Philadelphia City Council is taking steps towards establishing a board to oversee a proposed retirement program for non-city workers. The initiative, dubbed PhillySaves, aims to provide automatic enrollment options for employees who do not have access to employer-sponsored retirement plans.
The bill, introduced by Council President Kenyatta Johnson, calls for a ballot question in May that would form the authority responsible for managing the program. If approved, the program would require employers with a history of operating in Philadelphia to automatically enroll workers into an Individual Retirement Account (IRA) at contributions ranging from 3-6% of their wages.
The oversight board, comprised of 15 members, would include four individuals selected by the mayor and four by Council President Johnson. The remaining appointments would be made by the city controller and chambers of commerce groups. To qualify for the program, a worker's employer must have operated in Philadelphia for at least two years without offering retirement benefits.
Despite its potential to alleviate financial burdens on seniors, concerns remain about accessibility, particularly for sole proprietors or self-employed individuals. However, proponents argue that programs like PhillySaves can make saving simpler and more manageable through payroll deduction.
Statistics suggest that many workers are struggling to save for retirement. A recent report from the Pew Charitable Trusts found that 35% of residents aged 65+ in Philadelphia had incomes below $15,000, with 23% relying solely on Social Security. In contrast, households with any form of income from retirement funds experienced a median household income increase to $57,970.
While some states and cities have already implemented similar programs, supporters believe PhillySaves can provide an essential safety net for vulnerable workers. AARP has expressed support for the legislation, stating that such programs "make saving simple through payroll deduction and come at no cost to employers or taxpayers."
With the rising cost of living and increasing financial insecurity among seniors, proponents argue that every Philadelphian deserves access to retirement savings programs like PhillySaves.
The bill, introduced by Council President Kenyatta Johnson, calls for a ballot question in May that would form the authority responsible for managing the program. If approved, the program would require employers with a history of operating in Philadelphia to automatically enroll workers into an Individual Retirement Account (IRA) at contributions ranging from 3-6% of their wages.
The oversight board, comprised of 15 members, would include four individuals selected by the mayor and four by Council President Johnson. The remaining appointments would be made by the city controller and chambers of commerce groups. To qualify for the program, a worker's employer must have operated in Philadelphia for at least two years without offering retirement benefits.
Despite its potential to alleviate financial burdens on seniors, concerns remain about accessibility, particularly for sole proprietors or self-employed individuals. However, proponents argue that programs like PhillySaves can make saving simpler and more manageable through payroll deduction.
Statistics suggest that many workers are struggling to save for retirement. A recent report from the Pew Charitable Trusts found that 35% of residents aged 65+ in Philadelphia had incomes below $15,000, with 23% relying solely on Social Security. In contrast, households with any form of income from retirement funds experienced a median household income increase to $57,970.
While some states and cities have already implemented similar programs, supporters believe PhillySaves can provide an essential safety net for vulnerable workers. AARP has expressed support for the legislation, stating that such programs "make saving simple through payroll deduction and come at no cost to employers or taxpayers."
With the rising cost of living and increasing financial insecurity among seniors, proponents argue that every Philadelphian deserves access to retirement savings programs like PhillySaves.
. I mean, 35% of folks in Philly over 65 are struggling to get by on just Social Security? That's heartbreaking. And the fact that they can't even save a little bit through payroll deduction is just...ugh 
. But at the same time, I worry about how it'll work out for people who are self-employed or own their own businesses. How will they even afford to contribute to something like this? 
It's not like they're getting a 401k or anything.
. I hope they do some thorough research and make sure it's not gonna break the bank for people who need it most 
. AARP is right on board with this though, so that's a good sign 
.
It's so important that we have ways to help our city workers save for retirement, especially with the rising cost of living and increasing financial insecurity among seniors. I mean, 35% of residents aged 65+ in Philly are living on under $15,000? That's just not right 
. We need to make saving simpler and more manageable through payroll deduction, like they're doing with PhillySaves.
. And let's be real, the stats are just crazy... 23% of people rely solely on Social Security? That's a huge concern 
. But I think PhillySaves can make a difference and provide an essential safety net for vulnerable workers.
They're always speaking out for seniors, and it's awesome that they support PhillySaves. So yeah, I'm all about this initiative 
#PhillySaves #RetirementSecurity #SupportOurSeniors
. Plus, stats show that a ton of Philly seniors are struggling, so it's time we step up and help 'em out 
. It might not be perfect, but let's just give it a shot, ya know?
. and 3-6% is a pretty big chunk of change... what's gonna happen if ppl can't afford it? 
still, i guess it's worth a shot 
. the numbers do show that a lot of ppl are struggling, so maybe it'll make a difference in some way... we just gotta wait and see how it plays out 
.
. Every Philadelphian deserves access to retirement savings programs like PhillySaves, regardless of their income or employment status 
. My only concern would be those sole proprietors or self-employed folks you mentioned... they're already struggling just to stay afloat, so how's this gonna help 'em out? 
. I mean what's the point of living if you can't enjoy your golden years? PhillySaves sounds like a solid idea to me - we should be supporting our seniors, not leaving them high and dry