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Yahoo
3 days ago
- Health
- Yahoo
Healthcare, retirement and leave benefits top employer priorities for 2025, SHRM says
This story was originally published on HR Dive. To receive daily news and insights, subscribe to our free daily HR Dive newsletter. Employee health coverage remains a top priority for employers this year, with 88% of the nearly 4,000 HR professionals who responded to SHRM's benefits survey rating health benefits extremely or very important to their organization. The survey, released June 30, captured responses from U.S.-based SHRM members representing organizations with two to more than 50,000 employees in a wide variety of industries and sectors across the U.S., SHRM said. Almost all reported that their organization provides general health plan coverage (97%), dental insurance (99%) and vision insurance (96%). Retirement savings and planning benefits (81%) tied with leave benefits (81%) for the fourth consecutive year as the second most important benefits priority for employers, the survey found. In 2025, HR professionals find themselves dealing with complex, contradictory challenges, and this is no less so when it comes to prioritizing employee benefits, which must both attract and retain talent and keep costs in check, recent studies show. One notable example is the emergence of GLP-1 drug coverage for type 2 diabetes and weight management. SHRM asked about it for the first time this year. The drug is popular with employees, and 23% of organizations provide coverage for it, the SHRM survey found. But it's expensive — about $700 to $800 per month — and a major contributor to pharmacy costs, the primary reason healthcare expenses are rising, according to a 2024 report by the Business Group on Health. Rising healthcare costs are the top issue influencing benefit strategies, 90% of almost 700 U.S. employers told WTW in a recent survey. Almost three-quarters (73%) of employers plan to address high costs by enhancing value or switching to better-value vendors for health, retirement and risk benefits, the survey results, released in June, showed. More than 4 in 10 (44%) employers plan to tackle high-cost medical conditions, and 37% said they plan to adopt a network of preferred medical providers. As for retirement savings and planning benefits, 93% of the HR professionals who responded to the SHRM survey said their organization offers a traditional 401(k) or similar defined contribution plan. Of those, 85% offer a 401(k) employer match, with an average match of 6.3%, the survey found. Retirement benefits are critical to a majority of workers across generations, who believe they could work until retirement and still not have enough money saved to meet their needs, according to a June report from the Transamerica Center for Retirement Studies and Transamerica Institute. Access to meaningful employment with retirement benefits throughout their working years is the single most important ingredient for workers to achieve a financially secure retirement, the CEO of Transamerica Institute stated. Discouragingly for employees with student loan debt, only 4% of SHRM survey respondents said their employer matches 401(k) or 403(b) contributions based on an employee's student loan repayment, a benefit made possible by the SECURE Act 2.0, SHRM found. Also, despite the risk of losing talent without paid caregiver leave, especially for employees in the 'sandwich generation,' according to a June report from Prudential, paid leave for care for immediate family members and extended families took a step back in 2025, dropping to 31% and 17% respectively, the SHRM survey showed. Recommended Reading 7 stories on the importance of vacation
Yahoo
24-06-2025
- Business
- Yahoo
Majority of workers say they'll reach retirement without enough savings
This story was originally published on HR Dive. To receive daily news and insights, subscribe to our free daily HR Dive newsletter. A majority of workers across generations — 68% — said they believe they could work until retirement and still not have enough money saved to meet their needs, according to a June 18 report from the Transamerica Center for Retirement Studies and Transamerica Institute. In a survey of more than 5,000 U.S. workers, 80% said their generation will have a harder time achieving financial security than their parent's generation. 'The single most important ingredient for workers to achieve a financially secure retirement is access to meaningful employment with retirement benefits throughout their working years,' said Catherine Collison, CEO and president of the Transamerica Institute and TCRS. 