One study finds few participants are likely to annuitize their retirement savings, while another suggests those who take a withdrawal deplete their funds in an average of five years.
A couple of years ago, Congress passed a law called the“ Setting Every Community Up for Retirement Enhancement” Act. It is an awkward name, selected with some malice aforethought, to fit the acronym the bill sponsors really wanted the SECURE Act. It passed both houses of Congress with nary a dissenting vote and was signed into law on Dec. 20, 2019.
The number of U.S. workers who are open to putting money into investments that guarantee a portion of retirement income fell in 2021 from the previous year, a new survey shows. But experts say that doesn’t tell the whole story.
Financial services companies and retirement plan industry advocacy groups are rallying behind the legislation, which would allow plan sponsors to utilize default investments that include an annuity component.