Obama Proposes Middle-Class Tax Breaks

In his penultimate State of the Union address, President Barack Obama on Tuesday night announced wide-ranging proposals he said would improve the economic prospects of the middle class, including helping families pay for college and child care, while giving more workers access to retirement plans. To help pay for these expanded benefits, the president also wants to increase the taxes paid on inherited assets of higher-income households. Many agree that it’s a long shot the president will get his wish list — …

Illinois Is First State With New Savings Plan for Workers

Illinois will become the first state with a broad-based effort to automatically enroll private-sector employees without retirement plans into a new savings program. Gov. Pat Quinn signed legislation on Sunday that creates the Illinois Secure Choice Savings Program. Employers with at least 25 workers and no retirement plan will be required to offer employees the option of enrolling in Secure Choice, which allows employees to invest in a Roth IRA through payroll deduction. Employees can decline. “This turnkey program will make it …

More New Retirement Account Proposals

Americans are way short in their retirement savings, and President Obama’s MyRA plan, which he unveiled last week, isn’t the only new proposal that aims to help with that problem. Sens. Susan Collins, R-Maine, and Bill Nelson, D-Fla., also offered a savings plan. Sen. Tom Harkin, D-Iowa, has one of his own, which follows a report he released last summer. Of these three proposals, Harkin’s is the most ambitious. His Universal, Secure and Adaptable (USA) Retirement Funds would create a …

MyRA – Thumbs Up or Thumbs Down?

A day after President Barack Obama gave the go-ahead for the Treasury Department to create a “starter” savings account, experts are weighing whether it will be worthwhile or just another ignored investment tool. Critics note, for instance, that the so-called myRA will do little to overcome the huge shortfall in retirement savings among so many workers. The conservatively invested accounts, though they won’t lose money, won’t make much of a return, either. And the myRA is voluntary, so it’s unclear …

Obama’s MyRA Gets Early Go Ahead

President Barack Obama is moving quickly to make good on his pledge to create a new “starter” savings program for workers without a retirement plan on the job. He announced in his State of the Union speech Tuesday night that he would use his executive authority to establish a so-called myRA (my retirement account) that would allow workers to direct a portion of their pay into an account that invests in government securities. On Wednesday afternoon, he signed a presidential memorandum to …