This is Mary Walden with economist MW, welcoming you to the economic perspective. Today’s program looks at expanding options for retirement saving. Mike, the federal government recently approved some changes affecting how people save for retirement. What are the changes, and why are they important?
Mike: Summary Answer
- Important because estimates people aren’t saving enough for their retirement
- Maybe have a collective deficit of almost $4 trillion
- Changes affect 401k plans available through employers
- Will allow more companies to offer and more workers to qualify to participate
- One other big change – can now take out money through an annuity
- Annuity guarantees won’t outlive your money
- But some concerns about fees
- So if use, carefully examine options and fees
- I’m MW
Mary: And I’m Mary Walden for the Economic Perspective, an NC State Extension program from the Department of Agricultural and Resource Economics.