PLANSPONSOR - November/December 2024 - 11

but more of a work-life balance benefit
that people love, " she says.
Other key benefits employers may
utilize include hybrid work programs;
arrangements to phase in to retirement
over a prearranged time frame; practical
mentorships; up-skilling;
in-plan
protected retirement income solutions
and annuity products; the option to retain
health coverage until 65; and family leave
policies for grandparents, Brown says.
Tinsley-Fix agrees that retaining
health coverage during phased retirement-at
least until the person turns 65
and qualifies for Medicare-is key. The
employer must set a threshold-e.g., 20 or
30 hours a week-that the employee has to
work to keep those benefits, she adds.
Besides the increasingly common
parental leave, emerging employee benefits
include " grand-ternity " leave, says
Cyrus Bamji, chief strategy and communications
officer at the Alliance for Lifetime
Income. " Caregiving is such a big issue,
for everybody out there, " he says. " Cisco
[Systems] for example, gives three days ...
of paid time off for a [new] grandparent. "
Plan sponsors should also offer their
participants protected income and annuity
solutions, he adds. " There's no doubt
there's data to show that, No. 1, employees
need it and want it in their plans. "
'Flex-tirement'?
Keeping their skilled experts may require
employers to let workers stay enrolled in
the retirement savings program and keep
making contributions as well, says Neil
Costa, founder and CEO of HireClix, a
digital recruitment marketing firm.
" Not everybody [wants to draw down
assets]; they may even have more discretionary
income to put away, into retirement, "
Costa says.
" Many companies target their flexible
retirement options toward the employees
who have the most specialized skills or
experience, " Tinsley-Fix says. " In sales, for
example, or in legal or compliance departments,
there's a lot of focus on those people
who have a deep base of knowledge, and
[employers] don't want to lose that knowledge
or that skill set. " -Noah Zuss
Art by Antonio Uve
TIDBITS
Dependent on Social Security
Peak Boomers' Financial Assets
l <$50k l ≥$50k - $100k l >$100k - $250k l >$250k - $500k l >$500k - $1mm l >$1mm
More than half of all peak Baby
Boomers-those born 1959 through
1964-have assets of $250,000 or
less so will likely have to rely mainly
on Social Security. Yet, that benefit is
meant to replace just 40% of a person's
annual pre-retirement income.
Source: Alliance for Lifetime Income Retirement Income Institute
Many in the Middle Class
Say They'll Postpone Retirement
Almost half of middle class employees (49%) said they expect to work
past traditional retirement age: 34% expect to retire after 65, and 15%
do not expect to retire. Those with a household income of $50,000
through $99,000 were, not surprisingly, more apt to say they intend to
work longer or not retire than those bringing home $100,000 through
$199,000-52% and 45% of those income groups, respectively.
Middle Class Retirement-Age Expectations
n Before 65 n At 65 n 66 - 69 n 70+ n Do not plan to retire
All Middle Class: Household Income $50k - $199k
29%
26%
31%
24% 10% 24%
Household Income $50k - $99k
23%
24%
10%
Household Income $100k - $199k
10%
22%
13%
45% expect to
retire after 65 or not
retire at all
Transamerica Center for Retirement Studies, The Retirement Outlook of the American Middle Class, 24th
Annual Transamerica Retirement Survey
PLANSPONSOR.COM November - December 2024 11
25%
17%
52% expect to
retire after 65 or not
retire at all
15%
49% expect to
retire after 65 or not
retire at all
8.6%
15.1%
28.8%
14.6%
16.1%
16.8%

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