Savers want helpful hand, but not hand-holding

APR 17, 2011
A majority of Americans want their bosses to supervise, but not baby-sit, their retirement savings accounts, according to the results of a new survey. But what they said they really need is more resources to plan for and reach their savings goals. Fewer than half of the 2,630 retirement investors surveyed online between May and August last year by The Boston Consulting Group for ING said that they felt “in control” of their retirement investment plans. The study also found that about 90% of respondents want help allocating investments, and 86% want guidance in calculating their retirement needs. Three-quarters of respondents said they think that navigable tools and services are important when organizing the allocation of retirement savings, and a similar majority of respondents said that they also want their employers to provide an annual “financial checkup” to set and measure personal progress. “Most Americans are busy with their jobs, their families and their personal pursuits and say that they don't have the time or interest to become experts in retirement planning,” said Lynne Ford, chief executive of ING Individual Retirement. They want a set of tools and services that will help them lay out clear short- and long-term goals, and which lead to customized steps that will get them to the needed retirement savings, she said. “As a whole, consumers highly value choice, yet too much can be overwhelming,” Ms. Ford said. And when giving advice, she recommends shying away from using financial jargon, which may discourage savers from taking charge of their accounts. “The emphasis is on learning and motivating people to talk to someone so that they will take action,” Ms. Ford said.

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