Retirement Planning

401k Savings Plans – Major Boost In New Retirement Bill [Video]

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401k Savings Plans – Major Boost In New Retirement Bill

401k Savings Plans – Major Boost In New Retirement Bill: Under a proposed plan, Americans would save more money for retirement by increasing the amount they can put into their 401k plans. The change would also make it possible for people to keep their money in these accounts for a more extended period.

The Secure Act 2.0 was passed by a vote of 414 to 5. This bill will raise the contribution limits for older employees and let businesses offer workers a little money as a reward for registering for the retirement plan. This bipartisan procedure would build on the retirement-policy changes made in 2019. These changes raised people’s age to start withdrawing money from their pension from 70.5 to 72.

If the expense is passed by the Senate and becomes a law, the age for getting a pension will increase over the next decade to 75 years old. This would also be good for the financial services industry because it usually charges people based on how big their pension is. Senators are likely to consider changing this expense, and they might add it to a more important bill later this year.


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Retirement Planning

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Retirement Planning

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