Oregon is attempting to follow in the footsteps of Massachusetts and California by passing a bill that could pave the way for a state-based retirement savings plan for private-sector workers based on the automatic IRA.
The Oregon House of Representatives passed a bill this month to form a taskforce to explore the state’s options for helping private-sector workers who don’t have access to retirement plans at work to save for retirement.
House Bill 3436 is waiting for the governor’s signature. If it is signed, the Oregon Retirement Savings Task Force will develop recommendations for increasing the percentage of Oregonians saving for retirement or enrolled in a retirement plan, and for increasing the amount of those individual savings.
The bill requires the seven-member group to investigate the access state residents have to employer-sponsored retirement plans and individual retirement products and the types of retirement products available in the state.
The task force also will need to estimate the average amount of savings and other financial resources residents of the state have upon retirement and the level of reliance retired residents have on public assistance benefits as a result of insufficient retirement savings.
The task force also must explore the different tax incentives offered in the state to encourage retirement savings and the types of marketing strategies the state could use to encourage businesses to offer plans or for workers to participate in a retirement savings plan.