Rep. Rick Allen Champions Bipartisan Retirement Bill

Press Release

Congressman Rick W. Allen (GA-12) released the following statement after voting for legislation to update America's retirement system:

"In today's political environment, it's tough to find areas in which we can work together, but I am proud to be part of this bipartisan effort to ensure Americans can retire with dignity and security," Congressman Allen said. "This bill includes smart reforms to make it easier to save and equip retirees for financial success. Especially in a time of rising prices and high inflation, we must do all we can to ensure that workers are entering into retirement with enough savings to provide for their future."

Congressman Allen also spoke on the House Floor in support of H.R.2954, the Securing a Strong Retirement (SECURE) Act of 2022.

Background:

As Lead Republican on House Education and Labor Committee's Health, Employment, Labor and Pensions Subcommittee, which has jurisdiction over employer-sponsored retirement benefits, Congressman Allen introduced the RISE Act with Chairman Scott, Ranking Member Foxx, and Subcommittee Chair DeSaulnier.

The SECURE Act of 2022 integrated the RISE Act into the bill, making it a comprehensive effort to reform America's retirement systems by:

· Creating new tax credits to encourage small employers to offer retirement plans and for small business employee stock ownership plans (ESOPs)

· Raises the age to 75 for required minimum account distributions so Americans don't have to start withdrawing funds before they are ready

· Allows for late-career workers to contribute a larger amount to catch up on their retirement saving, doubling from $5,000 to $10,000 per year

· Enables employers to make matching contributions towards an employee's retirement plan, while the employee pays down their student loans, so they aren't falling behind on saving for retirement

· Strengthens the ability for military families to save by providing a tax credit for small employers that make plan benefits more available to military spouses

· Establishes an online, searchable "Retirement Lost and Found" database at the Department of Labor to help workers locate their hard-earned employer-sponsored retirement savings as they move from job to job.

· Allows 403(b) retirement plans, utilized by charities, educational institutions, and non-profits, to participate in multiple employer plans and pooled employer plans.

· Ensures more part-time workers are offered opportunities to join retirement savings plans.

· Clarifies rules regarding the recovery of inadvertent overpayments to retirees, minimizing hardships.

· Enables employers to provide small financial incentives, such as low-dollar gift cards, to incentivize workers' participation in retirement plans.

· Simplifies and clarifies reporting and disclosure requirements related to retirement plans.

Source