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The Retirement Savings for Americans Act

Increased Access, Worse Retirement Outcomes Overall

The recently introduced Retirement Savings for Americans Act (RSAA) proposes the creation of a national retirement savings plan available to all Americans, including those that do not have access to defined contribution plans through their employer. Full and part-time workers without access to an employer-sponsored retirement plan would be automatically enrolled in a retirement account at a 3% savings rate.  In this analysis, our researchers examine the potential outcomes of the implementation of this legislation on the retirement savings of Americans.

Key Highlights

  • The RSAA may worsen retirement outcomes for the majority of workers.
  • The RSAA could help Americans that do not have access to a defined contribution plan via their employer throughout their career, but at the cost of retirement prospects for others.
  • Balancing the availability of a retirement plan without diminishing employer-sponsored retirement plans may help retirement adequacy for all Americans.

Read the summary here.

Read the technical appendix here.

Learn more about the Morningstar Model of U.S. Retirement Outcomes.

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