Data & Research March 26, 2009

Americans Plan to Save Tax Refund

Almost three-fourths of polled Americans won’t be spending their tax refund for 2008.
Reported by

An ING DIRECT news release said 71% of respondents plan to save the money, invest it, or apply it to their debt.

According to ING, 51% of respondents expecting a refund for 2008 will use it to cover basic household expenses, including 65% who are under the age of 35. One in four Americans expecting a federal tax refund plan to save their refund and one in three (39%) will pay off debt with their refund this year.

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For Americans who owe taxes this year, 43% stated that they will dip into savings to pay Uncle Sam.

The national online survey was conducted by Harris Interactive on behalf of ING DIRECT between March 17 to 19, among 2,115 adults age 18 or older.

The Markets March 26, 2009

JPMorgan Chase Stops Match

JPMorgan Chase&Co. said it will stop matching 401(k) contributions for its roughly 200,000 workers worldwide, the Dayton Business Journal reports.
Reported by

Darcy Donahoe-Wilmot, a spokeswoman for the bank, confirmed the move Wednesday, saying it is “based on the current economic environment,” according to the news report.

Most match contributions will stop May 1, though employees making less than $50,000 a year will see their match stopped July 1. Donahoe-Wilmot told the Dayton Business Journal the bank will evaluate whether to restart matching at the end of the year.

However, employees making $250,000 annually or more will see their contributions discontinued indefinitely, she said.

In February, another bank, Huntington Bancshares announced it was also cutting its match (see “Huntington Bank Cuts 401(k) Match’).

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