In July 2017 Oregon began rolling out their OregonSaves program - essentially an auto-enrollment Roth IRA for employees who are not covered by employer-sponsored retirement plans. The plan has a 5% default contribution rate, which by default increases by 1% per year until it reaches 10%. Employees can choose to change that rate or opt out of the plan entirely. The first $1,000 of contributions is essentially kept in cash, while further contributions go into a target-date fund. Anek Belbase and Geoffrey Sanzenbacher at the Center for Retirement Research at Boston College recently took a look at how the plan is doing (e.g., how many potential participants actually participated, how many decided to increase or decrease the default contribute rate, etc.). It's interesting reading about what might end up being a prototype for similar programs in other states.
Other Recommended Reading
Thanks for reading! What is the Best Age to Claim Social Security?Read the answers to this question and several other Social Security questions in my latest book:
Disclaimer:Your subscription to this blog does not create a CPA-client or other professional services relationship between you and Mike Piper or between you and Simple Subjects, LLC. By subscribing, you explicitly agree not to hold Mike Piper or Simple Subjects, LLC liable in any way for damages arising from decisions you make based on the information available herein. Neither Mike Piper nor Simple Subjects, LLC makes any warranty as to the accuracy of any information contained in this communication. I am not a financial or investment advisor, and the information contained herein is for informational and entertainment purposes only and does not constitute financial advice. On financial matters for which assistance is needed, I strongly urge you to meet with a professional advisor who (unlike me) has a professional relationship with you and who (again, unlike me) knows the relevant details of your situation. You may unsubscribe at any time by clicking the link at the bottom of this email (or by removing this RSS feed from your feed reader if you have subscribed via a feed reader).
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. Archives
January 2019
Categories |