Retirement Trends

Harkins plan, designed to eliminate a $6.6 trillion gap in savings compared to what is needed to live on in retirement, would combine elements of traditional pension plans with the portability and ease for employers that are part of 401(k) systems.

A rising discount rate, which reduces the current value of a future obligation, and the companys $5 billion contribution to its funded plans last year reduced its pension shortfall by more than half from $18.7 billion at the end of 2012.

The American Academy of Actuaries group called on the president, as well as Congress, to vow to ensure the long-term viability of Social Security and Medicare, something that has long been talked about with little to show for all the rhetoric.

Giving plan sponsors an additional 45 days, it says, allows them and service providers the additional time and flexibility they need to furnish required materials without accelerating the deadline for subsequent years.

Shifting rules on fee transparency and the push for the Labor Department to develop a fiduciary standard give RIAs an opportunity in the retirement plan market.

In December, the cost of purchasing annuities from an insurer increased from 108.4 percent to 108.5 percent of the balance sheet liability. The cost of maintaining the pension rose from 108.2 percent to 108.6 percent.