This recently introduced bill would establish a Portable Retirement and Investment Account (PRIA) Fund, designed to provide a retirement savings vehicle for Americans who do not have access to or are not eligible for a qualified retirement plan through their employer, or those who employment “consists of work through mobile platforms.” Essentially, PRIA accounts would be created for every American at birth when issued a social security number. A federal contribution of $500 would be made to the PRIA of any child “born into a household that receives an Earned Income Tax Credit.”
Accounts would be administered by a select independent board and managed by selected financial institutions. After the creation of the initial account, account holders would have the option to invest in funds from those select financial institutions and invest via direct payroll deposit. Employers could contribute to their employees’ PRIAs if desired, as well as implement automatic contribution arrangements. Once account holders reach age 18 and their account balances reach $15,000, they would have the option of rolling the accounts to IRAs.
www.planadviser.com; September 23, 2021; www.pionline.com; September 23, 2021.