Bill > S2217

This bill aims to improve retirement savings options for independent workers by creating new provisions in the Employee Retirement Income Security Act and the Internal Revenue Code. The bill defines an "independent worker" as an individual who performs work for remuneration but is not technically an employee, and introduces several key mechanisms to help such workers save for retirement. Specifically, the bill allows independent workers to be enrolled in pooled employer plans as if they were employees, permits trade associations to include independent workers in these plans, and creates new flexibility for how retirement contributions can be made. The legislation establishes pilot programs to encourage independent workers to save, including options to automatically round down compensation and contribute the excess to retirement accounts, and to set up automatic periodic contributions to retirement plans. The bill also simplifies auditing requirements for retirement plans and ensures that an independent worker's participation in a retirement plan does not change their employment classification. Importantly, the bill provides that participation in these retirement plans will not be construed as changing the worker's independent contractor status under federal, state, or local laws, thus protecting the flexible work arrangements common in the gig economy while providing more robust retirement savings opportunities.

Health and Social Services

https://www.congress.gov/bill/119th-congress/senate-bill/2217/all-info