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Fifty-seven percent bought their first fund through defined contribution retirement programs, like 401(k) plans.
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The real issue is whether we want the federal government to follow many companies and change from a defined benefit to a defined contribution retirement plan.
primarily in the defined contribution retirement plan marketplaces.
The Retirement Plan Services segment provides employers with retirement plan products and services, primarily in the defined contribution retirement plan marketplaces.
By contrast, under another type of defined contribution retirement plan, Roth 401 k)s, contributions are not deductible when the contributions are made but qualifying withdrawals are tax-free.
A qualified retirement account, including an account in a defined benefit pension plan or a defined contribution retirement plan, an individual retirement account ("IRA"), or an annuity, should designate individuals as primary and contingent beneficiaries.
To further quantify this matter, Financial Engines published a study in May 2014 with Aon Hewitt that looked at outcomes for defined contribution retirement plan participants between 2006 and 2012.
To listen to some advocates of "defined contribution" retirement plans, like 401 k)'s, just about anyone could have done it.
Second, consumer-driven health care, like defined contribution retirement savings, will be implemented primarily under the employers' umbrella.
Expand catch-up contributions Right now, workers age 50 and over can make additional "catch-up" contributions of up to $5,500 to their defined contribution retirement plans like 401 k)'s.
This "defined contribution" retirement exacts no punishment on job switchers.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com