More and more companies are offering financial wellness programs to employees. That is the good news.
The bad news is that a recent study published by Bank of America Merrill Lynch found a huge gap in what companies are offering and what individual company 401(k) retirement plan participants really want.
The 2018 Bank of America Merrill Lynch Workplace Benefits Report surveyed 657 employees who participate in 401(k) plans and 667 employers who offer a 401(k) and a financial wellness program.
The survey results are clear. Company 401(k) retirement plan sponsors are very proud of the fact that they offer their employees the resources that help them manage financial needs like budgeting and handling monthly expenses.
Here is the disconnect. The survey results are show that employees place a high priority on information that will help them improve the investment decisions necessary to manage their company 401(k) retirement plan accounts.
Employees who took the survey stated they want personalized advice from an investment professional. And they want the ability to track their progress towards their long-term investment goals.
This comes as no surprise. Company employees just want to know the answer to the two most basic questions they face in managing their company 401(k) retirement plan accounts.
“What do I buy?”
“How much risk am I taking with my retirement money now?”
The answers to those two questions are personal. The answers to each question can only be found with the help of an independent, third-party, investment advisor.
There is no way on earth that you will ever get the answers to those question for a company financial wellness program. Did Merrill Lynch really need a study to figure that out?
Ric Lager
Lager & Company, Inc.
