Responsible Legislating Act

Key Points

• Most new retirement plans would be required to automatically enroll workers at a starting contribution rate of 3 to 10 percent, with annual increases of 1 percentage point up to 15 percent. Small businesses with 10 or fewer employees, new businesses under 3 years old, and government or church plans are exempt.
• Employers could match workers' student loan payments with retirement contributions, treating those payments like regular retirement deferrals. This helps people save for retirement even while paying off education debt.
• Federal law enforcement officers, firefighters, air traffic controllers, and other first responders injured on the job could keep their enhanced retirement benefits even after transferring to a desk position. This applies to employees under both the older CSRS and newer FERS retirement systems, as well as CIA and Foreign Service employees.
• The age when retirees must begin taking required minimum distributions from retirement accounts would gradually rise from 72 to 75 by 2035. The penalty tax for missing required distributions would drop from 50 percent to 25 percent, with a further reduction to 10 percent for quick corrections.
• A new online database called the Retirement Savings Lost and Found would help people track down old retirement accounts and their plan administrators. The Department of Labor would build and manage this searchable tool within two years of enactment.
• The bill increases criminal penalties for human trafficking and coercion of minors near schools, adds up to 5 extra years in prison for offenses in school zones, and creates a commission to study a National Museum of Asian Pacific American History and Culture.

Votes

No votes have been recorded for this legislation yet.