'Amid workforce transformations and the evolving retirement landscape, resilience is imperative. Workers must have the know-how and resources needed to navigate an uncertain future.' Across generations, workers feel burned out from working more than one job, having a side hustle or serving as a caregiver for a relative or friend. Most workers reported concerns about making ends meet and saving for the future. Most generations shared the same top financial priorities, such as paying off debt, saving for a major life event, covering basic living expenses, building an emergency savings fund, saving for retirement, supporting parents and supporting children. For instance, only 18% of Gen X workers said they feel 'very confident' they'll be able to fully retire with a comfortable lifestyle, and only 23% said they 'strongly agree' that they're building a large enough retirement fund. Many plan to work beyond the traditional retirement age to bridge savings gaps, with 39% expecting to either not retire or to retire at age 70 or older and 56% planning to work during retirement. Similarly, 57% of baby boomers expect to retire at age 70 or older or don't plan to retire. They said they're most worried about declining health that requires long-term care, outliving their savings and that Social Security will be lower or not exist in the future. Half of women retirees said retirement has been more expensive than they expected, according to a Morning Consult and Corebridge Financial survey. Although half said their financial health is good, nearly two-thirds said they wish they would have started saving sooner. As more employees decide to retire later, they're also focusing on the transition to 'pre-retirement,' or a transition period between full-time work and full retirement, according to a Human Interest report. The pandemic changed workers' approach to savings, retirement age and pre-retirement. In addition, workers say wage stagnation and higher costs have hindered life milestones, according to a Zety report. Half said they don't feel able to start a family or grow them, 40% said they aren't able to save for retirement, and 37% said they can't afford to buy a home. Recommended Reading Job satisfaction reaches record high — but not for younger workers, survey finds Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
22-05-2025
- Business
- Yahoo
4 Things Your Neighbor Who Retired Early Won't Tell You About Their Financial Plan
Retiring early may seem like a dream come true. And for some, it is — but often not for the reasons you might think. While more than half (58%) of workers retire earlier than planned, it's frequently due to unforeseen life events, according to research from Transamerica Center for Retirement Studies and Transamerica Institute. For You: Check Out: If you're looking to retire early and want to do it on your own terms, now is the time to take a closer look at your finances and long-term plans. GOBankingRates spoke with some financial experts to uncover the things your neighbor who retired early probably won't tell you about their financial strategy. Dr. Annie Cole, a financial coach and founder of Money Essentials for Women, is a professional on track to retire in her 40s. One of her top tips is to make it a habit to invest early and often, no matter how much you earn. 'Even when I was making $26,000 a year and struggled to pay my rent and buy groceries, I still set aside $20 every month in my retirement account,' Cole said. 'Investing is more about habit than the amount. If you can't get yourself into the habit, you'll have a hard time ever reaching your retirement goals.' Explore More: Cole also emphasized the importance of increasing your income — including passive income sources. 'I switched jobs every few years, advocated for raises and title changes and created multiple side hustles and businesses of my own to turn my unique skill set into income streams,' she said. 'Think about one of your unique skills or strengths that you can turn into a consulting service, freelance offering, online course or ebook.' In other words, early retirees aren't just good savers. They're also active earners who diversify where their money comes from. Many early retirees are quick to highlight their income streams, like rental properties or dividend-paying investments. But what often goes unspoken is how carefully they've planned for risk. Filip Telibasa, certified financial planner (CFP) and owner of Benzina Wealth, said that behind the scenes, early retirees tend to be very intentional about protecting their financial stability. That includes building in safeguards like insurance coverage, long-term healthcare planning well before Medicare eligibility age, and a solid estate plan. 