Tag: 401k default
United Technologies has made lifetime income the default option within its target date fund. United Technologies Corporation is the first major company to offer a secure lifetime income default option within their defined contribution plan. In 2010, UTC closed its cash balance defined benefit (DB) plan to new hires (after closing a traditional DB plan…
People are more likely to hoard their savings accounts in retirement. Employers, academics, and policymakers all recognize that drawdown is the major challenge facing the 401(k) system. Participants face the risk of spending their money too quickly and exhausting their assets or hoarding their balances and depriving themselves of necessities. My view is that reluctanc…
