Imagine going to work and not having a work sponsored retirement plan like a 401k or IRA. Unimaginable right? Employers are already doing away with pensions and Social Security doesn’t pay much. To not have anything may jeopardize an employee’s financial future.
It turns out about 50% of Americans work for small businesses, but only 31% of small businesses provide retirement plans according to the U.S. Small Business Administration (SBA).
The SBA’s definition refers to companies with fewer than 500 employees, while other sources use 100 or fewer. Regardless of how you define small business, it’s clear that millions of Americans are on the outside looking in when it comes to retirement planning.