Boost Your Retirement Security: Click MyRetirementPA.com
On Thursday, lawmakers unveiled a website called MyRetirementPA.com which is designed to help protect the retirement security of tens of thousands of Pennsylvanians.
“More must be done to protect and enhance retirement security for all Pennsylvanians. No one should fear retiring without access to financial resources that enable them to enjoy a quality retirement.”
The new retirement initiative is designed to help better prepare Pennsylvanians for retirement. An estimated two million working Pennsylvanians are not offered an employer-sponsored retirement plan. Another 750,000 plus workers can participate in a plan, but fail to engage.
Pennsylvanians who do not have sufficient retirement security cost taxpayers. The state treasurer estimated that taxpayers could pay up to $14 billion in state assistance costs between 2015 and 2030 to cover insufficient retirement security.
New legislation has been developed in both in the House and Senate to create a retirement security program. A new approach is needed. Consider:
- Workers in Pennsylvania businesses with less than 100 employees are less likely to have a retirement plan. An estimated 1.1 million small business employees do not have a pension plan;
- 66 percent of workers without a high school degree do not have an employer retirement plan;
- Lack of retirement security is prevalent across all earning levels. Over 1.2 million Pennsylvanians who earn $40,000 or more do not have an employer-sponsored retirement plan;
- Worker access to a retirement plan varies by race. More than half of Hispanic workers (56 percent) and slightly more than half (52 percent) of African Americans do not have employer-based retirement plans.
|Pennsylvania: Who is NOT Covered by a Workplace Retirement Plan?
(percentage and number of private wage and salary workers ages 18–64 whose employer does not offer a retirement plan)
|Race & Ethnicity*||Hispanic
|Education||Less than high school
Bachelor’s or higher
|Employer Size||Under 10
|Earnings Quintile||$14,000 or less
$14,001 to $25,000
$25,001 to $40,000
$40,001 to $63,500
|Source: U.S. Census Bureau’s Current Population Survey, March Supplements 2012–2014. Note: The results are based on three-year averages from 2011–2013. The sample includes workers whose longest-held job was in the private sector. Earnings quintiles are based on all wages and salary earned by U.S. workers, whether or not they were covered by a retirement plan. * Other non-Hispanic category is not shown, so sum of race & ethinicity categories may not sum to total|