Empowering Youth with Independence Planning
Motivating younger people to consider retirement planning may be a significant task, but it’s an investment in their future well-being and financial independence. While the prospect of retirement might seem distant, starting early empowers them to take control of their financial destiny. By instilling this awareness and fostering sound financial habits from a young age, we enable them to navigate the complexities of retirement planning with confidence and seize opportunities for a brighter, more secure future. This endeavor, though challenging, promises a fulfilling and worry-free retirement.
When striving to underscore the importance of retirement planning, plan sponsors may achieve greater success by adopting the term “independence planning.” This approach encompasses the steps and strategies to secure financial independence, including saving for retirement, reducing debt, and making prudent investments. It’s about attaining a level of financial security that enables individuals to sustain their lifestyle without relying on external assistance.
At the conclusion of The Plan Sponsor University (TPSU) Fiduciary Education Program held in Alpharetta, Georgia, Fred Barstein, founder, and CEO of TPSU, interviews Susie, an HR professional, about her perspective on retirement planning for younger individuals. Susie notes that younger generations entering the workforce are less concerned about the traditional concept of “retirement.” She suggests that the term “independence planning” may be more relevant for them, emphasizing their desire for financial independence and autonomy from their parents. Susie appreciates this shift in terminology, moving away from the traditional “retirement planning.”
Read the Full Transcript Here:
Fred Barstein:
Greetings. This is Fred Barstein, CEO and founder of TPSU and 401kTV. I am here in Alpharetta, where we just completed a TPSU program. I’m here with Susie. Welcome, Susie.
Susie:
Thank you very much for having me.
Fred Barstein:
Okay if we ask you a few questions?
Susie:
Absolutely.
Fred Barstein:
Very good. So before we do, could you tell us a little bit about yourself and your organization?
Susie:
Okay. I am an HR professional. I am currently responsible for approximately 130 to 150 employees in the nonprofit industry. I am the head of People & Culture.
Fred Barstein:
Very good. That’s a big responsibility. So you talked a little bit about younger people, the word retirement, and how they don’t relate. Can you tell us a little bit about that?
Susie:
Absolutely, Fred. One of the things I’ve found is, as our generation has gotten a little bit younger coming into the workforce, they’re not as concerned about that word retirement. So as a result, I’m thinking, and one of the things we talked about here in class is getting away from that word of retirement, but more so independence. Younger people, they want to be independent of their parents. Their parents want to have less responsibility for their children. So, I think, us getting away, that’s one of the great takeaways that I found from today’s class. I really like that terminology to get away from the word retirement, which seems to be an older individual.
Fred Barstein:
Right. We have retirement planning.
Susie:
Correct. Absolutely.
Fred Barstein:
We could do independence planning.
Susie:
Yes.
Fred Barstein:
Financial independence. That’s great.
Susie:
Yeah. Absolutely.
Fred Barstein:
So, final question, a couple of things other than this that you learned, and would you recommend this class to people?
Susie:
I would definitely recommend this class. For anyone that’s responsible for a 401(k), 403(b), come and take this class. There’s a lot of great points that Fred and his team offers to you, as well as points that you would learn from your colleagues that are also working in the HR arena, providing some very good information for everyone.
Fred Barstein:
Great. Thank you for attending and your time, and thank you for watching 401kTV. Stay tuned for more programs like this.
