The impact of auto-portability was particularly impressive among the lowest income quartile. (Photo: Shutterstock)
The Employee Benefits Research Institute (EBRI) has added yet another study to a growing body of research supporting the substantial retirement savings public policy benefits of auto-portability.
EBRI Issue Brief no. 473, by research director Jack VanDerhei, Ph.D., compared the outcomes of participants in 401(k) defined contribution plans with auto-enrollment against defined benefit (DB) plans.
While the primary objective of EBRI's research was to address a growing public policy concern over the relative decline of DB plans, this study also evaluated the significant, positive impact that auto-portability could have upon the retirement security of Americans who participate in 401(k) plans.
Comparing DB vs. DC plans with auto-enrollment
In the latest analysis, EBRI specifically examined the amount of retirement income that could be produced by auto-enrollment 401(k) plans and then determined the final-average DB accrual rate required to generate an equivalent retirement income.
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.
