Designing your retirement plan to drive better outcomes
Retirement readiness is a hot topic because a lot of workers struggle to save.
- 47% of workers have less than $25,000 in savings and investments.1
- 24% say they have less than $1,000.1
The good news: Experts in human behavior, generational studies and digital design have helped us understand and develop strategies to approach the problem.
Now, research and results show the power of plan design. And participants are making better decisions with help from new types of education and engagement.
But what’s best for your plan?
Focused on your plan’s success, we work with you and your financial professional to understand your goals. We show you how many of your participants are on track to replace a sufficient level of income in retirement. Then we show you how plan features and a personalized participant experience may make a difference.
It may make sense for you to add automatic enrollment and escalation features, increase defaults, sweep nonparticipants into your plan or stretch your matching contribution. This flier shares automatic enrollment and escalation data (PDF), with focus on participant perspectives and behavior.
Want to talk about it?
You have the power to increase retirement readiness. When you’re ready, contact your financial professional or Principal representative. We can help you understand your options for helping your participants reach better outcomes.
1 2017 EBRI Retirement Confidence Survey. Amounts exclude the value of a worker’s primary home and any defined benefit plans.
The Retirement Wellness Planner information and Retirement Wellness Score are limited only to the inputs and other financial assumptions and are not intended to be a financial plan or investment advice from any company of the Principal Financial Group® (Principal®). They only provide general guidelines, which may be helpful in making personal financial decisions. Responsibility for those decisions is assumed by the participant, not Principal. Individual results will vary. Participants should regularly review their savings progress and post-retirement needs.