopt automatic features because they’re afraid of alienating employees.
But here’s what we learned:
68%
OF EMPLOYEES SUPPORT
AUTOMATIC FEATURES
High support for automatic features in all generational groups
EMPLOYEES WANT MORE HELP
About half say they aren’t comfortable determining how much to save for retirement or selecting the investment options in their plans. Low-cost or free managed account services that are included in plans may lead to higher participation, higher engagement and higher levels of retirement readiness.
Contact us to learn more about automatic features
and managed account service for retirement plans.
The Standard surveyed 1,000 working men and women about retirement readiness during 2017. The participants were full-time employees between 21 and 69 years old and eligible to enroll in their employers’ 401(k) or 403 (b) retirement plan.
The Standard is the marketing name for StanCorp Financial Group, Inc., and its subsidiaries. StanCorp Equities, Inc., member FINRA, wholesales a group annuity contract issued by Standard Insurance Company and a mutual fund trust platform for retirement plans. Standard Retirement Services, Inc., provides financial recordkeeping and plan administrative services. Investment advisory services are provided by StanCorp Investment Advisers, Inc., a registered investment advisor. StanCorp Equities, Inc., Standard Insurance Company, Standard Retirement Services, Inc., and StanCorp Investment Advisers, Inc., are subsidiaries of StanCorp Financial Group, Inc., and all are Oregon corporations.
WHAT'S
STRESSING
THEM OUT
MONEY FOR RETIREMENT
70%
MONTHLY EXPENSES
57%
MEDICAL EXPENSES
52%
SUPPORT IF DISABLED
52%
MORTGAGE / RENT
49%
WITH AUTO FEATURES
WITHOUT AUTO FEATURES
Participation Rate*
Participation Rate*
*How America Saves 2018. The Vanguard Group
Automatic options can help people start saving earlier and keep them from feeling stuck along the way.
And because employees can opt out of auto services at any time, companies should feel OK about adopting them.
MILLENNIAL
59%
GEN X
50%
BOOMER
50%
are interested in having a professional help them choose investments and manage their savings
© 2018 StanCorp Financial Group, Inc.