If employers were able to better manage their healthcare spending and funnel just some of those savings back to employees through increased 401(k) contributions, we might just be able to avoid America’s retirement crisis. To illustrate, assuming an employee starts with a $40,000 salary, receives a 3% annual raise, and 7% return on investment contributes 5% of her salary to her 401(k) for 35 years; if she or her employer were able to redirect just 2% more of her salary to her 401(k), this would mean an increase in their retirement pot from $393,136 to an impressive $550,390 over 35 years, marking a 40% growth due to these compounded savings.
Cut Healthcare Costs, Save Retirement Dreams
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