COLLECTED WISDOM™ on Studies, Surveys, and Research focused on 401k Plans

This archive contains not only the most current material on the topic, but also older items that are still relevant, provide background, perspective or are germane to the topic.

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Debt is Limiting American Retirement Savings

According to the 2024 Annual Retirement Study conducted by Allianz Life Insurance Company, a significant number of Americans are prioritizing debt repayment as they strive to secure their long-term financial goals. Notably, 55% of respondents are actively working to pay off debts, with Generation X leading this effort—64% of Gen Xers are focusing on debt reduction compared to 54% of both millennials and boomers. The article notes further that many Americans acknowledge that their debt is a barrier to retirement savings. Among those who wish they had saved more, 46% cite non-housing debts, such as car loans, credit cards, and student loans, as impediments to saving.

Source: Allianzlife.com, December 2024

2024 Defined Contribution Consultant Study

T. Rowe Price's fourth annual Defined Contribution Consultant Study gathered insights from the defined contribution consultant and advisor community regarding current retirement perspectives. The study, conducted from January 12 to March 4, 2024, involved 35 leading consultant and advisor firms, which together manage over $7.5 trillion in assets. Key findings continued to highlight areas such as target date solutions, retirement income, investment trends, and financial wellness programs. New topics introduced this year included managed accounts, alternative investments, and comparisons of active versus passive management strategies.

Source: Troweprice.com, November 2024

Schwab 401k Study: Employers Step Up to Help Workers Manage Financial Stress

The Charles Schwab 401k Study reveals that employers are increasingly taking proactive steps to assist employees in managing financial stress, particularly in the context of retirement savings. The study highlights a growing awareness among employers of the impact that financial difficulties can have on employee well-being, productivity, and overall job satisfaction. In response, many organizations are implementing resources and support systems, such as financial wellness programs and educational tools, to empower workers in their financial decision-making. The findings emphasize the significant role that employers play in fostering a supportive environment that promotes financial literacy and stability, ultimately benefiting both employees and the organizations they work for.

Source: Schwab.com, October 2024

GAO on 401k Plans: Reported Impacts of Fee Disclosure Regulations, and DOL Efforts to Support Implementation of Regulations

The GAO report emphasizes the significance of employer-sponsored 401k plans for retirement savings, highlighting the role of mandatory fee disclosures by the Department of Labor. Since 2012, 401k plan fees have generally decreased, with various factors -- including fee disclosures -- contributing to this trend. The DOL implemented fee disclosure regulations in 2010 and 2012 to enhance awareness among plan sponsors and participants regarding fees and investment performance. Overall, while fee disclosures have positively influenced the management of 401k plans, enhancing financial literacy among participants may further improve their engagement and understanding.

Source: Gao.gov, October 2024

4 in 10 Taking Early 401k Withdrawals; 2 in 3 Not Paying It Back

Research from FinanceBuzz reveals that 40% of Americans with retirement accounts have made early withdrawals, with over 10% doing so multiple times. Additionally, two-thirds of those who withdrew have not repaid the full amount. The study, based on a survey of 1,000 U.S. adults, aimed to examine the prevalence of early withdrawals, the amounts taken out, and the reasons behind these financial decisions.

Source: 401kspecialistmag.com, October 2024

Small Plan Balance Cashouts and Missing Participants

Plan sponsors often find managing missing participants and distributing plan balances a significant administrative challenge. While there are no strict regulations governing how to handle small balances from terminated employees, this issue is a common focus during DOL audits. The DOL expects plan sponsors to implement a prudent process and demonstrate a good-faith effort in distributing funds to ex-participants. To understand current practices, the PSCA conducted a survey in September 2024, sponsored by Inspira, gathering responses from 234 plan sponsors from various sizes and industries.

Source: Psca.org, October 2024

Retirement Income and Personalization Among Key 2024 DC Trends

As lifetime income solutions continue to trend upward, plan sponsors are inquiring more about retirement income in workplace plans. New findings from T. Rowe Price's Defined Contribution Consultant Study, which explores the latest retirement plan and investment attitudes from DC advisors and consultants, show that more employers have an opinion about retirement income today compared to past years.

