Company Retirement Plans - Help Your Employees Plan For and Make the Transition

We often think of retirement as "the goldenannouncements, the company intranet, and
years." It can be--for those who have plannedannouncements at staff meetings. Any
well for the social, emotional, physical, and financialimprovements in the plan should be officially
changes that take place. Those who fail to planannounced in a written document distributed to all
may find that the gold is brass.employees.
As the first wave of baby boomers approachPre-retirement seminars
their mid-60s, retirement has become anWhile it's important for all employees to be aware
increasingly important issue. Unlike their parents,of the retirement benefits you offer, it's even
this new breed of senior citizen can expect atmore important for older employees to
least 15 to 20 years or more of relatively healthyunderstand exactly what that means for them.
retirement or even another career. With the costConsider offering pre-retirement seminars to help
of pensions and health care, companies areemployees prepare well in advance, as much as
restructuring their retirement plans to programs15 or 20 years. Get them to think about where
that put more responsibility on the worker andthey're going to live, sources of income, what to
less on the corporation. This is why you shoulddo with their time, the possibility of starting a new
keep your employees informed about theircareer, and so on.
retirement benefits and help those nearingEase the transition
retirement age prepare for the transition.In addition to helping employees prepare for
Start earlyretirement, help them make the transition itself.
Mention retirement benefits to all new hires,Consider offering the option of scaling back work
regardless of age. One way to get youngerschedules as staffers near retirement.
employees to start planning for retirement is toAlmost-retirees may work 30 hours a week for
tie the planning into their current priorities. Forseveral months, then drop to 20 for a while
instance, if your company offers a 401(k)before actually leaving the company.
program, promote it as a way to save for laterYou might also ask retirees to return to work as
years while also reducing current tax liability.temporaries or to cover during peak periods. This
Keep the communication channels openis entirely up to the individual, of course, but it
If you contribute to a 401(k) or other retirementgives them an opportunity for productive work
program, remind employees regularly that you areand lets the company benefit for their years of
setting money aside for their future. If employeesaccrued knowledge and experience.
don't remember that their retirement benefits areRetirement benefits are valuable, and simply
valuable, the benefits themselves won't fulfill onereminding employees of them can ensure that
of their main purposes, which is rewardingthey're perceived as valuable. Pre-retirement
employees for staying with the organization. Useplanning shows that your organization really cares
a variety of communication channels, including theabout its employees, and workers of any age
company newsletter, special mailings, e-mailappreciate that.