Bill
Bill > A228
NJ A228
NJ A228Requires public employers that offer deferred compensation retirement plans to also offer Roth contribution option.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill requires that any public entity within the State that offers to its employees a deferred compensation plan to also offer a Roth contribution option for the employees who participate in the plan. Roth contribution options permit employees to make after-tax contributions to the retirement account through salary deductions. These after-tax contributions, and any subsequent earnings, can be withdrawn tax-free in retirement. Under current law, there is no requirement that a Roth contribution option be made available to public employees who choose to participate in their respective deferred compensation retirement plan. Under current law, public employers may offer a deferred compensation plan to their employees. Deferred compensation plans provide an opportunity to voluntarily shelter a portion of an employee's salary from federal income taxes to save for retirement to supplement Social Security and any other retirement plan provided by public employers to their employees.
AI Summary
This bill mandates that public employers in New Jersey, including municipalities, counties, authorities, boards of education, and the State itself through the New Jersey State Employees Deferred Compensation Board, must offer a "Roth contribution option" to employees participating in their deferred compensation retirement plans. A Roth contribution option allows employees to contribute money to their retirement accounts after taxes have been paid on that income, meaning these contributions and any earnings they generate can be withdrawn tax-free in retirement, providing a tax advantage compared to traditional pre-tax retirement savings. This change is intended to supplement existing retirement plans and Social Security, offering public employees more flexibility in their retirement savings strategies.
Committee Categories
Government Affairs
Sponsors (1)
Last Action
Introduced, Referred to Assembly State and Local Government Committee (on 01/13/2026)
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/A228 |
| BillText | https://pub.njleg.gov/Bills/2026/A0500/228_I1.HTM |
Loading...