US Archives - Page 84 of 200 - Pension Policy International

24FebFebruary 24, 2023

Fixed and Variable Longevity Annuities in Defined Contribution Plans: Optimal Retirement Portfolios Taking Social Security into Account

By Vanya Horneff, Raimond Maurer & Olivia S. Mitchell This paper investigates retirees’ optimal purchases of fixed and variable longevity income annuities using their defined contribution (DC) plan assets and given their expected Social Security benefits. As an alternative, we also evaluate using plan assets to boost Social Security benefits through delayed claiming. We determine that including deferred income annuities in DC accounts is welfare enhancing for all sex/education groups examined. We also show that providing access to well-designed variable...

February 24, 2023

Articles, Pension design2023, Payout, Retirement Planning, savings, US

24FebFebruary 24, 2023

U.S. Here’s how much 401(k) plans fell last year

Saving for retirement requires looking at the big picture, but it can be dispiriting when your 401(k) or other retirement plan takes a beating — a common plight for American workers last year, according to new data from Fidelity. The average balance in a 401(k) plan tumbled 20.5% in 2022, reducing employee nest eggs to $103,900 at the end of 2022, Fidelity said on Thursday. That compares with an average balance of $130,700 a year earlier, the financial services firm...

February 24, 2023

NewsInvestment, savings, US

23FebFebruary 23, 2023

Willis Towers Watson dives into U.S. market for pooled employer plans

After launching pooled employer plans in the U.K. and Europe, Willis Towers Watson is hitting the U.S. market with its own PEP offering. In a news release Thursday, the British-American multinational company announced that it had launched LifeSight PEP, a pooled employer plan for the U.S. market that it says "simplifies 401(k) plan sponsorship for employers and improves outcomes for their employees." The pooled employer plan will use Transamerica as its record keeper. The company will pursue employers with anywhere from a...

February 23, 2023

NewsOccupational Pensions, Pension Management, US

22FebFebruary 22, 2023

Higher Pension Costs, Earnings Hits Loom as Interest Rates Rise

Telecommunications giant AT&T Inc. cautioned investors this quarter about a rising corporate cost would ding its full-year earnings guidance. The culprit was pensions, and in particular, higher interest rates affecting its calculation to tally pension costs. The company said it expected adjusted earnings per share in the range of $2.35 to $2.45—a range that trailed analyst estimates—because of nearly 20 cents per share of “headwinds associated with non-cash pension costs,” Chief Financial Officer Paschal Desroches said on the company’s fourth...

February 22, 2023

NewsOccupational Pensions, Taxation, US

20FebFebruary 20, 2023

Social Security Benefits: The Good and Bad News for Retired Workers in 2023

Social Security is a major source of financial well-being in retirement. Nearly 49 million retired workers received benefits in January, and about half of people aged 65 and older get at least 50% of their family income from Social Security. Given its importance, retired workers should try to stay informed on the program, and there have been several big changes already this year. Inflation scorched the U.S. economy last year, driving up the cost of gasoline, groceries, and other necessities...

February 20, 2023

NewsSocial Security, US

15FebFebruary 15, 2023

US. SEC Proposes Rule Making It Harder For Crypto Firms To Work With Hedge, Pension Funds

The U.S. Securities and Exchange Commission (SEC) is set to propose rule changes that would make it harder for crypto firms to be designated as "qualified custodians," Bloomberg reported. The new rules would allow crypto firms to hold client assets for money managers. While the proposed changes have not yet been released, they could make it more difficult for institutional funds that have invested in cryptocurrency to comply with regulatory requirements for holding client assets. These funds may need to move their...

February 15, 2023

NewsCryptocurrencies, Investment, US

14FebFebruary 14, 2023

US. Are Pensions the Answer to the Public-Sector Worker Shortage?

It’s widely known that state and local governments are struggling to recruit and retain workers. In Maryland, there are about 6,000 job postings available. And in Wayne County, Michigan, another approximately 1,000 jobs are available. These mounting vacancies can threaten the continuity of vital public services in public safety, education and transportation. But as the number of layoff announcements in the private sector increase and a record number of Americans withdraw funds from their 401(k)s as a result of financial...

February 14, 2023

NewsAging, Labor Market, US

13FebFebruary 13, 2023

US. Attention to ESG grew in 2022 along with headwinds

It is tricky to say which was a more volatile issue in 2022 for public pension funds operating under ESG principles — the politics or the markets. They managed to navigate both, and this year many of them are even ratcheting up their sustainable investing agendas. Some, like the $61.4 billion Maryland State Retirement and Pension System, Baltimore, took a page from the largest U.S. funds that added ESG specialists for their investment divisions. Although Maryland CIO Andrew Palmer first formed...

February 13, 2023

NewsESG, Pension Management, US

09FebFebruary 9, 2023

The number of older Americans is growing, and many states are unprepared

States with a master plan can more readily make sure diverse programs and agencies coordinate to keep the needs of aging adults at the forefront. New York is the latest state to authorize creation of a Master Plan for Aging, starting the process of developing systems to help older adults lead independent, meaningful and dignified lives in their own homes and communities as long as possible. While several other states also have developed or are developing similar long-term proposals, which typically...

February 9, 2023

NewsAging, Public Policy, US

08FebFebruary 8, 2023

U.S. Anti-ESG bill could cut this State pension returns by $6.7 bln

Proposed legislation to limit the use of sustainable investment factors by fund managers of the U.S. state of Indiana could cut $6.7 billion from the investment returns of a public pension system there over a decade, a fiscal analysis shows. One such bill proposed in Indiana requires public pension system officials to act only in the fiduciary interests of participants and beneficiaries. According to a Feb. 4 "fiscal impact statement" prepared by the Indiana Legislative Services Agency, which advises lawmakers in...

February 8, 2023

NewsInvestment, Regulation, US

February 2023