PLANSPONSOR - October 2017 - 6

Survey Says
Do 'Gig'
Workers
Get Benefits?
WITH an increase in workers taking
on " gig " jobs, the question is, how do
they save for retirement and get protection
from high health benefit costs? We
asked NewsDash readers, " Do you know
someone working a gig job, and do they
receive health and retirement benefits? "
More than two-thirds (68.4%) of
responding readers reported that either
they or someone they know had taken a gig
job, while 31.6% indicated knowing no one
who had. Among those who took gig work
or know someone who had done so, 31.2%
said the person had retired before taking
the job; 68.7% said the person had not.
According to 87.5% of respondents,
the gig jobholder received or receives no
health or retirement benefits. However,
6.2% said the person did, or does, receive
retirement benefits, and another 6.2%
said the same regarding health benefits.
No one reported that the jobholder had
gotten both kinds of benefits.
Nearly eight in 10 (77.8%) respondents
work in a plan sponsor role, while 16.7%
are third-party administrators (TPAs)/
recordkeepers/investment managers, and
5.5% are advisers/consultants.
As always, all verbatim responses
reflect the opinions of individual readers
and not the stance of PLANSPONSOR or
its affiliates at Strategic Insight.
" The people I know to have taken gig
jobs usually have an additional support
source: [are] under age 26 and still on
parents' insurance plans or married to a
spouse with medical coverage. The main
focus is usually on the health benefits, but I
would imagine retirement to also tend to be
dependent on an alternative source such as
6 PLANSPONSOR.com October 2017
" I know a jazz singer who works
gigs. She doesn't get health or
retirement benefits, but she works
sweet hours and gets free drinks. "
a spouse or lottery dreams. "
" [In spite of] the downside to my
husband's gig work (lower pay and no
benefits), [the job] has also allowed more
flexibility to help cover kids/dogs; a much
happier spouse; and plenty of time to ponder
what he'd like to do for his next career move.
It's serving as a great paid sabbatical. "
" I am concerned that younger individuals
who have gig jobs are not thinking
about funding their retirement or paying
for medical expenses or fulfilling their obligations
in the future. Lack of planning on
their part should not become a tax expense
for those of us who plan ahead. "
" I know a jazz singer who works gigs.
She doesn't get health or retirement benefits,
but she works sweet hours and gets free
drinks. "
" Some people are able to take gig jobs
because a spouse is in a job that furnishes
Art by Jasjyot Singh Hans
health insurance. This allows the gig
jobholder to negotiate higher wages, as benefits
are not provided. Works well for some, but
does require discipline to save for retirement. "
" No, they don't get benefits, and no they
don't (technically) have the security that
comes with full-time employment. On the
other hand, they don't have to take all the
bullsh*t that comes with benefits and fulltime
employment, which-unfortunately for
their retirement finances-likely means they
will live longer. "
And the Editor's Choice goes to the
reader who said, " I know lots of people
with gig jobs; most are post-retirement jobs.
Although most are enjoying what they do, I
hope to retire with enough funds to never need
a gig job! " -Rebecca Moore
You can participate by subscribing to
NewsDash at plansponsor.com/subscribe.
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PLANSPONSOR - October 2017

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