New Retirement Legislation May Be On The Way: SECURE Act vs. RESA
On May 23rd, the House approved the SECURE Act (Setting Every Community Up for Retirement Enhancement). The Act will now move to the Senate, where it will be compared with similar legislation known as RESA (the Retirement Enhancement and Savings Act). The Senate Finance Committee will work on reconciling the two Acts (along with other proposed legislation) to come up with a final version to send to the President for signature.
Although bipartisan bills that would significantly change the landscape of retirement plans were introduced in the last Congress, they were not enacted. But the tides have changed and despite the contentious atmosphere that exists in Congress on many topics, both parties appear to be eager to work together to achieve retirement plan reform. Given the similarities between RESA and SECURE, there is a very strong likelihood that the Senate Finance Committee will be able to mesh the two Acts to craft a final bill that the President will approve.
We will keep you posted if any legislation gets finalized.
The following chart compares some of the main provisions of the two Acts.