Millions of college students across the US graduate each spring and enter the workforce. When today's retirees entered the workforce in the early 1980s, pension plans and Social Security benefits were two of the main sources of retirement income. Just a couple decades later, defined benefit (DB) plans were overtaken by defined contribution (DC) plans such as 401(k)s, and an aging population was slowly depleting the Social Security Trust Fund. This was a massive shift in a relatively short period of time, and it forever changed one of the most important and challenging aspects of personal finance. Workers are facing another pivotal moment in retirement saving, especially as higher interest rates change the investment landscape. What's increasingly clear is that employer-based plans will play a crucial role in helping people financially prepare for retirement. This episode of The Outthinking Investor brings together fresh perspectives on the future of DC and DB plans in a higher-rate environment, expanding investment options in retirement plans, retirement challenges arising from an aging workforce and growing debt, and more. Our guests are Barb Marder, CEO of the Employee Benefit Research Institute (EBRI); Brooke Masters, US financial editor of the Financial Times; and Josh Cohen, Head of Client Solutions for PGIM DC Solutions. For more retirement insights, listen to The Accidental Plan Sponsor , a podcast series from PGIM DC Solutions.