Source: 401kspecialistmag.com, September 2024

What Are the Key Trends Affecting DC Plans?

Retirement income is at the center of trends discussed in a new study that evaluates the viewpoints of 35 leading consultant and advisory firms on key retirement and investment trends affecting DC plans and their sponsors. The study captures the latest perspectives from DC consultants and advisors on target-date solutions, retirement income, investment trends, and financial wellness programs. Additionally, this year's study explores respondents' thoughts on managed accounts, alternative investments, and the value of active versus passive management.

Source: Psca.org, September 2024

Read on Retirement: Advisor Perspective

Retirement. It's deeply personal. And nobody knows this better than the retirement plan advisors working first-hand with sponsors to understand and address the challenges their savers face. Blackrock surveyed over 300 advisors as part of its annual "Read on Retirement®" research to better understand how they're enhancing outcomes and growing their practice. This is a 12-page report.

Source: Blackrock.com, September 2024

Reinventing Retirement Recordkeeping

The retirement recordkeeping industry is presented with both significant challenges and opportunities for transformation. This dynamic environment calls for strategies that could include scaling up or targeting specific market segments, delivering comprehensive financial advice services, and introducing personalized products. By leveraging emerging technologies such as generative AI, and building a strong digital core, recordkeepers could achieve a lean cost structure and adapt to the changing and consolidating landscape. This is a 20-page report.

Source: Accenture.com, September 2024

How Financial Factors Outside of a DC Plan Can Impact Retirement Readiness

This research found that, like private-sector DC plan participants, public-sector DC plan participants who lack income and cash reserves to support a spending spike are likely to end up with more credit card debt. This higher debt can have a long-lasting impact on retirement security since higher credit card utilization is correlated with lower DC plan contributions and account balances, even when controlling for income. Thus, the availability of emergency savings to cover spending spikes can be a critical factor in preventing or stalling a cycle of increasing debt that can significantly impact retirement readiness.

Source: Ebri.org, September 2024

Just 42% of U.S. Workers Confident They're Saving Enough for Retirement: Survey

Just two-fifths (42%) of U.S. employees say they feel highly confident they're on track to save what they need in retirement, according to a new survey by LiveCareer. The survey, which polled more than 1,000 U.S. workers, found six in 10 said they fear retirement more than death (61%) or the idea of getting a divorce (64%). Indeed, 39% expressed fear that retiring will make them a financial burden to loved ones or that they won’t have enough saved for medical emergencies or unexpected costs in retirement.

Source: Benefitscanada.com, September 2024

Sports Betting Legalization a Big Loser for Retirement Balances

Talk about your losing propositions! A new study from the University of Kansas found that every dollar spent on online sports betting translates into two dollars not invested in retirement savings. A new working paper shows how the proliferation of online sports betting since a 2018 Supreme Court ruling that paved the way for states to legalize sports gambling has not only led to increased betting activity, but also leads to higher credit card balances (and more paid in interest charges), less available credit, and a reduction in net investments.

Source: 401kspecialistmag.com, September 2024

401k Plan Participants Continue to Benefit From Employer Contributions and Falling Fees: Report

The undeniable strength of the 401k system is seen in this report. Analyzing automatic enrollment, employer contributions, and participant loans, the report reveals the care with which employers set up their 401k plans, and how employer contributions and cost-effective investing bolster the success of the system in helping Americans save for retirement.

Source: Ici.org, August 2024

Financial Uncertainty Pushes Americans to Rethink Retirement Plans

As retirement approaches for millions of Americans, the path forward appears increasingly uncertain, with many expressing concerns about how they will generate income in their post-work years. Amid this uncertainty, many workers appear to be delaying their retirement plans. The 2024 Global Benefits Attitudes Survey from WTW found that financial concerns are leading older Americans to work longer or phase into retirement gradually.

