News from PFEEF 
November 2, 2009
 
 
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"Recession Causing Permanent Spending Cuts"
 
A nationwide Citi survery conducted by Hart Research Associates finds that people say they have made what they call permanent spending changes: 63% report their finances have been changed forever; 62% have cut down on credit card purchases;  61% plan to reduce credit card usage; 59% say they will keep cutting back spending; 42% said they were taking money out of their savings or other investments to help pay expenses.
 Employers Without 401(k) Consign Employees to Failure

A study by the Employee Benefits Research Institute (EBRI) found that 78% of employees making between $30,000 and $50,000 save in an employer-sponsored defined contribution plan where one is offered. This compares to only 5% of workers saving in an IRA when the employer does not offer a 401(k) plan. Employees without a 401(k) plan are doomed to a less than finacially successful retirement. 
 
Defined Contribution Insights, Sept/Oct 2009, p. 1
BEST QUOTE - "The credit card is the cigarette of the financial world." - Dave Ramsey, on the damage credit card debt can do to employees' financial health.
Book For Sale: "Delivering Financial Literacy Instruction to Adults"
Garman and Gappinger's 17 chapters discuss how employers profit with financial literacy, the value proposition for workplace financial programs, and how to communicate effectively. Call Heartland Institute of Financial Education, 303-597-0197, $70 (which includes shipping).
         
                                                "Featured Partner - Best Provider " 
 
The EDSA Group®, and independent financial education company, is nationally recognized for its proven, results-driven programs. EDSA specializes in teaching employees to make informed decisions about their personal finances and employer-sponsored benefit plans. Tools available include live workshops, one-on-one counseling, software, and an E-Learning tool (www.Goodmoneyhabits.com).
 
EDSA provides employees the information they need to make educated decisions (addressing ERISA) and managing possible risk/liability with ongoing and documented action (addressing SOX). Over a decade ago Virginia Tech's NIPFEE conducted research
proving the value of the EDSA program.

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