Senate Bill (S)

DIGEST

State-assisted retirement plan. Establishes a state-assisted retirement plan (plan) for purposes of encouraging Indiana residents to increase their rate of savings and to build assets for the use of a participant or the participant's beneficiaries or survivors after the participant's retirement. Establishes the Indiana retirement savings board (board) consisting of five members appointed by the governor, the treasurer of state, and the director of the office of management and budget. Provides that the board selects an administrator and oversees the plan. Requires that the plan be qualified under Section 401(a) or another applicable section of the Internal Revenue Code. Provides State-assisted retirement plan. Establishes a state-assisted retirement plan (plan) for purposes of encouraging Indiana residents to increase their rate of savings and to build assets for the use of a participant or the participant's beneficiaries or survivors after the participant's retirement. Establishes the Indiana retirement savings board (board) consisting of five members appointed by the governor, the treasurer of state, and the director of the office of management and budget. Provides that the board selects an administrator and oversees the plan. Requires that the plan be qualified under Section 401(a) or another applicable section of the Internal Revenue Code. Provides that an employer may participate in the plan only if the employer does not offer its employees a pension or retirement system of any kind. Provides that participation in the plan is voluntary for eligible employers and employees, and permits self-employed individuals to participate in the plan. Provides that the plan may not be construed as a debt, a liability, or an obligation of the state, and that the state does not guarantee amounts deposited into an account or investment returns earned by an account. Provides a one-time tax credit, not to exceed $250, for payroll contributions to the plan made by a participant who has not previously participated in a pension or retirement plan of any kind. (The introduced version of this bill was prepared by the pension management oversight commission.) ... View more