PLANSPONSOR - September - October 2023 - 4
PARTICIPANT ANALYSIS
Diversified Retirement Income
A
s employees near retirement, it is
important that they understand
what they have available in retirement
income resources, experts agree.
Most people will have multiple sources
of retirement income, at least for a while,
according to the 2022 PLANSPONSOR
Participant Survey, fielded late last year.
The survey points to the ubiquitousness
of employer plans, individual retirement
account plans and Social Security, but
also calls out real estate and inheritance as
other key pieces of some people's nest egg.
Sara Cathey, financial adviser for
CAPTRUST in Kansas City, Missouri,
suggests that sponsors prepare a holistic
strategy participants can use for investing
their various assets and receiving income
in retirement. " Doing so [can help] participants
to reduce their overall risk, achieve
more consistent returns and hedge against
potential changes in tax rates, " she says.
For many, though, " having multiple
sources of income might be a luxury, " says
Jim Sampson, national practice leader
at the Hilb Group in Cranston, Rhode
Island. " They'll have Social Security and
whatever they managed to save in a 401(k)
Sources of Income in Retirement*
ALL
401(k), 403(b), 457 or other plan
at a current employer
Social Security
401(k), 403(b), 457 or other plan at a prior
or spouse's/partner's employer(s)
IRAs (traditional, Roth or rollover)
Inheritance
Traditional pension plan
Any other accounts designated
for retirement
Equity accrued in primary/secondary
residence(s) or other real estate
Nonqualified plan-e.g., " top hat, "
executive deferred compensation, etc.
Any other savings
18 - 22
23 - 29
30 - 39
AGES
40 - 49
50 - 59
60 - 69
≥70
71% 68% 74% 79% 69% 67% 64% 57%
58% 47% 49% 60% 64% 63% 74% 100%
52% 49% 49% 52% 55% 48% 62% 57%
40% 36% 37% 45% 42% 37% 53% 43%
29% 31% 29% 31% 28% 25% 43% 43%
27% 17% 21% 32% 29% 26% 53% 57%
26% 27% 22% 28% 27% 20% 45% 43%
24% 20% 18% 31% 27% 17% 38% 71%
22% 23% 21% 26% 21% 15% 36% 43%
13% 6% 9% 19% 15% 8% 36% 43%
*Nine hundred ninety-five participants responded to these questions. Participants could choose multiple types.
Source: 2022 PLANSPONSOR Participant Survey
with
or 403(b) or IRA plan, " he says.
Participants
more
sources,
though, before they plan how to turn the
assets into income, should identify what the
sources are, " which may not be that easy, "
Sampson says. " It's making sure they've
kept track of any investment accounts and
potentially consolidating them. Do they
have taxable investment accounts they'll be
using in retirement? It's knowing whether
they are entitled to a pension payment and
where that comes from. It's understanding
when, and how, to claim Social Security. "
-Judy Faust Hartnett
4 PLANSPONSOR.COM September - October 2023
http://www.PLANSPONSOR.COM
PLANSPONSOR - September - October 2023
Table of Contents for the Digital Edition of PLANSPONSOR - September - October 2023
INSIGHTS
PARTICIPANT ANALYSIS
RULES & REGULATIONS
UPFRONT
Building Strength
2023 Defined Benefit Administration Survey
2023 Best in Class 401(k) Plans
If the Goal Is Engagement
Upgrading NQDC Plans
When to Amend?
