Trump announces new retirement accounts for Americans without 401(k) plans. Here's what to know.
CBS News • • business
Key Points:
- President Trump proposed creating new retirement accounts for the 56 million Americans without employer-sponsored savings plans, modeled after the federal Thrift Savings Plan, with government matching contributions up to $1,000 annually.
- The plan aims to address the "gross disparity" in retirement savings access, as half of working Americans lack employer matching, leaving many unlikely to save adequately for retirement.
- The proposal builds on the Secure Act 2.0, which includes a Savers Match program for low- to moderate-income workers, and would offer portable accounts that follow workers between jobs, potentially funded also by private philanthropists.
- Experts generally welcomed the focus on expanding retirement access but noted challenges, including limited participation among low-income workers and concerns about funding
