Example of Future Cash Flow & Value Analysis

Issue #2: Younger people in your organization will not embrace employee ownership with the same enthusiasm as the 45+ age group.

Why It’s Important

Employee ownership is a wonderful advantage for ESOP employees.

Employees embrace ESOP in varying ways. People who have an occasional thought about retirement embrace it.

Younger people don’t think about retirement, and they often find ESOP to be distant and not particularly meaningful. Like age, cultural issues can impact level of embrace.

Framework to Respond

• An ESOP is a defined contribution retirement plan but positioning it as such to employees will not resonate with a large portion.

Instead consider messaging:

• The meaningfulness of “ownership”

• The “free money” aspect of ESOP

• Wealth accumulation via ownership