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MSC Industrial Direct Employees Confront the Fear of Running Out of Money in Retirement

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'To allay long-term financial concerns, MSC Industrial Direct employees may benefit from a comprehensive retirement strategy that addresses inflation, health care costs, and tax planning.' – Michael Corgiat, a representative of The Retirement Group, a division of Wealth Enhancement.

'Proactive retirement planning—especially around inflation, health care, and shifting tax policies—can help MSC Industrial Direct employees gain clarity and reduce uncertainty in the years leading up to retirement.' – Brent Wolf, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article we will discuss:

Key causes of retirement anxiety, including inflation, health care, and taxes.
Generational differences in money concerns and readiness.
The value of broad retirement planning approaches.

Retirement Anxiety is On The Rise

Employees across industries, including those at MSC Industrial Direct, have long worried about how they will fund retirement. These concerns have grown considerably in today’s economy. Nearly two out of three Americans (64%) said they worry more about outliving their resources than they do about dying, according to the Allianz Center for the Future of Retirement’s 2025 Annual Retirement Study. ¹

Main Causes of Retirement-Related Worry

The Allianz study lists several key triggers of these fears. Regarding long-term planning, 54% of respondents said inflation was their top worry. Increases in health care costs, housing, and food prices are still undermining people’s purchasing power.

Concerns around Social Security’s future and tax burdens are also high. 43% said they feared Social Security might not offer adequate support. And another 43% named high taxes as a major issue.

Generational Gaps in Money Stress

Gen X—often balancing care for both kids and aging parents—report the highest worry: 70% versus 66% of millennials and 61% of boomers. Among corporate workers, including those at MSC Industrial Direct, this dynamic underlines how family obligations can magnify retirement concerns.

The Gap Between Worry and Action

The survey shows a gap between concern and conversation: just 23% of respondents have talked about outliving their assets with a retirement specialist, down from 28% in 2024. ² That said, Americans are considering several strategies to allay these fears, ranking the following approaches as most helpful:

41% said cutting current spending to funnel more toward retirement 
44% said increasing retirement contributions 
39% said postponing retirement
While increasing contributions to retirement accounts could help address these concerns, barriers remain: daily necessities (63%), credit card debt (40%), mortgage or rent (35%) were top reasons people weren’t contributing more.

The Emotional Side of Retirement Anxiety

Retirement fears influence not just finances, but lifestyle, career choices, and family planning. Worries about independence, dignity, and quality of life often accompany fear of running short on funds.

Health care need are often underestimated too, complicating the equation. Medicare covers many basic services, but long‑term care, home assistance, and uncovered treatments can add large bills—adding uncertainty even for high‑income employees.

Broader Retirement Planning Matters

The Allianz findings emphasize planning well beyond just saving. With people living 25 to 30 years post‑work, a solid planning mindset is critical. As Kelly LaVigne, VP at Allianz Life, noted, “Americans areliving longer… your money needs to go farther. A good plan considers 25 to 30 years of retirement, not just the first ten.” ²

Key components often include:

Income strategies: setting up regular monthly disbursements from assets
Tax planning: reducing tax burdens on withdrawals
Health care planning: factoring in Medicare gaps and long‑term care
Inflation alignment: keeping income responsive to cost increases

Combined, these strategies can help build resilience, confidence, and preparedness even in uncertain times.

In Conclusion

The 2025 Allianz Retirement Study makes it clear: a majority of Americans—and MSC Industrial Direct employees among them—see the threat of running out of money as more frightening than death. Rising inflation, health care spending, and uncertainty around Social Security are central drivers. Fewer are taking direct action through planning conversations or boosted contributions.

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Yet there is opportunity. The IRS now permits catch‑up 401(k) contributions of up to $11,250 for those aged 60–63 in 2025—above the standard limit. For many, this is a practical way to fortify resources in those final working years.

