President Donald Trump announced a new retirement savings initiative during his State of the Union address, aiming to expand access for millions of Americans without employer-sponsored plans.
The proposal would allow workers without 401(k)s to enroll in a federal-style retirement account similar to the Thrift Savings Plan used by government employees.
Millions of private-sector workers without employer-sponsored retirement savings plans will gain access to a new tax-advantaged plan similar to one in place for federal workers, Trump says in his State of the Union speech https://t.co/rVvdWNY06H
— Bloomberg (@business) February 25, 2026
Trump said the federal government would match worker contributions up to $1,000 annually, allowing more Americans to benefit from stock market gains.
The White House said the plan builds on provisions in the Secure Act 2.0, which begins offering matching funds to certain workers next year. Under the new approach, individuals could open accounts by checking a box on their tax return, rather than navigating private retirement options.
Officials say the initiative is part of a broader effort to encourage long-term investing. However, retirement experts note the looming insolvency of Social Security remains a major unresolved issue, with trust fund depletion projected in the next decade
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TIPP Staff
