Retirement is one of those milestones that everyone typically reaches in life, and this year over 50 million people are contemplating getting there sooner than expected. However with 401k’s and IRA’s increasing due to economic swings, things could get rather interesting. The pandemic has been front and center over the past two years, while debates range from who should stay at the office to which employees are better suited for remote work. For those that remain, while having little to no retirement savings, Congress is aiming to create some big changes.
The new economic stimulus bill is still taking shape and The Ways and Means Committee is putting retirement savings ahead of the pack. What does that mean for your 401k and Individual Retirement Accounts? The Savers Credit has traditionally only been non- refundable, would potentially give workers up to an extra $2,000 in their pockets if the bill passes. For those who don’t currently have accounts due to partial employee benefits packages, employers would be required to get on board. Any way you slice it, that’s more money for retirees to come as well as people still contemplating when to leave the workforce.
