WASHINGTON — A Senate panel Wednesday reported out bipartisan legislation aimed at enhancing the ability of Americans to save for retirement.
Key provisions include one that would ease the ability of small firms to join with other firms in creating retirement plans by reducing duplicative filing, and a second that would encourage plan sponsors to include lifetime income products in their retirement plan offerings.
The legislation is the Retirement Enhancement and Savings Act of 2016.
It was lauded by two industry groups, the American Council of Life Insurers and the Insured Retirement Institute. It was reported out of committee by a 26-0 vote.
The bill "provides practical solutions for Americans' retirement security challenges," said Dirk Kempthorne, ACLI president and CEO.
Kempthorne noted that, "Every day between now and the year 2030, 10,000 people will reach age 65. American workers should have greater access to employer plans to help them save for their retirement. They need education about their savings and access to lifetime income solutions."
Cathy Weatherford, IRI president and CEO, said the legislation contains many of the same policy solutions that IRI has "long espoused" to enhance retirement security for millions of Americans.
She cited provisions that provide clear rules to plan sponsors to encourage the inclusion of lifetime income products in workplace plans, including a requirement that lifetime income estimates on retirement plan statements.
