Crisis of Retirement Savings
Nonprofit executives pour their hearts into important causes such as providing food and shelter to the needy, counseling troubled veterans and staging live theater and music. But nonprofit organizations and executives often fall short taking care of themselves in saving for retirement.1 This is especially the case when working for smaller nonprofit organizations that may offer no retirement plan to its employees. These corporate executive then becomes responsible for saving for retirement on their own.
The largest-sized Fortune 500 companies in America have seen a dramatic shift away from traditional defined benefit (DB) pension plan to defined contribution (DC) plans. This is a result of trying to implement cost savings and accomodating today’s increasingly mobile workforce.
For some, there is a dream of being able to retire early from their corporate career. You have worked hard, and have risen the ranks, taken on increased responsibility, earned more, and want to be able to have an off-ramp at the appropriate time. Perhaps you want to pursue another passion, a new career, spend more time with family, or simply travel abroad. To retire early, there are several important strategies to consider for those, especially in corporate careers.
For those that work in higher education as a faculty member or staff, there is a real joy in helping students. But retirement for these hard-working higher education professionals will eventually come, and you want to be prepared. Higher education professionals are not in a rush to leave the workforce, according to a 2014 TIAA survey, with almost 2/3rds of faculty and staff plan to retire at age 65 and older, which is higher than the workforce in general.1