The Demise of myRA – Financial Education or Something Else?
Dan Kadlec’s column this week on the end of the “myRA” retirement opportunity got me thinking. Kadlec suggests that the demise of the program is likely due to a lack of financial education. I agree – but I think there is more to it than that. I suspect this is human nature at play. Think about how hard it is to get people to enroll in their 401(k) with a match and invested in real growth options.
Solution? Make it an opt-out option for those who are working. At least then you grab those workers who have income. For those who are not working? Again, basic needs will always prevail.
I suspect that fin ed for those living below the poverty line is a unique challenge that current programs have not addressed. A whole lot of hands-on help would need to be done – and – well, who is going to sign up for that? Banks are already stretched.
Like I said, great and interesting column worth your time to read and ponder – and then, give thanks for the employee benefits you have!
Right About Money: What Killed the myRA? Lack of Financial Education
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