At a Glance | February 13, 2020 The 2019 Current Population Survey: New Questions, Improved Results? EBRI looks at the impact of new Current Population Survey questions related to income earned in retirement accounts. 1 RELIABLE ESTIMATES? Percentage Participating in Employment-Based Retirement Plans CPS vs. Bureau of Labor Statistics National Compensation Survey (BLS-NCS) Since a 2014 redesign, the Current Population Survey (CPS) retirement plan participation 77% 77% 77% % 78% 76% 76% 76% 77 BLS-NCS 80% estimates have been much 68% CPS Adjusted lower and trended downward, 64% % % 63 63 contradicting other data 58% 55% sources. New questions added 50% CPS % % 47 47 46% in 2019 on income in retirement accounts give hope for a better and more accurate read on employment-based BEFORE REDESIGN AFTER REDESIGN retirement plan participation. 0% 20 11 20 12 2013 20 14 2015 20 16 20 17 20 18 NE W VARIABLE S, NE W E S TIMATE S Participation in Employment-Based Retirement Plans by Worker Demographics, 2018 Traditional Estimates vs. Adjusted Estimates (Incorporating New Questions) The Current Population Survey dataset is important as it has By Age By Education Level 78% Grad./Prof. Degree the most current annual data 70% Bachelor’s Degree 55–64 Years Old 67% on retirement plan participation 64% 45–54 on a worker-level basis, 61% 35–44 57% Some College 54% 25–34 51% allowing analysis by worker 45% 46% HS Diploma 46% 44% demographics. 39% 41% 21–24 33% 32% 36% 25% No HS Diploma New questions allow for the 23% 18% potential of correcting for the apparent undercounting Traditional Adjusted Traditional Adjusted of retirement plan participation in defined contribution (DC) By Company Size plans. The adjusted levels By Income 81% Public Sector 80% $75k or More resulted in estimates more in 70% 1,000+ Employees 69% $50k–$74.9k 69% line with other sources. 65% 500–999 $40k–$49.9k 59% 59% 100–499 51% 51% 50–99 Once more years of data are 47% 47% $30k–$39.9k 46% 43% 41% 39% 10–49 available, the new methodology 37% 33% 32% can be assessed by comparing 29% $20k–$29.9k 25% Fewer Than 10 23% 21% the levels and trends across 17% $10k–$19.9k 13% 16% Less Than $10k various other data sources. 11% 11% Traditional Adjusted Traditional Adjusted SOURCE: Craig Copeland, “Retirement Plan Participation and the Current Population Survey: The Impact of New Income Questions on These Estimates,” EBRI Issue Brief, no. 499 (Employee Benefit Research Institute, January 30, 2020). 1. Percentage of wage and salary workers working for private-sector employers with 500 or more employees participating in an employment-based retirement plan (both defined benefit and DC plans). © 2020 EBRI This report is copyrighted by the Employee Benefit Research Institute (EBRI). You may copy, print, or download this report solely for personal and noncommercial use, provided that all hard copies retain any and all copyright and other applicable notices contained therein, and you may cite or quote small portions of the report provided that you do so verbatim and with proper citation. Any use beyond the scope of the foregoing requires EBRI’s prior express permission. For permissions, please contact EBRI at permissions@ebri.org.