Bill > SB20

This bill amends Delaware's deferred compensation program to reinstate and modify the employer match for state employees' retirement savings. The bill defines a new "maximum match" of $20 per pay period and introduces provisions for employer contributions to qualified participants' retirement accounts. Importantly, the bill adds a novel feature allowing employees to receive employer matching contributions for qualified student loan payments, as defined by federal tax code. The match applies to contributions to 401(a), 403(b), or 457(b) retirement accounts, with an annual aggregate contribution limit. The bill removes previous restrictive conditions for qualifying, such as requiring six months of continuous program enrollment. The Board overseeing the program is tasked with establishing processes for student loan payment certifications and selecting appropriate retirement plans for these contributions. The employer match remains contingent on General Assembly funding, continuing the practice of annual legislative review. This legislation aims to support state employee retirement savings, potentially improve workforce recruitment and retention, and provide additional financial flexibility by recognizing student loan payments as a form of retirement savings contribution.

Budget and Finance, Government Affairs

https://legis.delaware.gov/BillDetail?LegislationId=141841