'These aren't flashy topics,' Telibasa said, 'but they're critical for staying retired once you get there.' Without those protections, even the best-laid early retirement plan can quickly fall apart. One of the biggest challenges of retiring early is handling unexpected expenses and financial setbacks without a steady paycheck. That's why it's crucial to build flexibility into your budget. Kevin Estes, certified financial planner (CFP) and founder of Scaled Finance, advises retirees to simplify their lifestyle, paying only for what truly matters to them and cutting expenses where they can. That might mean moving to a smaller home, doing your own yard work, and cooking at home instead of dining out. These everyday trade-offs aren't just about saving money — they're about creating a financial cushion for when those surprise expenses inevitably come up. Whether it's a medical bill, a family emergency or a home repair, having a little room in the budget can make the difference between a minor setback and a major disruption. As Telibasa put it, 'The people who pulled it off early made a thousand little smart, often invisible, decisions. It's less about hitting the lottery and more about consistency, automation, and a clear sense of what matters most to them — both now and in the future.' More From GOBankingRates 4 Things You Should Do When Your Salary Hits $100K If a Financial Advisor Doesn't Ask These 5 Questions in Your Consult, Keep Shopping 5 Steps to Take if You Want To Create Generational Wealth Robert Kiyosaki: 5 Money Habits of People Who Retire Early Sources: Transamerica Center for Retirement Studies, 'Retiree Life in the Post-Pandemic Economy' Dr. Annie Cole, Money Essentials for Women Filip Telibasa, Benzina Wealth Kevin Estes, Scaled Finance This article originally appeared on 4 Things Your Neighbor Who Retired Early Won't Tell You About Their Financial Plan Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
22-05-2025
- Business
- Yahoo
4 Things Your Neighbor Who Retired Early Won't Tell You About Their Financial Plan
Retiring early may seem like a dream come true. And for some, it is — but often not for the reasons you might think. While more than half (58%) of workers retire earlier than planned, it's frequently due to unforeseen life events, according to research from Transamerica Center for Retirement Studies and Transamerica Institute. For You: Check Out: If you're looking to retire early and want to do it on your own terms, now is the time to take a closer look at your finances and long-term plans. GOBankingRates spoke with some financial experts to uncover the things your neighbor who retired early probably won't tell you about their financial strategy. Dr. Annie Cole, a financial coach and founder of Money Essentials for Women, is a professional on track to retire in her 40s. One of her top tips is to make it a habit to invest early and often, no matter how much you earn. 'Even when I was making $26,000 a year and struggled to pay my rent and buy groceries, I still set aside $20 every month in my retirement account,' Cole said. 'Investing is more about habit than the amount. If you can't get yourself into the habit, you'll have a hard time ever reaching your retirement goals.' Explore More: Cole also emphasized the importance of increasing your income — including passive income sources. 'I switched jobs every few years, advocated for raises and title changes and created multiple side hustles and businesses of my own to turn my unique skill set into income streams,' she said. 'Think about one of your unique skills or strengths that you can turn into a consulting service, freelance offering, online course or ebook.' In other words, early retirees aren't just good savers. They're also active earners who diversify where their money comes from. Many early retirees are quick to highlight their income streams, like rental properties or dividend-paying investments. But what often goes unspoken is how carefully they've planned for risk. Filip Telibasa, certified financial planner (CFP) and owner of Benzina Wealth, said that behind the scenes, early retirees tend to be very intentional about protecting their financial stability. That includes building in safeguards like insurance coverage, long-term healthcare planning well before Medicare eligibility age, and a solid estate plan. 'These aren't flashy topics,' Telibasa said, 'but they're critical for staying retired once you get there.' Without those protections, even the best-laid early retirement plan can quickly fall apart. One of the biggest challenges of retiring early is handling unexpected expenses and financial setbacks without a steady paycheck. That's why it's crucial to build flexibility into your budget. Kevin Estes, certified financial planner (CFP) and founder of Scaled Finance, advises retirees to simplify their lifestyle, paying only for what truly matters to them and cutting expenses where they can. That might mean moving to a smaller home, doing your own yard work, and cooking at home instead of dining out. These everyday trade-offs aren't just about saving money — they're about creating a financial cushion for when those surprise expenses inevitably come up. Whether it's a medical bill, a family emergency or a home repair, having a little room in the budget can make the difference between a minor setback and a major disruption. As Telibasa put it, 'The people who pulled it off early made a thousand little smart, often invisible, decisions. It's less about hitting the lottery and more about consistency, automation, and a clear sense of what matters most to them — both now and in the future.' More From GOBankingRates 4 Things You Should Do When Your Salary Hits $100K If a Financial Advisor Doesn't Ask These 5 Questions in Your Consult, Keep Shopping 5 Steps to Take if You Want To Create Generational Wealth Robert Kiyosaki: 5 Money Habits of People Who Retire Early Sources: Transamerica Center for Retirement Studies, 'Retiree Life in the Post-Pandemic Economy' Dr. Annie Cole, Money Essentials for Women Filip Telibasa, Benzina Wealth Kevin Estes, Scaled Finance This article originally appeared on 4 Things Your Neighbor Who Retired Early Won't Tell You About Their Financial Plan Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
