Given its widespread popularity, lawmakers were quick to make a series of changes to a popular retirement product last year, and it looks like more is coming. There appears to be bipartisan support for the additions to the 2019 Security Act that attempted to increase retirement insurance. Both the House and Senate bills include changes that would remove the maximum amount in a qualifying lifetime pension contract. Previously it had a minimum ceiling of $135,000 or 25% of your retirement accounts. The Senate ruling also raises the minimum to $200,000. The new provisions also include automatic enrollment in 401(k) plans and student loan exchanges in existing 401(k) plans. The final part of the provisions is to increase catch-up contributions to existing 401(k) plans that can boost retirement savings.
finsum: One underappreciated aspect of the Biden administration is the expansion of savings for retirees across multiple income earners.
- the retirement
- retirement income
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