If you want to see a template for the retirement plan of the future, check out the Secure Choice Savings Program enacted by the Illinois legislature in December.
Starting in 2017, all Illinois businesses with 25 or more employees must either: 1) offer a company-sponsored retirement savings plan; or 2) automatically enroll all workers age 18+ in a Roth IRA account within the state-sponsored plan.
The default automatic enrollment percentage will be 3% of salary, and the default investment choice is a target-date fund. Employees can opt-out of participation or actively choose other investment options. Neither the state of Illinois nor individual employers are required to fund costs of the program. (Administrative expenses will be passed through to participants.)
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