Source: Planadviser.com, August 2024

Why Do Employers Establish Retirement Savings Plans? Evidence From State "Auto-IRA" Plans

Several states have recently attempted to boost retirement savings by enacting "auto-IRA" plans that require employers not currently offering an employer-sponsored retirement plan (ESRP) to either (1) establish an ESRP or (2) enroll employees in state-facilitated Individual Retirement Accounts. This 63-page paper identifies the effect of these state retirement plan mandates on a firm's decisions to offer ESRPs, treating the gradual rollout of these policies across states and employer size categories as a series of "experiments."

Source: Nber.org, August 2024

Schwab 401k Study: Confidence Among Workers Improves as Inflation and Market Volatility Concerns Soften

Workers are feeling more confident about their ability to reach their financial goals for retirement as anxiety around inflation and market volatility has come down since last year, according to a new survey from Charles Schwab. The annual nationwide survey of 401k plan participants finds that 43% of workers think they are very likely to achieve their retirement savings goals compared to 37% in 2023. Inflation and stock market volatility continue to be the biggest obstacles to saving for a comfortable retirement, though workers are slightly less concerned about both factors in 2024.

Source: Schwab.com, July 2024

The Economics of Providing 401k Plans: Services, Fees, and Expenses, 2023

401k plan participants investing in mutual funds tend to hold lower-cost funds. At year-end 2023, 401k plan assets totaled $7.4 trillion, with 38 percent invested in equity mutual funds. In 2023, 401k plan participants who invested in equity mutual funds paid an average expense ratio of 0.31 percent. The mutual fund expense ratios that 401k plan participants incur have declined substantially since 2000. In 2000, 401k plan participants incurred an average expense ratio of 0.77 percent for investing in equity mutual funds. By 2023, that figure had fallen to 0.31 percent, a 60 percent decline.

Source: Ici.org, July 2024

2024 Living in Retirement Report

Findings on the financial challenges and concerns of retired Americans from the Schroders 2024 US Retirement Survey. Study finds inflation taking a toll on retirees. The worst bout of inflation in decades is weighing heavily on the minds of retirees.

Source: Schroders.com, July 2024

2024 US Retirement Readiness Report

Schroders recently surveyed 2,000 US investors nationwide to learn more about the state of retirement readiness and planning, key concerns regarding retirement, and current sentiment among those who are already living in retirement.

Source: Schroders.com, July 2024

2024 Recordkeeping Survey

Significant levels of change in federal law regarding employer-provided retirement plans, including a variety of new optional and mandatory provisions enacted since 2019, have put tremendous pressure on plan recordkeepers after years of fee compression. The 2024 PLANSPONSOR survey found that recordkeepers are juggling competing priorities of new mandatory and optional plan features alongside demands for their platforms to support retirement income, personalization, financial wellness programs, and more.

Source: Plansponsor.com, June 2024

Improving Retirement Outcomes: Demographic Considerations

This 34-page policy paper discusses retirement inequities and how current retirement plan design elements and policies may inadvertently disadvantage certain cohorts of individuals. It offers potential changes and actions for consideration by policymakers, think tanks, actuaries, and employers/plan sponsors to improve retirement outcomes for groups facing inadequate retirement security under common designs. The paper concludes with considerations for further effort, research, and studies.

Source: Actuary.org, June 2024

How America Saves 2024

Here is a report on the current state of defined contribution plans in America. How does your plan stack up? The comprehensive plan data in "How America Saves 2024" puts the trends of the retirement industry right at your fingertips so you can stay current, create stronger plans, and provide better participant outcomes.

Source: Vanguard.com, June 2024

New Research Finds Substantial Growth in Individual Account Retirement Plan Assets

A new research report published today by the Employee Benefit Research Institute found that after modest growth and declines in individual account retirement plan ownership and assets from 2016 to 2019, there was substantial growth from 2019 to 2022.

