Often entrepreneurs forget to set aside for their own retirement funds. However, our employees may want a retirement fund, and it is important for us to listen to their needs. A recent survey showed that only 10% of small businesses offer some type of retirement plan.
The Harris Poll of 501 small business owners indicates only 11 percent say they are likely to add an employee sponsored 401(k) plan within the next two years, 69 percent say they won’t because their business is too small, and more than half say it would be too expensive.
Thirty-seven percent of small business owners with more than six employees say they are under pressure from employees to offer a retirement plan, and 78 percent of that group say having a retirement plan is effective in helping to attract qualified employees.
Photo by Kristina Zuidema
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