About the only people who will have defined benefit plans in the future are those that work for government. And the rest of us will be taxed to pay for that benefit. Somehow the govt. let Borden screw me out of my vested retirement benefit when that co. converted to a cash account plan. Those 50 or over had the option of retaining their benefit - of course almost all of top management was over 50.
Jakeof OH12:47AM February 24, 2010
Al, I could not agree more. The biggest problem with 401(k) plans is lack of Education to employees. If people really treated it as their retirement savings they would not only participate, but put in between 10-15%.
I am in the process of writing a book on 401(k)s which also points this out, that more and better education is needed for employees. My website is www.helpmy401k.us.
Dean Voelkerof IN10:16AM February 06, 2010
There is no reason why even a lower-paid worker can provide for retirement. Send every person without savings a copy of Dave Ramsey's book.
Libertasof NJ3:49PM January 11, 2010
Forced out of DB by a "layoff" engineered by a woman witnessed by me to have injured a fellow worker, I was unable to get another job with this institution in time to return to DB. Had to, at 62 1/2, start DC. Recourse?
anonof CA1:29PM January 11, 2010
The problem with most 401k plans is that they don't educate the employees. Once in a while they give a seminar to the employees on the benefits of the 401k. For most people it is a dry subject and they will not learn more about it on their own. Companies should be mandated to have at least 2 seminars on investing in the 401k per year. They do and pay for this type of thing for excutives why not the rank and file workers. The subject of Personal Finance interests me so I have been studying it for 24 years and I have read over 110 books on the subject. Since I have done all this studying on my own I am prepared for retirement. I am so glad I had an interest and starting educating myself 24 years ago. It was the smartest thing I ever did. As a last parting shot, I feel Personal Finance should be a manditory course in high school.
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Jake of OH 12:47AM February 24, 2010
Dean Voelker of IN 10:16AM February 06, 2010
Libertas of NJ 3:49PM January 11, 2010
anon of CA 1:29PM January 11, 2010
Al Horila of CT 2:38PM January 10, 2010