The Investment Company Institute pressed its case againstconventional wisdom Monday, releasing data showing thatemployer-sponsored retirement plans help more Americans today thanever before.
In 2013, it said, one-third of retirees received someretirement income from plan-sponsored assets, either their own or aspouse’s. In 1975, the rate was 21 percent, it said.
Moreover, median retiree income from private-sector plans wasabout $6,000 in 2013, compared to $4,900 in inflation-adjusted 1975dollars, it said.
Critics of the employer-sponsored defined contribution modelinclude politicians on both sides of the aisle and a number ofthink tanks. ICI’s research is meant to challenge the widelyheld presumption that Americans are less prepared for retirementsince the decline of defined benefit plans in favor of definedcontribution plans.
Continue Reading for Free
Register and gain access to:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Nick Thornton
Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.
