Hello, I’m Mike Romig. Thanks for tuning into our blog. Today I’ll be talking about a problem you may not know you have, one that will impact your P&L in a negative way, and what we can do that may help you.
We know over 75% of workers in America today don’t believe they will have enough money to retire1. We know employees who don’t retire timely cost more due to higher compensation and higher benefits costs2.
What is that cost, you might ask? Well it’s estimated that a one-year increase in average retirement age will cost an incremental $50,000+ for each individual whose retirement is delayed3. An employee delaying retirement 5 years could result in a $250,000 hit to your company’s bottom line.
And yet we find employers are mostly unaware of the exposure of a workforce that’s not ready to retire. Mostly because until now it’s been difficult to measure this liability for employers.
Now we can quantify the effect of unprepared employees on your company’s bottom line. We use your actual data – your actual situation – not generalized estimates. The information we generate can help you in ways not even thought of.
We can design a plan with a focus on helping your employees retire in a timely manner – many times simply by re-directing money you are already spending.
If you would like to learn what your company’s financial exposure might be due to employees not retiring, fill out the form below, send us an email at [email protected], or call us. We are glad to help. Thanks!
This information was developed as a general guide to educate plan sponsors, but is not intended as authoritative guidance or tax or legal advice. Each plan has unique requirements, and you should consult your attorney or tax advisor for guidance on your specific situation. In no way does advisor assure that, by using the information provided, plan sponsor will be in compliance with ERISA regulations.
Securities offered through LPL Financial. Member FINRA / SIPC. Investment advice offered through Level Four Advisory Services, LLC, a registered investment advisor. Level Four Advisory Services, LLC and Transform401(k) are separate entities from LPL Financial.
For Plan Sponsor Use Only – Not for Use with Participants or the General Public.
1Benefitnews.com, May 4, 2016
2Foxbusiness.com, March 4, 2016
3Recent study by Prudential