31 Jan Implement emergency savings accounts to boost retirement plan participation rates, savings

Research from Commonwealth and BlackRock’s Emergency Savings Initiative finds that adding emergency savings to retirement savings via an in-plan, after-tax account helps individuals save for emergencies and encourages participation in retirement savings.     Offering “in-plan” emergency savings accounts can boost retirement plan participation rates. Not to mention retirement savings nor profits, productivity, and impact, retention, recruiting, and wellness. Emergency savings is having a moment at workplaces nationwide. According to the seventh annual Employee Benefit Research Institute (EBRI) Financial Wellbeing Employer Survey: “While $1,000 penalty-free withdrawals from retirement accounts — allowed through recently passed legislation — was the emergency savings benefit offered the least (21 percent), it...