Bipartisan Effort on Retirement Savings Legislation Would Benefit Millions of Workers
Washington, DC – Today brought good news to millions of Americans seeking to build more secure retirements, as the House Ways and Means Committee advanced the bipartisan Securing a Strong Retirement Act of 2021. This legislation builds on the bipartisan Setting Every Community Up for Retirement Enhancement (SECURE) Act, whose provisions were included in a budget deal at the end of 2019.
“Passing the SECURE Act was a major achievement in helping Americans save for retirement,” said Shai Akabas, director of economic policy at the Bipartisan Policy Center. “But much work remains to be done. This new legislation is an important next step towards solving a pressing financial challenge for American workers.”
SECURE 2.0, as it’s often called, mirrors several provisions recommended by BPC’s Commission on Retirement Security and Personal Savings, including enhancing the saver’s credit, increasing automatic enrollment into retirement plans, exempting many retirement savers from required minimum distributions, and facilitating lifetime income tools. It also represents a continuation of the productive relationship between Committee Chairman Richard Neal (D-MA) and Ranking Member Kevin Brady (R-TX).
“Chairman Neal and Ranking Member Brady’s work on retirement security models Washington as its best—leaders collaborating across the aisle to solve common challenges facing Americans,” said Akabas. “Their bipartisan leadership on retirement policy has helped numerous workers. And, with legislation like this bill, it will continue to help many more.”
Saving for retirement consistently ranks as Americans’ top financial worry. With reserves in Social Security’s trust fund dwindling, life expectancies generally increasing, and health care costs rising, policymakers must remain focused on these critical issues. Akabas concluded, “The bill that advanced today is an important step, but it cannot be the last one. I hope this promising legislation will continue to be refined and improved as it advances toward passage, and I look forward to future bipartisan efforts that buttress the financial security of the American people.”