A Final Thought

Think of retirement like a long sea voyage. Death may be the storm ahead, but empty savings are the leak that can sink the ship first. According to the Allianz study, 64% of Americans fear that leak more than the storm. For MSC Industrial Direct employees, the goal is to build a well-structured plan—with consistent income, planning for health costs, and tax awareness—that can keep the vessel afloat for the long haul.

Sources:

1. Allianz Life Insurance Company of North America, ' How Americans feel about retirement in 2025 ,' by the Allianz Center for the Future of Retirement ^TM , June 2025.

2. businesswire, ' Americans Are More Worried About Running Out of Money Than Death ,' April 22, 2025.

What type of retirement plan does MSC Industrial Direct offer to its employees?

MSC Industrial Direct offers a 401(k) retirement savings plan to its employees.

How can employees at MSC Industrial Direct enroll in the 401(k) plan?

Employees at MSC Industrial Direct can enroll in the 401(k) plan through the company’s HR portal or by contacting the HR department for assistance.

Does MSC Industrial Direct offer matching contributions to the 401(k) plan?

Yes, MSC Industrial Direct offers a matching contribution to the 401(k) plan, which helps employees grow their retirement savings.

What is the vesting schedule for the 401(k) matching contributions at MSC Industrial Direct?

The vesting schedule for matching contributions at MSC Industrial Direct typically follows a graded vesting schedule, which means employees earn ownership of the contributions over time.

Can employees at MSC Industrial Direct contribute to their 401(k) on a pre-tax basis?

Yes, employees at MSC Industrial Direct can make pre-tax contributions to their 401(k) plan, reducing their taxable income.

What is the maximum contribution limit for the 401(k) plan at MSC Industrial Direct?

The maximum contribution limit for the 401(k) plan at MSC Industrial Direct follows the IRS guidelines, which are updated annually.

Are there options for Roth contributions in MSC Industrial Direct's 401(k) plan?

Yes, MSC Industrial Direct offers employees the option to make Roth contributions to their 401(k) plan, allowing for tax-free withdrawals in retirement.

What investment options are available in MSC Industrial Direct's 401(k) plan?

MSC Industrial Direct's 401(k) plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles.

How often can employees at MSC Industrial Direct change their 401(k) contribution amounts?

Employees at MSC Industrial Direct can change their 401(k) contribution amounts at any time, subject to the plan's guidelines.

What resources does MSC Industrial Direct provide to help employees understand their 401(k) options?

MSC Industrial Direct provides educational resources, including workshops, online tools, and access to financial advisors to help employees understand their 401(k) options.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Name: MSC Industrial Direct Retirement Plan Years of Service Requirement: Typically 5 years Age Requirement: Generally 65 years old for full benefits Pension Formula: Based on average salary and years of service Name: MSC Industrial Direct 401(k) Savings Plan Eligibility: Immediate upon hire

Restructuring and Layoffs: MSC Industrial Direct announced a series of cost-cutting measures in early 2024, including a significant reduction in its workforce. The company has been facing challenges due to fluctuating demand in the industrial sector and increased competition. This restructuring is part of a broader strategy to streamline operations and improve financial stability. Sources: Business Wire, Reuters. Benefits and Pension/401(k) Changes: Alongside workforce reductions, MSC Industrial Direct is also revising its employee benefits package. Changes include adjustments to retirement benefits and a potential overhaul of its 401(k) matching contributions

Description: MSC Industrial Direct offers stock options as part of its employee compensation package. Employees in senior management and certain key roles are eligible for these options. Description: Restricted Stock Units (RSUs) are granted to executive officers and select high-performing employees. The RSUs vest over a period of time, typically tied to performance or tenure.

Health Benefits Overview: MSC Industrial Direct provides a comprehensive health benefits package, including medical, dental, and vision insurance. They also offer health savings accounts (HSAs) and flexible spending accounts (FSAs). Specific plans and coverage options can vary based on employee location and job role.