Nonprofit Workers Fall Short In Retirement Savings

Employees who work for charities, government agencies, and other tax-exempt organizations aren't 

ALSO SEE: ARTICLE: Tips to Help Nonprofit Employers Get Ready for New IRS Rules on Retirement Savings Plans ARTICLE: Updating a Program to Help Nonprofit Organizers SavePlans

coming close to saving as much money for retirement as their peers in the business world.

As a result, they run the risk of being unable to afford a comfortable retirement, according to a study by Fidelity Investments, in Boston.

Fidelity's Tax-Exempt Workplace Savings Tracker found that workers at government and nonprofit groups have an average of $48,000 saved in deferred-compensation retirement investment plans offered by their employers. People who work for businesses, by comparison, have saved an average of $62,000 in such plans.

The difference is more profound in light of the fact that the workers surveyed have comparable income levels. The median annual income for the tax-exempt employees surveyed was $55,000. Corporate workers in the survey earned a median income of $58,000...Read More.

Contact our office for help.