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Maximize Your 401(k): A Survey for Employers

We asked Betterment for Business plan participants what they thought about employers offering a 401(k). Find out if it's still earning its place in the HR recruitment arsenal.

Articles by Betterment Editors

By the Editorial Staff
Betterment Resource Center  |  Published: January 13, 2020

In the 40 years since their creation, 401(k) plans have become a go-to way for employers to demonstrate their commitment to their employees’ financial wellness both during and after their working lives. But in a competition to see who can offer the trendiest benefits, is this tried-and-true offering still as valuable to employees as plan sponsors hope it is?

We asked 845 Betterment for Business plan participants what they thought—and learned that the 401(k) is still earning its place in the human resources recruitment arsenal.

401(k)s are a valuable benefit for job seekers…

  • 67% said that a good 401(k) was very important or important in their evaluation of a job offer
  • 46% said offering a match played a role in the decision whether to take a job

…and once they’re enrolled, plan participants care very much about their plan and their retirement outcomes

  • 75% signed up for a 401(k) because they are concerned about and focused on their retirement readiness
  • 64% check their accounts at least once a pay period
  • 85% strongly agree or agree that it’s important that their plans have transparent and low-cost fees

The full report details these themes and other takeaways for employers. Download and read The Staying Power of 401(k)s for the full story.

About Betterment

401(k) plan administration services provided by Betterment for Business LLC. Investment advice to plans and plan participants provided by Betterment LLC, an SEC registered investment adviser. Brokerage services provided to clients of Betterment LLC by Betterment Securities, an SEC registered broker-dealer and member FINRA/SIPC. Betterment LLC and Betterment Securities are affiliates of Betterment for Business LLC.

Betterment for Business is an award-winning turnkey 401(k) service that includes plan administration for employers, and personalized, unconflicted investment advice for all plan participants. Powered by Betterment’s smart investment technology, Betterment for Business is one of the most efficient and cost-effective providers in the space, and offers a globally diversified portfolio of ETFs, tax-efficient portfolio management, smart rebalancing, automated investing, fee analysis on synced external accounts, and our retirement planning advice tool. Learn more at Business.Betterment.com.

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