Did Your Organization Really Mean to Create 401 (k) Millionaires?

Abstract

(Opinion) Strategic business goals are changing rapidly, and employers probably need to revisit their retirement plans especially their 401(k) plans to see if these plans are still meeting the company's needs. Why single out 401 (k)s? The rising stock market has ballooned the value of 401(k) accounts in particular, leaving some employees sitting on very large retirement nest eggs. As a result, some companies may be losing talented employees who are at the peak of their careers much sooner than expected. That's surely not what employers intended when they set up their 401 (k) plans, the author contends. So, it may be time for employers to take a hard look at whether they are overfunding these plans during periods of high stock market returns. 401K Bonanzas Won't Promote a lash ot Early Retirements.