Report: 401k plan for communities discussed by legislative committee

Report: 401k plan for communities discussed by legislative committee
A plan that would allow banks in the Natural State to begin 401k plans for the communities was sent to an interim study committee Friday as a state lawmaker said it would help individuals have more opportunities in their retirement. (Source: KAIT-TV)

LITTLE ROCK, Ark. (KAIT/KARK) - A plan that would allow banks in the Natural State to begin 401k plans for the communities was sent to an interim study committee Friday as a state lawmaker said it would help individuals have more opportunities in their retirement.

According to a report from Little Rock television station KARK, State Rep. Les Warren (R-Hot Springs) spoke to the Joint Retirement committee about the proposal.

Warren said the proposal would help people, especially those who might be entering their retirement without a 401k to use.

“An employer sometimes avoids this because of the cost of setting up a retirement plan,” Warren told the committee. “But if they can get it through another source and the business does not have to pay for it and a business owner would contribute to a plan, I would just like to explore that option.”

KARK reported that the State Treasurer’s office first supported the idea and went to Warren during the session with a proposal. However, the plan could not get enough support.

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