Helping businesses choose the right retirement plan, with the right features, run the right way, is our priority every day at ACSI. When recommending the “right features”, we encourage employers to consider avoiding “in-service” withdrawal features (i.e., the ability of an employee to take a distribution from the retirement plan while working). Last year, the Government Accountability Office (GAO) reported that, in 2013, more than $29 billion of retirement savings was removed from employer-sponsored plans by Americans between 25 and 55 years old. This number indicates how counterproductive it may be to allow “leakage” of retirement savings because of pre-retirement withdrawals. ACSI is available to help employers consider the pros-and-cons of adding or removing in-service withdrawal features from a retirement plan.
