STATE MOVES TO MAKE SURE PRIVATE-SECTOR EMPLOYEES SAVE FOR RETIREMENT

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 | February 28, 2019 |

New Jersey residents are living longer but not putting aside enough money to pay for food, utilities, healthcare, and other necessities

New Jersey may soon become the latest state to provide private-sector workers with a way to save money for retirement when their employers don’t offer such benefits.

bill that lawmakers sent to Gov. Phil Murphy earlier this week would set up a state-sanctioned retirement-savings fund that would work like an IRA for most private-sector workers.

The state — which has a dubious record when it comes to managing its public-employee retirement funds — wouldn’t be responsible for providing matching dollars or directly handling investments on behalf of the workers. Instead, the bill would establish the parameters for a private firm to manage the savings accounts. It would also mandate an automatic payroll deduction that companies with at least 25 employees would have to furnish to their workers if they don’t already offer a retirement-savings benefit.

Read the full article on NJ Spotlight