On Thursday, July 18, the Society of Collision Repair Specialists (SCRS) hosted a webinar event to explain its new SCRS 401K Retirement Solutions program, featuring Angela Pickel, vice president of Retirement Services for TPC 401(k), and Scott Broaddus, CFP AIF, a partner at Virginia Asset Management.
According to SCRS Executive Director Aaron Schulenburg, “SCRS has partnered with an amazing team that specializes in helping small businesses establish the same high-quality retirement programs for their employees that you would expect working for much larger companies. Member businesses will benefit from our collective size to help keep costs low, and service and support that is second-to-none. SCRS member businesses that have already enrolled have saved on average 37 percent from their existing plans.”
Schulenburg welcomed attendees to the webinar. Shortly thereafter, he defined the SCRS MEP Retirement Plan as a customized retirement plan solution created specifically for SCRS members and introduced the speakers. Pickel began by explaining that the increased focus on retirement solutions is due to the fact that 57 million Americans do not have access to a retirement plan through their employer, and of that group, over half work in small businesses. The reasons many small businesses do not offer retirement benefits are related to the high cost and perceived complexity.
In fact, Pickel shared, “High costs and complexity discourage small businesses so much that 71 percent of businesses with fewer than 50 employees don’t offer retirement benefits at all, citing ‘high cost’ as their primary barrier. 47 percent of companies with less than 100 employees do not offer retirement benefits. Many people do not have enough money saved for retirement, and as a result, many states have begun introducing legislation to require small businesses to offer basic retirement savings programs.”
Pickel went on to demonstrate the extent to which employees rely on their employers to help them establish retirement savings plans. Of those with a plan at work, 89 percent of workers over age 30 said they likely would not have saved for retirement without it and less than ten percent of employees without access to an employer plan actually start a retirement savings on their own.