So, if you have opt-out savings, then you’re much more likely to end up saving in the retirement savings plan than if you have to opt in. This was a big discovery at the time.

The amount deducted in an opt-out plan, typically about 3%, is a good start but too low to build a significant retirement account. Opt-out plans tend to raise participation rates.

Any worker who doesn’t want to participate can opt out at any time. If the programs prosper and propagate, advocates say, they could vastly expand the population of Americans with retirement ...

Beginning in 2025, employers with new 401(k) and 403(b) plans must automatically enroll employees when they become eligible. The initial contribution amount must be at least 3% and no more than 10%.

Types Types of employer-sponsored retirement plans. Employers determine the type of retirement savings plan they want to offer. Workers usually, but not always, can opt in or out. Some of the most ...