More than half of American employers offer employees access to a 401(k)s or other defined contribution plan, collectively spending more than $118 billion in match contributions a year. However, data from the Federal Reserve and the IRS analyzed by HelloWallet indicate that many plan participants are unable or unwilling to use their DC plans strictly for retirement savings — more than a quarter of households have withdrawn funds from their DC accounts for non-retirement spending, totally more than $70 billion in annual withdrawals.
All Employee Benefit News articles are archived after 7 days. REGISTER NOW for unlimited access to all recently archived articles, as well as thousands of searchable stories. Registered Members also gain access to exclusive industry white paper downloads, web seminars, podcasts, e-books, blog discussions, the iPad App, and conference discounts. Qualified members may also choose to receive our free monthly magazine for benefits professionals and any of our e-newsletters covering the latest breaking news, opinions from industry leaders, developing trends and product updates.