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Data & Research November 1, 2017
Americans Say Tax Reform Proposal Would Affect Their Savings
Fifty-seven percent of Americans surveyed somewhat or strongly oppose reducing the maximum amount employees can defer pre-tax into a DC plan to $2,400 per year.
Reported by Rebecca Moore
Fifty-seven percent of Americans somewhat or strongly oppose reducing the maximum amount employees can defer into a defined contribution (DC) plan to $2,400 per year, according to a POLITICO/Morning Consult poll.
Tax reform proposals have suggested that anything above that be contributed on an after-tax, or Roth, basis. Fifty-one percent said the limit should not be in the tax reform bill, while one-quarter said it should.
Nearly one-third (32%) of survey respondents said if this provision is passed, it will cause them to save less in their retirement accounts. Sixteen percent said they will save about the same.
Half of respondents believe this proposal will cause the average American to save less in their retirement plans. The Employee Benefit Research Institute (EBRI) released an analysis of retirement savers that may be affected by this tax reform provision.
Forty-nine percent of respondents to the poll have a retirement savings account.