How the Small Business Workforce Saves for Retirement


By The Human Interest Team

Small businesses* employ 60 million people who are working hard to save for their future, but we rarely hear about how well – or not – they’re saving because stats on retirement savings published by the finance industry tend to focus on their own customers — typically only large corporations that have been able to access, afford, and implement an old-school company savings plan.

This report, How the Small Business Workforce Saves, summarizes data from more than 28,000 employees of small and medium businesses nationwide. We report breakdowns by age group, gender, marital status, salary, industry, and region to get insight into how small business employees – who make up roughly half of the U.S. workforce – are saving for retirement.

Key findings in the report include:

  • The gender retirement gap: The gap in savings rates between men and women can compound over the course of someone’s life.

  • An employer match is not a dealbreaker: the key to get people to save is access to a 401(k) or 403(b) through work.

  • Not just white-collar workers: Workers in manufacturing, construction, retail, and other non-office verticals are, in fact, saving the same percentage of their salary as workers in finance.

  • The Midwest falls behind: Compared to other regions, people in the Midwest are saving the smallest percentage of their pay in their 401(k).

Download the report to read more.

*Defined as businesses with <500 employees

We believe that everyone deserves access to a secure financial future, which is why we make it easy to provide a 401(k) to your employees. Human Interest offers a low-cost 401(k) with automated administration, built-in investment advising, and integration with leading payroll providers.

Looking for a full-service 401(k)?

Human Interest is the 401(k) provider for small and medium-sized businesses.

Talk to a consultant

Small and medium businesses can be prepared, too.

Start a great retirement benefit for less than the cost of one employee's health insurance1


The content in this blog post has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction. Human Interest's investment advisory services are provided by Human Interest Advisors, LLC, an SEC-Registered Investment Adviser. Investing involves risk and may result in loss. Past performance is no guarantee of future results, and expected returns may not reflect actual future performance.