SAVING FOR THE FUTURE

Obama Wants to Expand Retirement Plans

Pushes businesses to make 401(k)s more accessible.

President Obama on Tuesday unveiled new rules that would make it easier for 30 million American workers to access retirement savings. The plan, which Obama will propose in the 2017 budget he’ll submit to Congress next month, includes offering tax credits to small businesses that automatically enroll employees in a 401(k)-style retirement plan. The proposal would require businesses with existing plans to offer the option to long-term, part-time workers who work 500 hours a year for three years and would also make it easier for companies to pool their retirement plans to reduce expenses by creating multiple employer plans. The plan would also give millions of U.S. employees a tax cut by allowing them to defer taxes on their retirement savings.