According to data released by the U.S. Bureau of Labor Statistics in 2006, about half of American workers (54%) have access to an employer-sponsored defined contribution retirement plan, such as a 401(k) plan. Of these employees, 79% participate in their employers’ plans. However, access to a plan and participation rates can vary depending on company and employee characteristics.
How does your participation experience compare? Take a look at the table.
| Characteristic |
Employers with Plan |
Participation Rate |
| All employees |
54% |
79% |
| White collar |
65% |
82% |
| Blue collar |
53% |
77% |
| Service |
30% |
65% |
| Full time |
63% |
80% |
| Part time |
25% |
65% |
| Paid less than $15 per hour |
43% |
71% |
| Paid $15 or more per hour |
69% |
85% |
| 1 to 99 employees |
41% |
81% |
| 100 or more employees |
70% |
77% |
| Union |
50% |
86% |
| Nonunion |
55% |
78% |
Source: NPI © (Summer 2007)
If you would like additional information on this topic, please email us or call 1-888-98-GUIDE (1-888-984-8433).
Related Articles
DOL Compliance Assistance MaterialsUniversal AvailabilityRoth Distributions
Final Code Section 403(b) Regulations
Employee Meetings Can Help Make Your Plan a SuccessTransfers between 403(b) Plan Providers
Online Workshop for Exempt Organizations
Pension Protection Act of 2006 (PPA) Down the Road