CHICAGO, Dec. 6 /PRNewswire-FirstCall/ -- As you make your 2008 New Year's resolutions, put retirement readiness at the top of your list, says Aon Consulting Worldwide, the global human capital consulting organization of Aon Corporation (NYSE: AOC). According to Aon Consulting's 2007 Benefits and Talent Survey, 62 percent of employers expect that at least half of their workforce will not have enough income to retire between the ages of 62 and 65. Being proactive now can help you stay on track for retirement.

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"Unlike traditional pension plans, we are individually responsible for controlling our 401(k) plan contributions and investments," said Susan Alford, executive vice president and National Defined Contribution Practice Leader with Aon Consulting. "But most of us have not saved enough or invested sufficiently to retire by age 65, which forces us to retire without adequate income or continue working past the age we originally planned. That is why it is of the utmost importance to review your 401(k) plan on a regular basis, so you can make the necessary changes to be ready to retire on time and with the sufficient amount of income."

Some resolutions may be harder to keep than others, so the following are tips for making and keeping your retirement readiness New Year's resolution.

Be informed and disciplined:

Preparing for retirement involves many moving parts, so it is important to be organized. Make this process as painless as possible by gathering information about all of your assets intended for retirement inside and outside the 401(k) plan. Then, create a spreadsheet that contains the list of assets, where they are held, the number of units or shares, and the value as of Jan. 1, 2008. Update this spreadsheet quarterly, as it will act as a valuable reference when using your plan's financial planning tools.

Use the 401(k) tools available:

Use your new spreadsheet to input information into your 401(k) plan's financial planning tool, which projects how much income you will need at retirement and how much you need to contribute regularly to meet that goal. If your 401(k) plan allows Roth 401(k) contributions, use the Web site to determine whether making contributions on this basis is right for you.

Take action NOW:

If possible, increase your contributions, especially if you are contributing less than the amount your plan matches. How do you know how much more you can contribute? Set aside an additional percent of your pay for several pay periods to see if you can live without that amount. For example, if your take-home pay is $480, set aside 1 percent -- or $4.80 -- for the next several pay checks. If you can manage without that amount, then you know you can easily increase your contribution by 1 percent. (Remember, if you are contributing on a pre-tax basis, your take-home pay will be reduced by less than $4.80, as in the example). Do this periodically, and you will quickly increase your contribution rate by more than you thought possible. Also take advantage of features such as automatic deferral increases, which take care of any inertia you might have by letting the plan do the work, and/or catch-up contributions, which allow plan participants age 50 or older to contribute an additional $5,000.

Understand plan fees:

It is important to understand what fees are being charged to your account because, over time, these fees can lower the amount that you will have available for retirement. As a result of pending regulatory changes, better information is increasingly available. However, you should pay attention and discuss with your plan administrator if you either do not understand what you are being charged or think that the charges are unreasonable.

Leave the money in the plan:

Avoid taking in-service withdrawals and loans to pay for short term needs, such as holiday gifts or other purchases, as doing so will require you to pay income taxes on withdrawals and penalties if you are not at least 59 1/2 years old. Loan repayments are made in after-tax dollars, the interest on the loan payment is generally not tax deductible, and you will be taxed on the interest paid when you eventually take a distribution.

Understand your investments:

Be informed and make sure you understand the investments offered in your 401(k) plan, as well as the plan provisions, such as knowing the maximum deferral amount allowed in your plan and what percentage of your deferrals are matched. Know your retirement plans and income needs based on your individual circumstances. Additionally, if your family status has changed, be sure to check your beneficiary information and make appropriate changes. Know where to go for help whether it's the plan's Web site, hotline or employee communications.

Make your investments work for you:

Check your asset allocation to make sure you have a diversified retirement portfolio with a mix of investments that matches your desired needs and goals. A diversified portfolio has characteristics of fixed income, stable value and equity. If you are unsure how to invest, seek investment guidance by using the financial planning tools available on your plan's Web site or designated call center. Consider using target-date asset allocation funds or life cycle funds if available. These funds automatically allocate assets among a variety of investment types, reduce equity exposure (risk) as they near the target date, and rebalance your portfolio for you.

Be prepared:

The goal of retirement planning is to replace income that is lost at retirement. Just how much you need depends on factors such as how long you live after retirement, how much inflation will increase your cost of living after retirement, and what rate of investment return your savings will produce. As you prepare for semi or full retirement, understand the stream of income you need and plan accordingly, and understand your rollover options. No matter how daunting or complicated this process may seem, you are responsible for your 401(k) and taking control over the outcome will ensure you are ready to retire on the date you have planned. Also, consider using an independent financial planner to confirm your retirement goals, and design a road map for action to get there.

About Aon

Aon Corporation (NYSE: AOC) is the leading global provider of risk management services, insurance and reinsurance brokerage, human capital and management consulting, and specialty insurance underwriting. Through its 43,000 professionals worldwide, Aon readily delivers distinctive client value via innovative and effective risk management and workforce productivity solutions. Our industry-leading global resources, technical expertise and industry knowledge are delivered locally through more than 500 offices in more than 120 countries. Aon was ranked by A.M. Best as the number one global insurance brokerage in 2007 based on brokerage revenues, and voted best insurance intermediary, best reinsurance intermediary, and best employee benefits consulting firm in 2007 by the readers of Business Insurance. For more information on Aon, log onto http://www.aon.com/.

About Aon Consulting

Aon Consulting Worldwide (http://www.aon.com/hcc) is among the top global human capital consulting firms, with 2006 revenues of $1.282 billion and 6,500 professionals in 117 offices worldwide. Aon Consulting is shaping the workplace of the future through benefits, talent management and rewards strategies and solutions. In 2006 and 2007, Aon Consulting was named the best employee benefit consulting firm by the readers of Business Insurance magazine.

(1) Roth 401(k) contributions are funded with after-tax dollars, while the
      traditional 401(k) is funded with pre-tax dollars. The Roth 401(k)
      offers the advantage of a tax free distribution if paid after a
      five-year waiting period and meets one of the following after age 59
      1/2: death or disability.

   Media Contacts:
   Sara Carlson                       Joe Micucci
   312-381-5045                       312-381-4786
   sara_carlson@aon.com               joe_micucci@aon.com

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SOURCE: Aon Corporation

CONTACT: Sara Carlson, +1-312-381-5045, sara_carlson@aon.com, or Joe
Micucci, +1-312-381-4786, joe_micucci@aon.com, both of Aon Corporation

Web site: http://www.aon.com/