No, I do not see this proposal gaining any traction as there is a savings crisis in this country. Social Security is strained given the number of baby boomers retiring. The government does not have the money to provide matching contributions to participant accounts as they have other priorities. As the saying goes….talk is cheap.
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A treasure trove and answer to budget woes, these savings accounts are ubiquitous and the number one item on family balance sheets after their home's unrealistic appreciation was corrected in 2007 and beyond. Combine this fact with the other related fact that 80 million baby boomers shall rely heavily on this account versus their unfunded entitlement program call Social Security, Congress' actions against this savings account would be political suicide.
As we have all seen, the government can pretty much do whatever it wants. If they decide to make drastic changes to the Qualified Plan rules, I would be no more surprised than when the government Nationalized the auto industry.