President Donald Trump used his State of the Union address Tuesday night to outline a new federal matching program for workers who do not have access to an employer-sponsored retirement plan, signaling another push to widen participation in markets ahead of November’s midterm elections.
As reported by Axios, the proposal would give tens of millions of Americans the option to enroll in an account modeled on the Thrift Savings Plan available to federal employees, with a federal matching contribution for eligible savers. The initiative is targeted at workers who lack a 401(k) or similar workplace plan and currently must take the extra step of opening an IRA on their own.
Trump said his administration would give “often forgotten American workers … access to the same type of retirement plan offered to every federal worker.” He added: “We will match your contribution with up to $1,000 each year, as we ensure that all Americans can profit from a rising stock market.”
Read the entire article: Trump’s latest retirement plan pitch to extend 401(k)-style match to uncovered workers – InvestmentNews