iWork: The Next-Gen Workforce
December 22, 2017

Millennials. You may have noticed them around the office. You might think of them as the lazy, flighty, entitled generation born between the early 80’s and 00’s that say “totes” when they agree with you. Like any group of misplaced stereotypes, not all is as it appears when it comes to the younger contingent and, since they are taking over as the largest sector of the workforce, you may want to take a second look at them as adults, assets, and major contributors to your company’s retirement plan.

Yes, they’re here in numbers, and more than 70% of them are saving for their retirement. Contrary to some common stereotypes, millennials understand personal responsibility and are engaged in making smart decisions for their investing future. The chances are that you employ some millennials already and, as the numbers indicate, are going to be employing a lot more of them in the future.

Retirement investing is an important lure for a generation that witnessed the financial collapse of 2008. Not unlike those following the Great Depression, millennials may have grown up hearing horror stories from their parents who lost a great deal. They have also been told not to rely on social security. So, in order to attract millennials to your workforce, you may want to consider their expectations when it comes to retirement. Let’s cover a few key points.


As is often the case in this digital age, you should assess your technology. In a world equipped with computers, smartphones, and tablets, a digital platform provides flexibility and convenient access to plan information immediately and continuously. These digital babies want an on-demand way to monitor and manage their investments. Technology isn’t going backwards, so a hard look at how you deliver communications and education to your benefits and retirement programs is time well spent.


 Investment advice, plain and simple. While participant education and access to an informed fiduciary should be a staple in any retirement plan, it’s essential for the newbies. Statistically, millennials tend to be a bit tentative with their investment decisions. Offering and ensuring an effective avenue to personalized financial advice is a responsible move as a plan sponsor and attractive to employees, young or old, looking for a place to land and do their best work.


Offer the opportunity for the plan’s participants to be immediately vested. That is a nice perk for a group that is likely starting their career under a pile of student loan debt; furthermore, such an upfront investment will give your new-hire a sense of belonging. Upfront matching is attractive bait when fishing for any intelligent employee and goes a long way in proving you will invest in their future, if they will invest in the company’s.

The truth about this new generation is that they have similar career aspirations, needs, and attitudes as Gen X’ers and Baby Boomers. They are just better at asking for what they want and native to a technological world that simply did not exist 30 years ago. The savvy plan sponsor adapts their plan capabilities to be advantageous to their business, just as they would adapt the business itself in a changing market tide. Well, the tides here are changing. It’s time to cast a wider net and catch some new fish!

This newsletter is intended to provide general information on matters of interest in the area of qualified retirement plans and is distributed with the understanding that the publisher and distributor are not rendering legal, tax or other professional advice. Readers should not act or rely on any information in this newsletter without first seeking the advice of an independent tax advisor such as an attorney or CPA.

©2017 Benefit Insights, LLC All rights reserved.

Related Articles

Houston, We Have a Problem…

Times can get tough for people. With the onset of Hurricane Harvey having decimated parts of the Gulf Coast and Hurricane Irma following its destructive lead, we are reminded that at any point we may find ourselves in hardship. Companies make layoffs, natural...

Port in the Storm

Natural disasters can cause upheaval in many aspects of victims’ lives and this destruction often extends to financial matters. What should otherwise be routine compliance for plan deadlines can prove difficult in these extreme events and the government tends to grant temporary relief in such cases.

Helping Hands

One of the most prevalent and difficult challenges for many twenty somethings these days is the repayment of their, often substantial, student loan debt. Statistics show that the average college graduate with a bachelor’s degree left school in 2016 with $28,446 in student loan debt.

Hardships Get a Little Easier

Earlier this year, the Bipartisan Budget Act of 2018 was passed by Congress and signed into law. While this law made several changes that impact retirement plans, one provision changing the rules around hardship distributions is particularly notable. As a result of...