MassMutual Retirement Services Data Shows Women Are Gaining on Men in Retirement Savings
Information contained on this page is provided by companies via press release distributed through PR Newswire, an independent third-party content provider. PR Newswire, WorldNow and this Station make no warranties or representations in connection therewith.
SOURCE MassMutual Retirement Services
SPRINGFIELD, Mass., March 6, 2013 /PRNewswire/ -- Fourth quarter 2012 data for defined contribution plans administered by MassMutual shows that women are closing the gap in retirement plan account balances as well as in savings rates compared to those of their male counterparts.
According to the Q4 data, the average deferral rate for female participants was 5.38%, an increase of 1.6% for the quarter. Male participants are saving at 5.81% on average, an increase of 1.2% from the third quarter 2012. MassMutual's data shows the gap is gradually and consistently closing. Since Q3 2010, when the average account balance among female participants trailed that of men by 40.49%, the gap has been gradually closing (past 10 quarters). In Q4 2012, the average account balance among females was 38.25% behind their male counterparts, an improvement of 2.49 percentage points or 5.6%.
"This is a positive trend and we are so pleased to see slow but steady progress for our participants, especially our female participants," says Elaine Sarsynski, executive vice president of MassMutual's Retirement Services Division and chairman, president and CEO of MassMutual International LLC. "We have customized our participant education offering on a number of fronts to drive action among specific segments such as women, and the progress we are seeing indicates that participants are responding favorably," she adds.
The vast majority (73%) of asset allocation investments for females are in age-based strategies, while men are almost evenly divided between age-based and risk-based strategies, at 52% vs. 48% respectively.
Loan activity among MassMutual's participants is well below the industry average, indicating the company's call center representatives and educational programs are successfully communicating that taking a loan from a retirement vehicle should be a last resort. The percentage of participants in plans administered by MassMutual taking any kind of loan or withdrawal is the lowest of any 4th quarter in the past five years.
As might be expected, average balances and average deferral rates are highest for the Silent Generation (born 1945 and earlier) and Baby Boomers (born 1946 – 1964). Combined, Generation Y and Generation X participants (born between 1965 and 1995) represent 56% of total participants and 32% of defined contribution assets. While GenX/Gen Y participant numbers are higher than the Baby Boomer count at 40% of participants, Boomers still have a greater share of the overall assets at 61%, but that gap, too, is closing.
MassMutual serves approximately 3 million participants. For more information regarding MassMutual Retirement Services, please call your retirement plan professional or contact MassMutual at 1-866-444-2601.
MassMutual Financial Group is a marketing name for Massachusetts Mutual Life Insurance Company (MassMutual) and its affiliated companies and sales representatives. MassMutual is headquartered in Springfield, Massachusetts and its major affiliates include: Babson Capital Management LLC; Baring Asset Management Limited; Cornerstone Real Estate Advisers LLC; The First Mercantile Trust Company; MassMutual International LLC; MML Investors Services, LLC, Member FINRA and SIPC; OppenheimerFunds, Inc.; and The MassMutual Trust Company, FSB.
MassMutual's Retirement Services Division has been serving retirement plans for more than 65 years. It offers a full range of products and services for corporate, union, nonprofit and governmental employers' defined benefit, defined contribution and nonqualified deferred compensation plans. It serves approximately 3 million participants.
Friday, May 24 2013 10:21 PM EDT2013-05-25 02:21:23 GMT
From the Tyler Police Department:At approximately 5:20Pm on May 24, 2013, Tyler Police were notified of the motorcycle accident at Grande and Sutherland. The driver of a black Ford F-150 was heading east onMore >>
Rider was not wearing a helmet when she collided with a truck.More >>
Friday, May 24 2013 9:59 PM EDT2013-05-25 01:59:21 GMT
A Tyler ISD bus driver was arrested Friday afternoon on drug charges.Ronald Gain, 44, of Tyler, was arrested by the Tyler Police Department on one charge of possession of a controlled substance. TylerMore >>
Has worked for the district since August of 2012.More >>
Saturday, May 25 2013 9:18 AM EDT2013-05-25 13:18:01 GMT
Cherokee County authorities are investigating a fatal house fire Friday night. It happened just before 7:30 on County Road 3302 outside of Jacksonville. The Jacksonville Fire Department, Cherokee CountyMore >>
Happened just outside of Jacksonville on Friday night.More >>
Saturday, May 25 2013 12:20 AM EDT2013-05-25 04:20:39 GMT
Fire crews have closed a street in north Tyler as they fight an apartment fire. Several crews are on the scene at an apartment complex in the 700 block of South Kennedy Avenue. The fire started aroundMore >>
Fire crews closed a street in north Tyler as they battled an apartment fire.More >>