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House Passes Comprehensive Retirement Savings Bill

By Alex Padalka May 24, 2019

The U.S. House of Representatives has passed sweeping legislation aimed at improving Americans’ retirement security.

House Ways and Means Committee Chairman Richard Neal, D-Mass., Rep. Ron Kind, D-Wis., ranking member Kevin Brady, R-Texas, and Rep. Mike Kelly, R-Penn., introduced the Setting Every Community up for Retirement Enhancement (SECURE) Act of 2019 at the end of March.

The bill includes a series of measures that have been introduced separately in the past, such as establishing tax-favored multiple-employer retirement plans; raising the age limit for IRA contributions as well as on the required minimum distributions from IRAs; and lowering the number of hours contract employees must work to qualify for their companies’ pension plans.

“Americans face a retirement crisis of too little savings amplified by existing barriers that discourage and hamper the ability of small employers to offer a workplace retirement plan,” Wayne Chopus, president and CEO of the Insured Retirement Institute, says in a statement. “Today’s vote demonstrates how Congress can work together on a bipartisan basis to advance common-sense solutions to help retire the retirement crisis.”

The Financial Services Institute has also praised the bill’s passage in a statement.

The SECURE Act has received support from at least three dozen other companies and industry and consumer groups, including Sifma, the National Association of Insurance and Financial Advisors, the AARP, MassMutual, AIG and the Girl Scouts of America and the Boy Scouts of America, according to IRI.

The Senate, meanwhile, has filed to consider the SECURE Act under an unanimous consent agreement, which could lead to its passage today if no Senator objects, an IRI spokesman tells FA-IQ in a statement.