Concerns among employees about their retirement security is an opportunity for advisors to be more competitive, asserts a white paper from ADP that also offers some simple solutions. In addition, ADP has created an infographic that highlights some key data on this issue.
Employees’ confidence about their ability to retire comfortably is very low, according to research by EBRI, and older workers are expecting to have to work longer. And even though unemployment remains high, having a competitive retirement plan is a good way to attract good employees, especially younger ones who are not sure whether Social Security will be available when they retire.
Some companies may just want to “check the box” when it comes to their retirement plans, spending little time or money on them. That may not be the right fit for advisors who focus on trying to add value. But with corporate profits up and companies focused on gaining a competitive edge, it may be a good time for those advisors to show plan sponsors how they can leverage regulatory and product developments such as fee disclosure and auto-plans to dramatically improve retirement outcomes.
Younger workers are citing benefits, especially retirement plans, as one of their primary employment criteria. Savvy companies that take advantage of the tools a good advisor offers will benefit. Simple solutions, easy steps leveraging behavioral finance and a good advisor can yield dramatic results.
