The U.S. Senate is expected to unveil its tax reform package today — could Rothification resurface?
It seems (highly) unlikely, but a group of 15 Senate Democrats (and one independent who caucuses with the Democrats) has written to Senate Finance Committee Chairman Orrin Hatch (R-UT) and Ranking Member Ron Wyden (D-OR), urging the committee to “protect existing tax incentives that promote retirement savings” and cautioning that “changes to the existing system, particularly so-called ‘Rothification’ … threaten the ability of the middle class to save for retirement” and calling such a change “unacceptable.”
The letter cites a recent report by Pew Charitable Trusts that claims that 73% of eligible workers making between $25,000 and $49,999 participate in an employer-sponsored retirement plan, when such a plan is offered. Additionally, they cite the recent report from the nonpartisan Employee Benefit Research Institute (EBRI) which found that, regardless of income level, participating workers making $10,000 per year or more contribute an average of at least $2,700 to their accounts.
“We urge you to reject any legislation that would harm the incentives on which Americans rely today to save for retirement,” the letter closes.
It seems (highly) unlikely, but a group of 15 Senate Democrats (and one independent who caucuses with the Democrats) has written to Senate Finance Committee Chairman Orrin Hatch (R-UT) and Ranking Member Ron Wyden (D-OR), urging the committee to “protect existing tax incentives that promote retirement savings” and cautioning that “changes to the existing system, particularly so-called ‘Rothification’ … threaten the ability of the middle class to save for retirement” and calling such a change “unacceptable.”
The letter cites a recent report by Pew Charitable Trusts that claims that 73% of eligible workers making between $25,000 and $49,999 participate in an employer-sponsored retirement plan, when such a plan is offered. Additionally, they cite the recent report from the nonpartisan Employee Benefit Research Institute (EBRI) which found that, regardless of income level, participating workers making $10,000 per year or more contribute an average of at least $2,700 to their accounts.
“We urge you to reject any legislation that would harm the incentives on which Americans rely today to save for retirement,” the letter closes.
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