Retirement Readiness During Times of Instability

Download PDF Insights from Aon's The Real Deal ResearchRetirement readiness may be far from the minds of many people as the world copes with the challenges associated with COVID-19. The good news is the work that plan sponsors have put into both making their plans run as efficiently and effectively as possible and providing financial education to employees can pay off in this time of instability. Best practices, such as appropriate risk allocation, automatic rebalancing, and automatic savings features, can help keep retirement plans on track without additional input from employees. But even with these practices in place, retirement accounts - and therefore, retirement readiness - may be diminished. By understanding the impact of today's reality, employers can be better prepared to help their employees now and in the future.Plan participants will bear the brunt of market losses primarily in their defined contribution plans. Employees who have a defined benefit plan, whether frozen or on...