Retirement Security

This very broad term that refers to the level of comfort you have with the resources that are intended to support you through retirement and provide a standard of living similar to what you experienced before retirement. Retirement security used to involve Social Security, a pension from a company plan, 401K and any other savings. However, volatile stock markets, rising unemployment, health care inflation, rising longevity, disappearing traditional pension plans and questions related to Social Security have redefined the traditional sources of retirement security. The question now is can you afford to retire? If so, is the money going to last long enough--especially now that we’re living longer? If you haven’t worked this out yet, consulting a retirement planning professional may help you figure-out things such as what might be a reasonable level of spending, when to start receiving Social Security and how much you need to save.

Congress is Considering Annuities to Help Retirees Address Longevity Risk

Through the Senate Special Committee on Aging, U.S. lawmakers and regulators have been conducting hearings focused on retirement security issues. The hearings are a follow-up to a recent request for comment on the same topic from the U.S. Labor and Treasury Departments.

Federal Government Requests Advice on Use of Annuities in Retirement Plans

A handfull of federal agencies have posted a request in the Federal Register. The agencies are requesting information and advice on the use of annuities and other lifetime income products in employer sponsored retirement plans such as 401ks. Comments are due May 3. The interest stems from the prevalence of defined contribution retirement plans such as 401ks and the fact that most participants in these retirement plans distribute their savings in the form of a lump sum rather than a stream of...
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Annuities in 401k Plans Under Consideration by Obama Administration

Members of Congress and officials from the Departments of Treasury and Labor are working on options that would provide sources of guaranteed lifetime income to participants in 401k and other pension plans. At a high level, it is clear that the Obama Administration wants to create structures and incentives for: Increasing retirement savings. Providing people with the ability to turn those accumulated savings into streams of income that last through retirement. A trial program that would involve...

In-Plan Annuities Show Promise Despite Obstacles

An " in-plan annuity " refers to an annuity option that exists within a 401k plan. The notion of an annuity-based retirement income option within a 401k plan is a relatively new concept. Advocates of in-plan annuities--which include key members of the Treasury Department and Congress--believe that partial annuitization is important for the retirement security of the millions of Americans whose access to stable sources of pension income is largely limited to Social Security . There are, however...
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