Rep. Smucker Joins President Trump for Signing of Executive Order on Expanding Access to Retirement Benefits

WASHINGTON - On Thursday, Rep. Lloyd Smucker (PA-11) joined President Donald J. Trump for the signing of an executive order to expand access to retirement benefits for Americans.

The order will direct the Treasury Department to launch a website where workers without employer retirement plans can find and enroll in private IRA options.

"I am grateful to see President Trump take action to expand access to savings and wealth-building opportunities for hardworking Americans who lack employer-sponsored retirement plans,"said Rep. Smucker. "This is an important step toward helping millions retire with dignity. Americans deserve modern, accessible tools to build financial stability for the future. I thank the President for his commitment to supporting working Americans and I urge my colleagues in Congress to build on this effort - including through proposals like the Retirement Savings for Americans Act - to make retirement a reality for the millions of Americans who have worked hard to keep our country running."

Rep. Smucker reintroduced the Retirement Savings for Americans Act(RSAA), a bipartisan, bicameral bill to improve retirement security for working Americans and establish a new program that gives eligible workers access to portable, tax-advantaged retirement savings accounts and permits contribution matches from the federal government for low- and middle-income workers.

The legislation was introduced in the House by Reps. Lloyd Smucker (R-PA-11) and Terri Sewell (D-AL-7), and in the Senate by Sens. John Hickenlooper (D-CO) and Thom Tillis (R-NC).

Rep. Smucker and lawmakers have worked closely with the National Economic Council and Director Kevin Hassett to develop legislation to support retirement opportunities for American workers since 2021.

Full text of the bill is available HERE and a one-page explainer of the bill HERE.

Background:

Rep. Smucker is the lead sponsor of the bicameral, bipartisan Retirement Savings for Americans Act, which includes the following provisions:

1. Eligibility and Auto Enrollment: Full- and part-time workers who lack access to an employer-sponsored retirement plan would be eligible for an account, and they would be automatically enrolled at 3% of their income. They could choose to increase or decrease their withholding, or opt out entirely at any time. Independent workers (including gig workers) would also be eligible.
2. Federal Contribution: Low- and moderate-income workers would be eligible for a 1% automatic contribution (as long as they remain employed) and up to a 4% matching contribution via a refundable federal tax credit. This would begin to phase out at median income.
3. Portability: Accounts would remain attached to workers throughout their lifetimes, and workers would be able to stop and start contributions at will.
4. Private Assets: The accounts would be the property of the worker and the assets could be passed down to future generations to help them build wealth and financial security.
5. Investment Options: Much like the current Thrift Savings Plan, participants would be given a menu of simple, low-fee investment options to choose from, including lifecycle funds tied to a worker's estimated retirement date, or index funds made of stocks and bonds.

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