Nearly 40% of working Americans age 65 or older had previously retired but then rejoined the workforce for personal as much as financial reasons, a study found, while more than half of retirees age 50 or older said they would go back to work if the right opportunity arose. The "unretirement" trend marks a significant shift away from the earlier model of leaving the workforce entirely upon reaching retirement age.
Financial columnist Wendy Connick lists four "housekeeping" tasks for retirement savers to carry out before 2017 ends to make sure their plans are in good shape for 2018 and beyond. She suggests savers should add up their contributions for the year, compare them with their plans and the plans' goals, look at their plans' long-term objectives and, more fundamentally, consider the value of switching to a different savings vehicle.
Proposed tax changes could discourage small employers from offering 401(k) plans, as they would gain a tax advantage by dropping them, the American Retirement Association says. The organization wants the public to alert lawmakers about the situation, saying an estimated 24 million workers could lose 401(k) access if the "pass-through" tax rate proposal is not modified.
Much of America's predicted retirement crisis could be averted by auto-enrollment features in employee savings programs, supplemented by automatic annual increases in employee contributions, write professor Shlomo Benartzi and Nobel prize-winning economist Richard Thaler. They say this system helps savers overcome the natural human impulse to choose short-term rewards over long-term benefits.
President Donald Trump has tweeted that fines against Wells Fargo are proceeding and might increase. Consumer Financial Protection Bureau acting Director Mick Mulvaney reportedly is reviewing the case.
Jelena McWilliams, President Donald Trump's nominee to head the Federal Deposit Insurance Corp., has experience working with the Federal Reserve and as chief counsel to former Senate banking committee Chairman Richard Shelby, R-Ala. McWilliams emigrated from the former Yugoslavia and worked her way through college selling cars and knives.
A deferred-prosecution agreement between HSBC and the Department of Justice under which the bank avoided criminal charges in 2012 is expected to be dismissed after HSBC improved its system and complied with recommendations. HSBC paid $1.9 billion in fines and agreed to changes after prosecutors accused the bank of failing to notice money from drug trafficking and of violating sanctions.
Kenneth Montgomery will lead the Federal Reserve's Secure Payments Task Force. Montgomery will continue to serve as first vice president and chief operating officer of the Federal Reserve Bank of Boston.
The Securities and Exchange Commission has awarded $4.1 million to an anonymous whistleblower who reported a long-running securities law violation and assisted in the subsequent investigation. "The breadth of the SEC's whistleblower program is demonstrated by this case, where the whistleblower, a foreign national working outside of the United States, affirmatively stepped forward to shine a light on the wrongdoing," SEC official Jane Norberg said.