Source: Ebri.org, June 2024

Study Reveals How Fiduciary Advice Reduces 401k Plan Costs

Employee Fiduciary has released its latest 401k advisor fee study. The study highlights how fiduciary-grade investment advice can lower the cost of small business 401k plans, making retirement more affordable for plan participants. The study looks at the fees charged by 1,109 fiduciary-grade financial advisors to demonstrate how affordable a small business 401k plan can be with fiduciary-grade investment advice.

Source: Prnewswire.com, May 2024

Gender Lens in Defined Contribution Plans

The adverse economic consequences of the pandemic disproportionally affected women. Women have dropped out of the workforce at record numbers to take on additional caregiving responsibilities. This study using, data from 2019 to 2023, shows that: Participation rates of women remain lower than those of men. Women and men contribute at the same rates. Women continue to invest more conservatively. However, both women's and men's allocations to equity have increased. Women continue to claim hardship at greater rates and have higher loan-to-balance ratios than men. 401k balances of women continue to lag behind those of men.

Source: Bofa.com, May 2024

Nearly Half of Americans Expect Slow Transition Into Retirement

Americans' view of retirement is shifting as nearly half of Americans think about retirement as a slow transition away from full-time work rather than a distinct day in the future to leave the workforce, according to the 2024 Annual Retirement Study from Allianz Life. While 47% of Americans say they think about retirement as a slow transition away from full-time work, only 38% now say they think about it as a distinct date in the future to stop working and start drawing down on retirement assets. At the same time, 15% say they don't see themselves ever slowing down or retiring.

Source: Allianzlife.com, May 2024

401k Plan Asset Allocation, Account Balances, and Loan Activity in 2022

In an ongoing collaborative effort, the Employee Benefit Research Institute and the Investment Company Institute collect annual data on millions of 401k plan participants as a means of examining how these participants manage their 401k plan accounts. This 32-page report is an update of EBRI and ICI's ongoing research into 401k plan participants' activity through year-end 2022. The report is divided into three sections: the first presents a snapshot of participant account balances at year-end 2022, the second looks at participants' asset allocations, and the third focuses on participants' 401k loan activity.

Source: Ebri.org, April 2024

Callan 2024 DC Trends Survey: Focus on Plan Governance, and Continued Efforts to Rein in Fees

Callan's 2024 Defined Contribution Trends Survey covers the key tenets of DC plan management such as governance, investments, fees, plan design, and more. The insights distilled in the 17th annual edition of the survey provide a benchmark for sponsors to evaluate their plans compared to peers, and to offer actionable information to help them improve their plans and the outcomes for their participants. This article summarizes highlights from the survey, which was conducted online in late 2023.

Source: Callan.com, April 2024

Improving DC Plans to Serve Participant Behavior

Overall, the study revealed the complex nature of solving for the diverse styles of DC participants and underscored the importance of investment solutions that can be more broadly applicable to more retirement income styles, or how retirees prefer to source spending in retirement. In addition, the study highlighted the importance of engagement, education, and spending guidance in matching strategies with the preferences of different savers and the opportunity for the DC industry to do more in providing individuals with further spending guidance.

Source: Blackrock.com, April 2024

One-Third of American Workers Have Zero Retirement Savings

Americans workers are not in the position to retire anytime soon, finds a new Q2 report by Schroders. The "DC Lens Q2 2024" report underlines some bleak updates to the state of participants' retirement readiness. According to the analysis, 28% of people have zero savings for their retirement, 39% are not contributing to a retirement fund, and 30% don't see a future where they can retire.

Source: 401kspecialistmag.com, April 2024

Nine Key Findings from EBRI's 2024 Retirement Confidence Survey

Workers' and retirees' confidence has not yet fully recovered from the significant drop seen in 2023, but majorities remain optimistic about their retirement prospects and the lifestyle they envisioned, according to the 34th annual Retirement Confidence Survey, published by the Employee Benefit Research Institute and Greenwald Research. Here are some of the key findings from the survey of 2,521 Americans.

