Retirement Planning - Numerous Bills Signal Congress Means Business
Across the globe, governments, lawmakers and society in general are all beginning to realise that as human longevity increases, the need for action on retirement planning is becoming more crucial and a social imperative. Without action, America, along with much of the rest of the world, will soon see generations of people whose retirement years will be impoverished and where affording the basics in later life, such as housing and healthcare, will become a lifelong worry.
However, there are various bills currently doing the rounds in Congress that show there is serious intention to make big changes to retirement planning.
Retirement bills in Congress
A recent reintroduction of the Retirement Enhancement and Savings Act (RESA) bill* could mean sweeping expansion and enhancement of provisions to make tax-advantaged retirement saving a reality for more people in America.
Amongst the features that the House of Representatives will be voting upon are the expansion of auto-enrolment and the setting up of a scheme whereby small businesses could join together locally to offer retirement accounts and take on fiduciary duty.
In the meantime, the SECURE Act (Setting Every Community Up for Retirement Act)** is also awaiting a vote and includes a set of modifications to 401(k) plans alongside changes to retirement planning provision to help those who often find themselves on the margins of traditional retirement saving vehicles.
Bipartisan support signals change is ahead
Some commentators believe the SECURE bill does not constitute an earth-shattering change to retirement planning provision in the United States, but the bipartisan support for both the SECURE and RESA bills has led many to believe that Congress is finally taking retirement planning for the masses seriously. And we haven't even mentioned the Retirement Security and Savings Act (dubbed the Portman-Cardin bill) or the stand-alone student loan proposal known as the Sen. Wyden bill.
Suffice to say, it is widely hoped that retirement savings will take greater precedence in current US politics and the legislature and that all workers and residents of the US will be able to benefit.
Blacktower is on hand to help expats in the US understand their options
The bottom line is that many Americans do not fully understand the retirement planning options open to them and the advantages and pitfalls of each. So, as an expat in the US or an American abroad, understanding how best to continue your retirement planning strategy while staying abreast of all reporting and tax liabilities can be a considerable conundrum.
Here at Blacktower we can review your financial circumstances in order to help you make the most of all options available to you as well as help you manage your wealth in the most appropriate way for you and your family.
Contact Blacktower today for a no-obligation financial review so that we can help you with a retirement planning strategy that's the right fit for you.
* https://www.congress.gov/bill/115th-congress/senate-bill/2526 Accessed 23-05-19
**https://waysandmeans.house.gov/sites/democrats.waysandmeans.house.gov/files/documents/SECURE%20Act%20section%20by%20section.pdf Accessed 23-05-19