PRTs’ New Notoriety
Continuous Improvement
PLANSPONSOR - September - October 2023 - Cover1
PLANSPONSOR - September - October 2023 - FC1
PLANSPONSOR - September - October 2023 - FC2
PLANSPONSOR - September - October 2023 - Cover2
PLANSPONSOR - September - October 2023 - 1
PLANSPONSOR - September - October 2023 - INSIGHTS
PLANSPONSOR - September - October 2023 - 3
PLANSPONSOR - September - October 2023 - PARTICIPANT ANALYSIS
PLANSPONSOR - September - October 2023 - 5
PLANSPONSOR - September - October 2023 - RULES & REGULATIONS
PLANSPONSOR - September - October 2023 - 7
PLANSPONSOR - September - October 2023 - 8
PLANSPONSOR - September - October 2023 - 9
PLANSPONSOR - September - October 2023 - UPFRONT
PLANSPONSOR - September - October 2023 - 11
PLANSPONSOR - September - October 2023 - 12
PLANSPONSOR - September - October 2023 - 13
PLANSPONSOR - September - October 2023 - 14
PLANSPONSOR - September - October 2023 - 15
PLANSPONSOR - September - October 2023 - Building Strength
PLANSPONSOR - September - October 2023 - 17
PLANSPONSOR - September - October 2023 - 18
PLANSPONSOR - September - October 2023 - 19
PLANSPONSOR - September - October 2023 - 2023 Defined Benefit Administration Survey
PLANSPONSOR - September - October 2023 - 21
PLANSPONSOR - September - October 2023 - 22
PLANSPONSOR - September - October 2023 - 23
PLANSPONSOR - September - October 2023 - 2023 Best in Class 401(k) Plans
PLANSPONSOR - September - October 2023 - 25
PLANSPONSOR - September - October 2023 - 26
PLANSPONSOR - September - October 2023 - 27
PLANSPONSOR - September - October 2023 - 28
PLANSPONSOR - September - October 2023 - 29
PLANSPONSOR - September - October 2023 - 30
PLANSPONSOR - September - October 2023 - 31
PLANSPONSOR - September - October 2023 - If the Goal Is Engagement
PLANSPONSOR - September - October 2023 - 33
PLANSPONSOR - September - October 2023 - 34
PLANSPONSOR - September - October 2023 - 35
PLANSPONSOR - September - October 2023 - Upgrading NQDC Plans
PLANSPONSOR - September - October 2023 - 37
PLANSPONSOR - September - October 2023 - When to Amend?
PLANSPONSOR - September - October 2023 - PRTs’ New Notoriety
PLANSPONSOR - September - October 2023 - Continuous Improvement
PLANSPONSOR - September - October 2023 - Cover3
PLANSPONSOR - September - October 2023 - Cover4
https://www.plansponsordigital.com/plansponsor/march_april_2024
https://www.plansponsordigital.com/plansponsor/january_february_2024
https://www.plansponsordigital.com/plansponsor/november_december_2023
https://www.plansponsordigital.com/plansponsor/september_october_2023
https://www.plansponsordigital.com/plansponsor/july_august_2023
https://www.plansponsordigital.com/plansponsor/may_june_2023
https://www.plansponsordigital.com/plansponsor/march_april_2023
https://www.plansponsordigital.com/plansponsor/december_2022_february_2023
https://www.plansponsordigital.com/plansponsor/october_november_2022
https://www.plansponsordigital.com/plansponsor/august_september_2022
https://www.plansponsordigital.com/plansponsor/june_july_2022
https://www.plansponsordigital.com/plansponsor/excellenceawards_2022
https://www.plansponsordigital.com/plansponsor/april_may_2022
https://www.plansponsordigital.com/plansponsor/february_march_2022
https://www.plansponsordigital.com/plansponsor/december_2021_january_2022
https://www.plansponsordigital.com/plansponsor/october_november_2021
https://www.plansponsordigital.com/plansponsor/august_september_2021
https://www.plansponsordigital.com/plansponsor/june_july_2021
https://www.plansponsordigital.com/plansponsor/april-may_2021
https://www.plansponsordigital.com/plansponsor/february-march_2021
https://www.plansponsordigital.com/plansponsor/december-january_2021
https://www.plansponsordigital.com/plansponsor/october-november_2020
https://www.plansponsordigital.com/plansponsor/august-september_2020
https://www.plansponsordigital.com/plansponsor/june-july_2020
https://www.plansponsordigital.com/plansponsor/april-may_2020
https://www.plansponsordigital.com/plansponsor/february-march_2020
https://www.plansponsordigital.com/plansponsor/december-january_2020
https://www.plansponsordigital.com/plansponsor/october-november_2019
https://www.plansponsordigital.com/plansponsor/august-september_2019
https://www.plansponsordigital.com/plansponsor/june-july_2019
https://www.plansponsordigital.com/plansponsor/april-may_2019
https://www.plansponsordigital.com/plansponsor/february-march_2019
https://www.plansponsordigital.com/plansponsor/december_2018-january_2019
https://www.plansponsordigital.com/plansponsor/october-november_2018
https://www.plansponsordigital.com/plansponsor/august-september_2018
https://www.plansponsordigital.com/plansponsor/june-july_2018
https://www.plansponsordigital.com/plansponsor/april-may_2018
https://www.plansponsordigital.com/plansponsor/february-march_2018
https://www.plansponsordigital.com/plansponsor/december_2017-january_2018
https://www.plansponsordigital.com/plansponsor/november_december_2017
https://www.plansponsordigital.com/plansponsor/october_2017
https://www.plansponsordigital.com/plansponsor/september_2017
https://www.nxtbookmedia.com