Source: 401kspecialistmag.com, April 2024

Understanding the Drivers of Retirement Confidence

Dynata, an independent third-party research provider, conducted a study among 1,000 DC plan participants in the US on behalf of MFS. In this article, MFS shares the responses from the participants in three sections: market event impacts, retirement confidence, and the power of quality advice.

Source: Plansponsor.com, April 2024

Report Reveals 403b Plan Sponsors Support Retirement Saving and Investing

Employers' commitment to their 403b plan participants is evident in a new report just released by the ICI. Analyzing the plan year 2020 data for large 403b plans filing Form 5500 under the ERISA, the report finds that nearly one-third of large ERISA 403b plan participants were in plans that put their employees on the path to retirement saving with automatic enrollment.

Source: Ici.org, April 2024

Why Do Some Small Businesses Offer Retirement Plans?

Numerous studies have shown that offering a retirement plan is closely related to firm size; firms with fewer than 100 employees are much less likely to offer a plan than larger firms. As a result, observers tend to dismiss small firms as a source of future growth in coverage. However, a meaningful share of small businesses do offer retirement plans. The purpose of this study is to identify the characteristics of sponsoring firms and their employees to determine which small businesses may be more likely to offer a retirement plan in the future.

Source: Bofa.com, April 2024

Nearly 2 in 3 Americans Worry More About Running Out of Money Than Death

Nearly two in three Americans say they worry more about running out of money than death with concerns about inflation, Social Security, and taxes contributing to the fear, according to the 2024 Annual Retirement Study from Allianz Life. The worry of running out of money has increased in recent years. In 2024, 63% say they worry more about running out of money than death, up from 57% in 2022. Gen Xers are the most likely to say this with 71% more worried about running out of money than death, compared to 64% of millennials and 53% of boomers.

Source: Allianzlife.com, April 2024

401k Balances Rise 14% in 2023, but Participation Rate Falls

Average 401k account balances at plans recordkept by T.Rowe Price increased by 14% over the past year to $115,000, according to the Baltimore-based company's annual benchmarking report on 401k plan design and participant behavior.

Source: 401kspecialistmag.com, April 2024

Small Business Retirement Plans: How Firms Perceive Benefits and Costs

At any given time, only about half of U.S. private sector workers are covered by an employer-sponsored retirement plan, and few workers save without one. The coverage gap, which undermines the retirement security of the nation's workers, is driven by a lack of coverage among small employers. This article presents the results of a new survey of small employers to understand why some offer retirement plans and others do not.

Source: Bc.edu, March 2024

Redefining 401k Data Collection for Racial and Gender Groups

A new study released today is shifting the way participant data is collected across the retirement planning industry. The research highlights gender and race-focused defined contribution administrative data typically found in human resource systems, with the hopes of combining it with qualitative research to better assess wellness platforms and tools for employers and participants. According to the research, data on nonwhite households remains relatively small with limited information on contributions, loans, and withdrawal and asset allocation activity.

Source: 401kspecialistmag.com, March 2024

Access to 401ks Surges Past 70 Million in 2023: Capitalize

According to the firm Capitalize, the number of private sector workers in the U.S. with access to 401k plans surged 6.35% in 2023 to reach more than 71.5 million individuals, or nearly 6 in 10 U.S. workers for the first time.

Source: 401kspecialistmag.com, March 2024

Record Number of Participants Raised Deferral Rate in 2023, Vanguard Reports

In 2023, a record-breaking 43% of participants raised their rate of salary deferral into retirement savings, marking the highest level observed by the Vanguard Group since tracking began, according to a preview released Monday of the recordkeeper and asset manager's "How America Saves" report.

Source: Planadviser.com, March 2024

Traditional Retirement Accounts Exhausted Faster Than Roths: Study

A new study finds that people who rely on "deferred tax" accounts to save for retirement may exhaust their savings faster than people who use "currently taxed" accounts. The researchers developed an experiment designed to assess how people would spend money in a deferred tax or currently taxed account. The researchers then enlisted 350 study participants, all of whom were U.S. adults over the age of 40 who had filed at least five tax returns over the previous seven years.

