Enhancing Retirement Savings: Applying Behavioral Insights to Client Contributions
Help your clients understand how behavioral interventions can prompt smarter financial decisions among retirement plan participants.
Key Points
- Addressing Financial Stress: Help clients understand the challenges plan participants face with competing financial demands and the tendency to reduce or pause retirement contributions due to financial stress.
- Behavioral Finance Solutions: Explain how tools, like Ascensus' consequence simulator, uses behavioral finance principles to demonstrate to participants the long-term impact of lowering their contribution rates.
- Impact: Highlight the effectiveness of behavioral interventions in deflecting participants from decreasing their savings rate, demonstrating how these strategies can lead to better financial decisions and improved retirement readiness.