Most Employers Opt for Retirement Planning Initiatives

Three-quarters of employers in a recent survey said they offer retirement or financial planning to their employees or savings plan participants.

A news release from the International Foundation of Employee Benefit Plans said its survey was designed to find out about the types and formats of financial education, as well as the availability and eligibility requirements of these programs.

According to the release, 77% of respondents offer retirement planning, while 60% offer investment education, 39% financial planning, and 28% investment advice.

Of those respondents providing financial planning, 61% offer formal retirement planning programs/workshops specifically geared to help employees prepare for retirement.

Of employers who offer a formal retirement planning program, about half (52%) utilize a combination of in-house staff and outside providers for their formal retirement planning programs/workshops. Thirty-three percent use outside providers only and 15% percent rely on in-house staff only. Nearly three out of four (72%) offer related events during normal working hours.

The most common type of initiative offered, according the the release, is a group meeting with a plan provider, such as a 401(k) vendor, indicated by 67% of respondents. Fifty-five percent of employers offer Internet access to informational sites; 30% offer Web-based/online tools; and 21% offer computer software. Of those who offer a computer-based program, 84% offer a retirement income calculator.

A copy of the survey results can be ordered at www.ifebp.org/books.asp?6467.