Recruitment of new employees is not always as easy as putting an ad in a newspaper or online job board. Today, employees have more options than ever before in terms of employment, and business owners must find new and creative ways to attract and retain talent. Retirement plan consulting has been found effective in drawing in job candidates who are interested in saving for their retirement.
According to Glassdoor, the average corporate job ad attracts an average of 250 resumes. Within this group of candidates, between four and six will usually get called for an interview, and only one individual will actually get the job. While attracting job candidates is not always difficult, it can be challenging to find employees who meet the business’s unique job, education, and work history requirements. When searching for a job, many individuals look at employee benefits. By providing attractive benefits like retirement plans, businesses can bring in talented candidates who check all of these boxes.
What Is Retirement Plan Consulting?
Retirement plan consulting services can aid both employers and employees in the search for the best retirement plan. Employers want to attract talented employees, control costs and ensure that their fiduciary and regulatory obligations are met. This may involve upgrading their current retirement plan or finding an entirely new one.
Retirement plan consulting typically consists of multiple services designed to guide employers in the right direction. Comprehensive consulting services may include plan selection, communication services, administration, and regulatory guidance, vendor selection, business succession planning, and similar services designed to help connect business owners with suitable retirement plans.
There are many options when it comes to putting together a successful employee benefits plan. Retirement benefits are often considered one of the most important benefits as most people will need financial assistance once they reach retirement age. Retirement plan consulting can help ensure that business owners choose a plan that will meet the needs of most employees and will offer the biggest savings opportunities.
A retirement plan consultant has extensive knowledge of different types of retirement plans and can provide guidance as to which are most likely to attract new talent. Here is a look at how retirement plan consulting can help attract employees.
How It Helps Attract & Retain Top Talent
While there are many businesses that offer retirement plans, few take the time to really communicate plan options and features to employees. As a result, some employees may fail to participate in the plan or may not take full advantage of the plan’s features or savings potential. This can result in a lost employee recruitment and retention tool for employers. Retirement plan consulting can provide employees with guidance about the retirement plans available to them and provide recommendations based on criteria like age and finances. This can help existing employees achieve a brighter financial future and encourage job candidates to join the team and enjoy these same benefits.
Ease in Choosing Retirement Plans
An employer-sponsored retirement plan can build a nest egg that can be an excellent source of income in retirement. However, it is not always easy to choose a retirement plan. A retirement plan consultant can help employees choose the right plan for them. Most retirement plans are separated into two main types: defined-contribution plans and defined benefit plans. A defined-contribution plan, such as a 401(k), does not promise a specific payout at retirement. Instead, contributions are made to an individual account at a set rate, such as 5 percent of the employee’s annual salary. In a defined benefit plan, the employee is promised a specified monthly benefit at retirement.
Effective Management of Retirement Plans
When managed properly, retirement plans can provide a wide range of benefits. Employee contributions can reduce taxable income and can easily be made through payroll deductions. In addition, contributions and investment gains are not taxed until distribution. Retirement plans also have compounding interest that allows smaller contributions to grow significantly over time. However, it can be challenging to effectively manage retirement plans, especially if numerous employees are involved. A retirement plan consultant can help businesses better manage their retirement plans.
Talk To The Retirement Plan Consulting Experts
A well-constructed retirement plan can help employees plan for their future while providing employers with certain tax benefits. An attractive employee benefits package containing a comprehensive retirement plan is also an excellent way to retain and attract top talent to your team. Investing in retirement plan consulting can be an effective tool in gaining an edge on the competition by building an impressive team filled with knowledgeable and creative individuals. For more information about how retirement plan consulting can help to attract employees or to speak with an experienced retirement plan consultant, contact the retirement plan consulting experts at BenefitCorp today.