Required minimum distributions from qualified retirement plans and IRAs would be waived for taxpayers who reach age 70½ with plans balances of $50,000 or less.
What the bill doesn’t contain will be fodder for fresh lobbying from the financial services industry, especially the insurance industry, going forward.
“We urge Congress to support additional reforms that would make it easier for small employers to offer annuities in their retirement plans, “said the ACLI’s Neely. Annuities can provide guaranteed lifetime income and can help employers offer a plan that to some extent resembles a traditional pension that guarantees a paycheck for life to a retiree, she said.
“ACLI also urges adoption of a provision that would ensure all workers receive an illustration of how their retirement savings translates into monthly income,” Neely said.