Source: Napa-net.org, March 2024

Plan Sponsor Attitudes Toward Retirement Plan Management and Fiduciary Outsourcing

This 18-page study measured how retirement plan sponsors view 3(16) fiduciary outsourcing as a tool to help them better manage their retirement plans. It also captured plan sponsor perspectives on how such outsourcing can help drive improved plan outcomes. The study was conducted in January 2024.

Source: Pentegra.com, March 2024

Younger 401k Participants Seek Personalization Features

Younger participants enrolled in employer-sponsored retirement plans share a greater desire for personalization, finds new research from Cerulli Associates. According to the findings, Generation Z was the most willing out of all other generations to share personal information, such as retirement savings/account balances (51%), nonretirement savings/account balances (37%), and expected retirement age (66%). Forty-five percent of Gen Z respondents added that they are "very comfortable" sharing their current and/or projected spending with 401k providers.

Source: 401kspecialistmag.com, March 2024

Race, Retirement, and the Savings Gap

Dramatic racial and ethnic disparities in retirement savings persist in the U.S., with no simple solution. This research shows that Black and Hispanic workers are lagging in plan participation and savings while also facing a greater range of competing financial priorities. The retirement industry can act now to help close the gap with thoughtful plan design, wellness and education programs, and improved data-sharing practices.

Source: Troweprice.com, March 2024

NEPC's 2023 Defined Contribution Plan Trends and Fee Survey Results

NEPC's Defined Contribution team released its 2023 Defined Contribution Plan Trends and Fee Survey results. This is the 18th annual version of the survey, which examines current plan investment trends, features, and innovations across major sectors, and how these plans have evolved over the years.

Source: Nepc.com, March 2024

TDFs Continue as Leading Investment Vehicle in DC Retirement Plans

New findings today from the NEPC show that target-date funds remain the dominant investment option among DC plans. The organization's latest Defined Contribution Plan Trends and Fee Survey, which surveyed 128 clients representing $259 billion in aggregate assets and 2.6 million plan participants, reports that 86% of respondents currently offer a TDF paired with systematic distributions to their participants. Ninety-seven percent of clients offer target-date fund options, and 96% use the vehicle as the qualified default investment alternative.

Source: 401kspecialistmag.com, March 2024

American Views on Defined Contribution Plan Saving, 2023

With millions of US households personally directing their retirement savings, the ICI has sought to track retirement savers' actions and sentiments. This 24-page report, the 16th in this series, summarizes results from a nationally representative survey of Americans aged 18 or older. The survey polled respondents about their views on defined contribution retirement account saving and their confidence in 401k and other DC plan accounts.

Source: Ici.org, February 2024

Student Loans and Retirement Preparedness

This study aims to provide better information on how student loan debt payments affect the 401k contributions of those who are contributing and what participants do with their contributions when their student loan payment status changes. It does so by looking directly at 401k plan recordkeeper data on balances and contributions of active participants linked with banking data from these same participants to see if they are making student loan payments.

Source: Ebri.org, February 2024

401k Managed Account Users Out-Saving TDF Participants

Retirement plan participants utilizing managed accounts are out-saving non-users and participants utilizing a single target date fund, according to data from Edelman Financial Engines. During the past decade, the savings rates of EFE managed account users have consistently averaged higher than non-users.

Source: 401kspecialistmag.com, February 2024

Employees See 401k Plans as Prerequisite Instead of Perk

Access to workplace retirement plans is no longer considered a job perk to employees, but a necessity instead. A new study released today by Vestwell, which surveyed 1,200 employees nationwide on savings habits, evolving benefits, and challenges, finds that 85% of respondents expect their employer to offer retirement benefits, up from 72% last year. Additionally, 89% of survey respondents say they would be more likely to continue working for an employer that offers a retirement benefit.

