Can We Motivate Savings By Understanding Lifetime Income?

“The theory that individuals might save more if they understood how their savings turn into income is about to be tested when a new DOL final interim rule comes into effect. The DOL is requiring ERISA defined contribution (EDC) plans to show through illustrations how individual retirement portfolios translate into monthly income at retirement. Each participant in an EDC plan would receive a statement taken from DOL.” Continue reading to see example statement.

Source: Forbes, Inc.
4-minute read.