Who Will Benefit When Washington Addresses Retirement Security?
Washington leaders are getting serious about retirement security. In 2019, the SECURE Act got the ball rolling on Capitol Hill for the first time in 13 years. The act gives more people, especially small businesses, more access to retirement security.
Now, policymakers are debating how to address barriers to long-term savings for retirement. These proposals can have a positive impact for:
- Student loan borrowers by allowing employers to make contributions to an employee’s 401(k) that match the employee’s student loan repayments.
- Part-time workers by decreasing the current requirement of time working for an employer from 500 hours part-time to two consecutive years for eligibility in their employer’s 401(k) plan.
- People nearing retirement by increasing the required minimum distribution age from 72 to 75 years of age, allowing workers to maximize their contributions to catch-up on retirement savings.
Even more ideas are on the table to help people save for retirement including low-income earners, military spouses, and institutionally disadvantaged savers.