Congress Could Vote On Changes To Retirement System in 2022

Lawmakers in Washington say they could vote this year on proposed changes to our nation's retirement system. There's bipartisan backing for bills in both chambers of Congress. The one gaining some traction was passed by a House committee in November. It's called the RISE Act. The bill would gradually push back when required minimum distributions (or RMD’s) from retirement accounts must begin to age 75. Financial expert and author of Good Money Revolution Derrick Kinney says another proposal is likely to appeal to employers.

“Employers could actually make contributions to the 401(k) accounts to employees who are paying off student debt,” Kinney said. “Almost as an incentive for them to pay off student debt while still getting their retirement funds.”

He says you're more likely to hear lawmakers talking about that proposal in particular, as student debt remains a hot button political issue.

“In a labor market where people can go almost anywhere, anytime, this is a way for employers to step up and say, ‘We are committed to you’. It’s going to be a way to help retain some of those higher quality employees,” Kinney explained.

However, there's no set timetable on when Congress might take up the RISE Act or similar bills.

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