Source: 401kspecialistmag.com, February 2024

Advisors and Participants Don't Agree on Retirement Readiness

While plan participants think they're ready for retirement, their advisors aren't so sure. A new Allspring Global Investments' retirement survey finds a disconnect between both parties, noting that 64% of retirees and near-retirees believe they are ready for retirement, while only 40% of advisors say their clients are. This divide is even greater when it comes to retirement themes.

Source: 401kspecialistmag.com, February 2024

American Views on Defined Contribution Plan Saving, 2023

This survey polled respondents about their views on defined contribution retirement account saving and their confidence in 401k and other DC plan accounts. Survey responses indicated that Americans value the discipline and investment opportunity that 401k plans represent and largely oppose changing the tax preferences or investment control in those accounts. A majority of respondents also affirmed a preference for control of their retirement accounts and opposed proposals to require a portion of retirement accounts to be converted into a fair contract promising them lifetime income from either the government or an insurance company. This 24-page report presents survey results that reflect individuals' responses collected during November and December 2023.

Source: Ici.org, February 2024

Auto Portability to Help Boost Wealth by $1.6 Trillion Over 40 Years

New results from the Retirement Clearinghouse's Auto Portability Simulation model further reveal the potential for auto portability to dramatically increase retirement savings. Based on new assumptions that increase the model's predictive accuracy, the firm's resulting paper reveals four key findings, including that the net incremental wealth generated by auto portability could be $1.6 trillion over 40 years.

Source: Napa-net.org, December 2023

401k Loans, Hardship Withdrawals at 2-Year High

Loan and hardship withdrawals taken from workplace retirement plans in the third quarter of 2023 hit their highest levels in more than two years, according to a report from Empower. Among a study of 5.3 million defined contribution workplace savers in Empower accounts, 0.8% took hardship withdrawals in Q3, and 2.6% took out loans from their savings. Those were the highest rates in the past eight quarters.

Source: Planadviser.com, December 2023

The Battle of Passive vs. Active Reaches New Milestone

Cerulli projections indicate that total passive mutual fund and exchange-traded fund assets will surpass total active mutual fund and ETF assets by early 2024. However, the flight toward passive may be slowing, as active management seeks ground in vehicles other than the mutual fund.

Source: Cerulli.com, December 2023

Plan Advisers Will Play Key Role in Future of In-Plan Annuities: LIMRA

Plan advisers will play a key role in in-plan annuity options' trajectory in the next 12 months, according to research by trade group LIMRA. An estimated nine out of 10 defined contribution retirement plans do not offer participants an in-plan annuity option, according to LIMRA. That has been the case for years despite a push from insurance providers for in-plan options, but 2024 may finally be a tipping point, the insurance trade group wrote in its report.

Source: Planadviser.com, December 2023

Changes in 401k Plan Asset Allocation Among Consistent Participants, 2016-2020

This 12-page paper provides an update of a longitudinal analysis of 401k plan participants drawn from the EBRI/ICI 401k database. Because the annual cross-sections cover participants with a wide range of participation experience in 401k plans, meaningful analysis of how 401k participants' asset allocations evolve over their lifecycle must examine the asset allocation of 401k plan accounts of participants who maintained accounts over all of the years being studied.

Source: Ebri.org, October 2023

New Retirement Outlook Report: A National Perspective on Retirement Readiness

The retirement readiness outlook is mixed for Americans, according to the inaugural Vanguard Retirement Outlook report. This comprehensive analysis evaluates retirement readiness for a nationally representative sample of American workers. The report is 31 pages.

Source: Vanguard.com, October 2023

2023 Alight International Workforce and Wellbeing Mindset Study

The 2023 International Workforce and Wellbeing Mindset Study is Alight's 13th annual U.S. report, examining employee wellbeing, culture, total rewards, and workplace technology. The study's goal is to understand employee perceptions to help employers optimize their employees' well-being and experiences to improve engagement, productivity, and performance.

Source: Alight.com, September 2023

Defined Contribution Plan Sponsor Survey Findings

This 24-page Defined Contribution Plan Sponsor Survey offers insights into how plans have navigated the remarkable past four years. The period began with the COVID-19 pandemic; subsequently moved through the Great Resignation, rapidly rising inflation, and elevated market volatility; and then saw the passage of the SECURE 2.0 Act. Plan sponsors appear to have emerged with an ever-expanding focus on how to help position participants for greater retirement funding success.

