...Retirement Plan Proposal and Communication Plan Debra Britton HRM/324 July 27, 2015 Douglas Lalama Retirement Plan Proposal and Communication Plan Now more than ever it is important that organizations offer some sort of retirement plan to its employees. The Social Security Administration reports that by the year 2033, Social Security funding will be depleted. Now is a good time to get younger employees thinking about the future and older employees to contribute to their not so distant retirement. Supporting retirement plans will not only attract qualified employees, but encourage longevity with the organization. However, the retirement plan must address specific organizational needs. There are three plans that could be offered that address those needs. * Defined benefit plans are company sponsered plans, “such as pension plans, in which a retired employee receives a specific amount based on salary history and years of service, and in which the employer bears the investment risk.” (InvestorGuideStaff, 2015) This plan can also state an exact dollar amount the employee will receive each month of retirement. “ Or, more commonly, it may calculate a benefit through a plan formula that considers such factors as salary and service-for example, 1 percent of average salary for the last 5 years of employment for every year of service with the employer.” (Perez, 2015) This plan is covered by, Employee Retirement Income Security Act (ERISA) with federal insurance through the,...
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