Investment Returns: Defined Benefit vs. Defined Contribution Plans

The brief’s key findings are: The analysis compares returns by plan type from 1990-2012 using data from the U.S. Department of Labor’s Form 5500. During this period, defined benefit plans outperformed 401(k)s by an average of 0.7 percent per year, even after controlling for plan size and asset allocation. In addition, much of the money accumulated in 401(k)s […]

The Growing Funding Gap for State Pensions Puts Millions at Risk

Two new reports by the Pew Charitable Trusts suggest that state governments across the country are shortchanging their employee pension funds and aren’t adding enough money in emergency funding accounts to prepare for the next economic crisis or recession. While states have recouped much of the fiscal and economic ground they lost during the Great […]

Middle-Class Americans’ Big Stake in Social Security

While Social Security provides a foundation of economic security for people at all income levels, new research from the Social Security Administration (SSA) illustrates its importance for those in the middle. Among beneficiaries over age 65: Social Security is the main source of retirement income — providing more than half of total income — for […]

Remember When Donald Trump Promised to Save Social Security?

Donald Trump’s self-proclaimed refusal to even contemplate cuts to Social Security during last year’s presidential race reeked of a con for a basic reason: It almost certainly was one. His statements were simultaneously strident, certain, and vague—all too reminiscent of Trump University’s get-rich-quick, positive-thinking vibe. “I am going to save Social Security without any cuts. […]