Source: Jpmorgan.com, September 2023

How Financial Factors Outside of a 401k Plan Can Impact Retirement Readiness

What happens to households with spending "spikes" that lack the income and cash reserves to support spending volatility? This Issue Brief provides a unique analysis of 401k plan participants' finances by linking 401k plan data with consumer banking data to better understand how 401k participants behave when faced with irregular expenses. Changes in credit card utilization, 401k plan contributions, and/or 401k plan loan use were examined after these participants experienced a significant spending spike.

Source: Ebri.org, September 2023

2023 Defined Contribution Consultant Research Study

T. Rowe Price conducted its third annual 2023 Defined Contribution Consultant Research Study to capture retirement views from the defined contribution consulting and advisory community. This executive summary features key findings related to target-date solutions, retirement income, investment trends, and financial wellness programs. Data are informed by 32 of the nation's leading consulting and advisory firms with a collective $6.7 trillion in assets under advisement.

Source: Troweprice.com, September 2023

Four Key Findings From Fidelity's Plan Sponsor Attitudes Survey

There is no shortage of interesting and relevant findings from Fidelity Investments' 14th annual Plan Sponsor Attitudes study, released today, which surveys employers that offer retirement plans using a wide variety of recordkeepers. What percentage of plan sponsors are looking to change advisors, CIT use increasing, plan design tweaks; what sponsors value most from advisors, and more from the comprehensive annual study?

Source: 401kspecialistmag.com, August 2023

Schwab's 2023 401k Participant Survey

Inflation and market volatility are impacting workers' ability to save for retirement to a greater extent than last year, according to a new survey from Charles Schwab. The annual nationwide survey of 401k plan participants finds that 62% of workers see inflation as an obstacle to saving for a comfortable retirement, up from 45% last year, and 42% say stock market volatility is an obstacle, up from 33% last year. Despite these challenges, workers are maintaining their 401k savings rates, but they feel less confident about reaching their goals.

Source: Schwab.com, August 2023

2023 BlackRock Read on Retirement Report

If the pandemic taught us anything, it's that burnout is real. Three years on, it turns out it's not just a workplace side effect. BlackRock's Read on Retirement™ survey reveals that financial burnout is on the rise, and one to watch.

Source: Blackrock.com, July 2023

Insights From the 2023 RIA Benchmarking Study

This year's Schwab's RIA Benchmarking Study highlights growth and business performance and how firms are investing in digital tools and workflows that will create greater efficiencies, increase productivity, and create capacity so firms can provide personalized services through the lens of their ideal client. More than 1,300 independent advisor firms representing over $1.7 trillion in AUM participated in this year's study.

Source: Schwab.com, July 2023

Stepping Into the Future: Employers, Workers, and the Multigenerational Workforce,

This 120-page report, a collaboration between the nonprofit Transamerica Institute and Transamerica Center for Retirement Studies, examines employers' workforce management-related concerns and how they are enhancing their business practices and benefit offerings to adapt to new post-pandemic realities. Underscoring employers' vital societal role, the report includes detailed findings about their flexible work arrangements, health and welfare benefits, workplace wellness programs, retirement benefits, and best practices for the multigenerational workforce. The report offers recommendations for employers and workers.

Source: Transamericainstitute.org, July 2023

2023 Universe Benchmarks Report

This Alight research report analyzes how defined contribution participants in 2022 were saving and investing in their retirement plans. The average plan participation fell slightly for the first time in past years, from 84% in 2021 to 83%. The average contribution rate fell from 8.6% to 8.3%, average plan balances dropped from $144,280 at the start of 2022 to $111,210 by the end of the year, the median plan balance was $23,818 (the lowest value in over a decade), and the median return for investors was -14.7%.

Source: Alight.com, June 2023

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