401(k) Stability Is Not An Accident

I hope others are as delighted as I am at the stability of the 401(k) system in these volatile economic times. Data from those who keep the records shows participation, savings rates, hardship withdrawals and loans have been only marginally affected. However, this stability does not just happen. Over 80,000 dedicated individuals across the country working for 401(k) service providers help plan participants through call centers, online or face-to-face advice and live or online education meetings. They assist participants in making transactions, getting account balances and help participants with loans and distributions. Thousands more HR and benefits professionals who work for sponsoring companies are helping as well, even though their non-401(k) obligations have greatly increased in the last few months.

401(k) is important to the financial welfare of millions of Americans. We need to recognize the important value it plays on helping people save for the retirement - and appreciate all those companies that sponsor plans for the benefit of their employees and all of those who work everyday helping individual Americans save successfully for their retirement. What’s happening is remarkable.

David