Retirement

Employees may want to retire at age 65, but expect to do so nearly a decade later because of increasing living expenses and a lack of guaranteed income for retirement, say 47% of Americans in a new Equitable survey.

The federal government would make annual contributions to the retirement savings accounts, while low-income workers give up the tax breaks they receive for investing in 401(k) accounts, in a new Penn Wharton plan.

It's becoming more common for employers to offer employees dual participation – in 401(k) and stock option plans –but employers should look to offer financial wellness workshops and seminars on a frequent basis.

Companies need to fully understand what the plan fees are so they can be "fully transparent" with their workers, said law firm Schlichter Bogard, which is representing plaintiffs suing TIAA for steering them into high-fee investments.

The IRS notice instructs employers planning to provide matching retirement contributions to employees making student loan payments, aligning with the new SECURE 2.0 provision.

As one in four retirees are still paying off mortgages and paying down credit card debt, financial advisors and employers need to advise pre-retirees about different retirement solutions and products, according to Nationwide.

After a federal appeals court blocked the Saving on a Valuable Education forgiveness plan in early August, President Biden appealed to the high court last week to reinstate the program, which would lower payments for borrowers.

The firm mismanages its $3.4 billion 401(k) plan by overpaying for administrative services and using money forfeited by former employees, the class action lawsuit alleges.