How to Boost Employee Engagement in Retirement Plans: 4 Strategies for HR Leaders

Think back to the last time you asked employees about their 401(k) or retirement plan benefits. Did you get blank stares, hesitant nods, or enthusiastic responses? If it was the first two, you’re not alone.

While the majority of employees recognize retirement benefits as a critical part of job satisfaction, many don’t fully understand how their plan works or how to maximize it. This knowledge gap presents a challenge—but also a major opportunity—for HR leaders and benefits managers.

Employees who are well-informed about their 401(k), employer match, and retirement savings strategies are more likely to contribute consistently, feel valued by their employer, and stay with the company longer. The question is: How do you make retirement education engaging, not overwhelming?

Here are four actionable strategies to boost employee retirement plan engagement and help your workforce make informed financial decisions.

1. Use Clear Communication 

Why Plain Language Matters

Retirement plans can feel like a minefield of complex jargon and terms like “vesting schedules,” “target-date funds,” and “Roth contributions.” For employees unfamiliar with financial lingo, this can lead to confusion and disinterest.  

Avoid creating cognitive overload by breaking down these topics in plain, conversational language. For example, instead of saying “employer match, ” explain it as “additional contributions the company adds to your retirement account when you save.”  

Make It Visual  

Supplement written content with engaging visuals such as infographics, charts, and step-by-step guides. These tools can simplify complicated concepts, like compound interest or how contributions grow over time.  

Pro Tip: Consider creating a glossary of common retirement plan terms and distributing it in your onboarding materials or monthly newsletters.  

2. Host Interactive Webinars and Workshops

Go Beyond the Basics  

General presentations about benefits are a good starting point, but hosting targeted sessions can take learning to the next level. For instance, webinars focused on common employee concerns, like “How to Start Saving in Your 30s” or “Maximizing Your 401(k) Match,” ensure your team gets personalized guidance unique to their needs.  

Bring in the Experts  

Employees tend to trust insights from financial professionals. Partner with financial advisors or benefits consultants to lead Q&A workshops or lunch-and-learn sessions. Their expertise can help employees understand their decisions’ short- and long-term implications.  

Actionable Tip: Record these sessions and create an internal video library for employees to reference on their own time.  

3. Offer Personalized, One-on-One Guidance

Tailoring to Individual Needs  

Understanding the nuances of retirement planning can feel overwhelming. Offering one-on-one consultations allows employees to get personalized advice based on their circumstances, such as age, income, current savings, and long-term goals.  

For example, employees nearing retirement may have different questions than younger employees just starting their savings journeys.  

Bonus: Personal consultations often lead to tangible actions, like increased contributions or better portfolio selections—both of which improve plan performance on a company-wide level. 

4. Leverage Digital Tools and Apps 

Meet Employees Where They Are  

‘Today’s digital-first workforce thrives on convenience, so provide access to user-friendly tools that encourage retirement plan engagement.  

Some helpful tools and features include: 

• Benefits Portals with interactive FAQs and calculators 
• Retirement Planning Apps that provide real-time access to balance projections  
• Email Nudges or in-app notifications reminding employees to take advantage of employer matches or update their contributions  

For example, an employee who receives an alert saying, “Increase your savings by just 1% to boost your retirement fund by $10,000 over the next 10 years!” is more likely to act than one who receives no reminders.  

Pro Tip: Provide tutorials or quick videos to help employees use these tools effectively, ensuring they maximize available resources.  

Why This Matters for Organizations  

Educated employees transition from passive participants to active users of their retirement plans. This benefits not only them but also your organization by enhancing three key areas:  

• Employee Satisfaction: Employees who understand their benefits feel more valued by their employers.  
• Retention: Competitive, well-understood benefits make employees more likely to stay.  
• Company Reputation: Businesses offering robust financial wellness programs are more attractive to top talent.  

Help is Just a Click Away 

Educating employees about retirement plan benefits is no longer a “nice-to-have” — it’s a necessary investment in their financial well-being and your organization’s success.  

Need some guidance getting started? Connect with us today to make your retirement plan a standout advantage for your organization.  

This content is for informational and educational purposes only and should not be construed as individualized advice or a recommendation for any specific product, strategy, or course of action. Brighton Jones, its affiliates, and employees do not provide personalized investment, financial, tax, or legal advice through this communication. This material is not intended to, and does not, create a fiduciary relationship under ERISA or any other applicable law. For individualized advice tailored to your specific circumstances, please consult with your adviser.