Friday, May 11, 2007

Can Americans Learn to Save?

Back in the 20th century, investment gurus pointed out that most Americans want to be poor. (Why else would they have failed to save a nickel?)

In the early 21st century, only about half of all workers participate in formal retirement plans. To encourage greater coverage, a coalition of business, employer and retiree groups, the Conversation on Coverage, has come up with a bundle of ideas. They include

an annuity plan: The Guaranteed Account Plan (GAP)

a simplified defined benefit plan: The Plain Old Pension Plan (POPP)

a new, portable reitrement account: The Retirement Investment Account (RIA)

a multi-employer small business plan: The Model T Plan

See the group's report: Covering the Uncovered.

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