Effective Advocacy Means Constant Vigilance Federal

Bipartisan retirement planning legislation overwhelmingly passed by the House of Representatives, commonly known as the SECURE Act 2.0, would create incentives for employers to create and enroll employees in workplace retirement plans. It also would create greater flexibility for workers who contribute to the plans.

NAIFA has long advocated for many of the SECURE 2.0 provisions aimed at simplifying and encouraging the establishment of retirement savings plans, including:

• An automatic enrollment requirement for 401(k) and 403(b) plans

• A phased-in increase in the age when required minimum distributions (RMDs) begin (from current law age 72 to age 75 by 2033)

• An increase in catch-up Roth IRA contribution limits for people aged 62, 63 and 64, to $10,000, indexed

• The ability to count employer-paid student loan payments as plan contributions

• Authority for 403(b) plans to participate in MEPs (and PEPs), and an enhanced start-up credit for plans that join a MEP or PEP

• Greater ability for plans to offer lifetime payment options by removing barriers to the use of annuities, including longevity annuity benefits and insurance-focused ETFs NAIFA members made SECURE 2.0 a key topic of discussion in meetings with Senators at NAIFA’s Congressional Conference. NAIFA has a history of grassroots advocacy success in this area. The original SECURE Act retirement legislation, which NAIFA strongly supported, passed the Senate and was signed into law just several weeks after NAIFA grassroots advocates promoted the legislation during meetings with lawmakers on Capitol Hill.