U.S. Sens. Rob Portman (R-OH) and Ben Cardin (D-MD) recently introduced the Retirement Security & Savings Act, which would strengthen retirement security while addressing four major opportunities in the existing retirement system.
The legislation would specifically allow people who have saved too little to set more aside for retirement; help small businesses offer 401(k)s and other retirement plans; expand access to retirement savings plans – including low-income Americans without coverage; and provide more certainty and flexibility during retirement years.
“This bipartisan legislation includes sweeping reforms to help Americans save more for retirement by allowing people who have saved too little to set more aside for their retirement, helping small businesses offer 401(k)s and other retirement plans, expanding access to retirement savings plans for low-income Americans without coverage, and providing more certainty and flexibility during Americans’ retirement years,” Portman said. “Many Americans’ 401(k)s have grown significantly in the last year, but many Americans with low incomes have struggled during the pandemic through the loss of jobs, and as a result, their retirement security has taken a hit.”
Under the Saver’s Credit and other provisions, the measure focuses on retirement plan expansion access for low-income Americans, Portman said.
“Americans need to save more so they can retire with the dignity and stability they deserve,” Cardin said. “It’s an ongoing struggle, especially during the pandemic when millions of Americans were without work for months, or longer and small businesses struggled to make ends meet. We have an opportunity to make this process simpler and more beneficial to families and workers. There is strong bipartisan momentum to strengthen our retirement system and ensure Americans can achieve post-work financial stability.”