The 401(k) Is Wreaking Havoc on Retirement

The shift away from pensions means “double disadvantages for the less educated,” a study finds.
Photographer: Daniel Acker/Bloomberg
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The shift from pensions to 401(k) plans is making retirement inequality much worse—and education is what separates the haves from the have-nots, a new study has found.

College graduates have always been able to get better jobs. What's new in recent decades is that traditional pensions have all but vanished, replaced by 401(k)-style plans.