Rescuing Retirement: A Plan to Guarantee Retirement Security for All Americans

By: Teresa Ghilarducci and Tony James

 

Abstract

Ghilarducci (How to Retire with Enough Money), director of the New School for Social Research’s Retirement Equity Lab, and James, CEO of the Blackstone Group financial services firm, argue that 85 million Americans don’t have any retirement savings and millions more have woefully inadequate plans—and offer a possible resolution, the guaranteed retirement account, a portable retirement savings account for every worker. The money is pooled and professionally managed, and, upon retirement, the worker is guaranteed payments for life. The scheme requires no additional taxes or deficit and only a small ongoing contribution from the worker. What makes the book so readable is not just the authors’ well-reasoned proposal, which includes case studies and surveys, but also their explanation of how the U.S. got to this point, which includes the accidental birth of the 401(k). Ghilarducci and James never slip into wonk-speak or jargon, and lay readers will appreciate the way the authors make sense of complex economic issues. (Jan.)