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Universal Retirement Savings: Mandatory Employer Contributions and New Tax Credits

This Act establishes a universal personal savings program (UP Accounts) ensuring workers without workplace retirement plans gain access to employer-funded savings. Applicable employers (10+ employees) must make minimum contributions, and employees are automatically enrolled in retirement accounts with an opt-out option. The program is partially funded by increasing the highest individual and corporate income tax rates.
Key points
Employers with 10+ employees must make minimum contributions to employee retirement accounts (starting at $0.50 per hour).
Creation of UP Savings Accounts for short-term emergencies, allowing penalty-free withdrawals up to a limit (initially $2,500).
The highest individual income tax rate increases from 37% to 39.6%, and the corporate tax rate increases from 21% to 23%.
Employees are automatically enrolled in the UP Retirement Account at a 4% contribution rate, with the ability to opt out.
article Official text account_balance Process page
Introduced
Citizen Poll
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Additional Information
Print number: 119_HR_5887
Sponsor: Rep. Peters, Scott H. [D-CA-50]
Process start date: 2025-10-31
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Summarized by: gemini-2.5-flash-preview-09-2025
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Saving for the Future Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_HR_5887.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2025-10-31.

What are the main provisions?

Key points include:

  • Employers with 10+ employees must make minimum contributions to employee retirement accounts (starting at $0.50 per hour).
  • Creation of UP Savings Accounts for short-term emergencies, allowing penalty-free withdrawals up to a limit (initially $2,500).
  • The highest individual income tax rate increases from 37% to 39.6%, and the corporate tax rate increases from 21% to 23%.
  • Employees are automatically enrolled in the UP Retirement Account at a 4% contribution rate, with the ability to opt out.
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Peters, Scott H. [D-CA-50].

What is the latest detailed status?

The latest detailed status is: Introduced in House

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-23.

CATEGORIES

Labor Taxes Economy