401(k) Plans
When retirement plans are offered employees take advantage of them. 81.9% of eligible employees held balances in their 401(k) plans, according to the Profit Sharing/401(k) Council of America.*
There may be a number of reasons why small employers choose not to offer a retirement plan for their employees. According to the 2003 Small Employer Retirement Survey conducted by Employee Benefits Research Institute, 3% of respondents say employees prefer wages to retirement plans and 12% says employees aren't interested. And another 27% say the uncertainty of their business prevents them from offering retirement benefits.
The most powerful motivators for new plan sponsors are business reasons--more than half of those surveyed believe that the plan has a positive impact on their ability to attract and retain quality employees as well as on the attitude and performance of their employees.
A Northwestern Mutual Financial Network Representative can work with you to design a retirement plan that will help provide your employees with a significant advantage when saving for retirement.
Benefit plans may include:
- Flexible matching contribution amounts
- Variety of vesting options
- Numerous investment vehicle choices
- Multiple plan administrator choices
- Loan provisions
- Balance transfers
*Source: PSCA's 51st Annual Survey of Profit Sharing and 401(k) Plans which reports on the 2007 plan year experience of 1,011 profit sharing and 401(k) plans.