22-05-2025
- Business
- Yahoo
4 Things Your Neighbor Who Retired Early Won't Tell You About Their Financial Plan
Retiring early may seem like a dream come true. And for some, it is — but often not for the reasons you might think. While more than half (58%) of workers retire earlier than planned, it's frequently due to unforeseen life events, according to research from Transamerica Center for Retirement Studies and Transamerica Institute. For You: Check Out: If you're looking to retire early and want to do it on your own terms, now is the time to take a closer look at your finances and long-term plans. GOBankingRates spoke with some financial experts to uncover the things your neighbor who retired early probably won't tell you about their financial strategy. Dr. Annie Cole, a financial coach and founder of Money Essentials for Women, is a professional on track to retire in her 40s. One of her top tips is to make it a habit to invest early and often, no matter how much you earn. 'Even when I was making $26,000 a year and struggled to pay my rent and buy groceries, I still set aside $20 every month in my retirement account,' Cole said. 'Investing is more about habit than the amount. If you can't get yourself into the habit, you'll have a hard time ever reaching your retirement goals.' Explore More: Cole also emphasized the importance of increasing your income — including passive income sources. 'I switched jobs every few years, advocated for raises and title changes and created multiple side hustles and businesses of my own to turn my unique skill set into income streams,' she said. 'Think about one of your unique skills or strengths that you can turn into a consulting service, freelance offering, online course or ebook.' In other words, early retirees aren't just good savers. They're also active earners who diversify where their money comes from. Many early retirees are quick to highlight their income streams, like rental properties or dividend-paying investments. But what often goes unspoken is how carefully they've planned for risk. Filip Telibasa, certified financial planner (CFP) and owner of Benzina Wealth, said that behind the scenes, early retirees tend to be very intentional about protecting their financial stability. That includes building in safeguards like insurance coverage, long-term healthcare planning well before Medicare eligibility age, and a solid estate plan. 'These aren't flashy topics,' Telibasa said, 'but they're critical for staying retired once you get there.' Without those protections, even the best-laid early retirement plan can quickly fall apart. One of the biggest challenges of retiring early is handling unexpected expenses and financial setbacks without a steady paycheck. That's why it's crucial to build flexibility into your budget. Kevin Estes, certified financial planner (CFP) and founder of Scaled Finance, advises retirees to simplify their lifestyle, paying only for what truly matters to them and cutting expenses where they can. That might mean moving to a smaller home, doing your own yard work, and cooking at home instead of dining out. These everyday trade-offs aren't just about saving money — they're about creating a financial cushion for when those surprise expenses inevitably come up. Whether it's a medical bill, a family emergency or a home repair, having a little room in the budget can make the difference between a minor setback and a major disruption. As Telibasa put it, 'The people who pulled it off early made a thousand little smart, often invisible, decisions. It's less about hitting the lottery and more about consistency, automation, and a clear sense of what matters most to them — both now and in the future.' More From GOBankingRates 4 Things You Should Do When Your Salary Hits $100K If a Financial Advisor Doesn't Ask These 5 Questions in Your Consult, Keep Shopping 5 Steps to Take if You Want To Create Generational Wealth Robert Kiyosaki: 5 Money Habits of People Who Retire Early Sources: Transamerica Center for Retirement Studies, 'Retiree Life in the Post-Pandemic Economy' Dr. Annie Cole, Money Essentials for Women Filip Telibasa, Benzina Wealth Kevin Estes, Scaled Finance This article originally appeared on 4 Things Your Neighbor Who Retired Early Won't Tell You About Their Financial Plan Sign in to access your portfolio
