Proven, market-leading solutions for both growing and complex organizations
Across the globe, Alight is ready to help your organization thrive
Proven, cost-effective solutions that meet your agency’s complex needs
Work with an independent partner dedicated to your success
A curated network of solutions to help your people make smarter, more proactive decisions
Alight Solutions is a leading provider of integrated benefits, payroll and cloud solutions. With more than 15,000 professionals across 29 countries, Alight provides leading-edge benefits administration and ERP technology and services to more than 3,250 clients including 50% of the Fortune 500. Alight’s combination of data-driven insights and technology expertise creates unique value for clients. Alight is a six-time member of IAOP’s Global Outsourcing 100. Learn how Alight drives better business outcomes and employee wellbeing for organizations of all sizes at alight.com.
With an increased focus on retirement income, employers are now turning their attention to how their workers are using their defined contribution plan assets after terminating employment. To help organizations better evaluate the distribution decisions people make when they leave employment, Alight Solutions analyzed the post-termination behavior of more than 2 million DC participants from 2008–2017.
Data from this report can help employers benchmark their plan’s data and answer the following questions about what workers do with their retirement savings after they leave employers.
In answering these questions, particular attention was paid to individuals who were at least 60 years old at the time of termination, since they were most likely to be considered “retired”—and DC plans at their heart are retirement plans.
A deep dive into post-termination behavior, 2008–2017
This research analyzed more than 2 million participants who terminated between 2008 and 2017. Together, these individuals had account balances in excess of $100 billion. Activity was measured as of December 31, 2017 on both an asset-weighted and headcount-weighted basis to analyze the number of participants and dollars that:
Individuals who kept their assets in the plan but took installment payments were analyzed separately.
Rollovers were examined in two ways:
The methodology section at the end provides additional detail on how individuals were categorized.