Washington, D.C. — Senators Ted Budd (R-NC) and Maggie Hassan (D-NH) have introduced the Retirement Investment in Small Employers (RISE) Act.
The legislation would enable all small businesses, including those with fewer than 10 employees, to claim at least $2,500 and up to $5,000 per year in start-up tax credits to cover most of the costs of starting a retirement account.
The RISE Act establishes a $2,500 minimum floor and includes small businesses with fewer than 10 employees. This change would allow micro-sized businesses with 1-9 employees to realize full retirement plan startup tax credits and benefits originally offered in SECURE Act 2.0.
The bill is also supported by: U.S. Chamber of Commerce, American Retirement Association, Small Business Majority, Paychex, Betterment, American Council of Life Insurers, Prudential, WISER, and American Benefits Council.
Senator Budd said in a statement:
“Offering additional tax incentives to small businesses will make it easier for North Carolina’s Main Street shops to offer secure retirement plans for their employees. I’m proud to partner with Senator Hassan to propose a bill that will empower individuals to take control of their financial future.”
Senator Hassan said:
“Small businesses are the backbone of our economy, and this bipartisan legislation will provide a tax cut for small businesses that will in turn help their employees build savings for retirement. Our smallest businesses need to be able to compete with larger ones, and part of that is helping them offer good retirement plans for their employees. I urge my colleagues to support this commonsense, bipartisan legislation that will help more small businesses and their employees thrive.”
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