MALONEY LOBBIES TO LIFT CAPS ON IRA'S, 401 K'S
WASHINGTON, D.C. -- Today, Rep. Carolyn B. Maloney (D- Manhattan, Queens) voted for and spoke in favor of the Comprehensive Retirement Security and Pension Reform Act, legislation that will raise the amount that individuals are permitted to contribute to IRA plans to $5,000 and 401(k) plans to $15,000. The bill also includes important pension portability and catch-up contribution provisions for workers who are 50 or older so that individuals who have been out of the workforce for a number of years, especially women who have raised families, can build their own nest eggs.
A long-time cosponsor of the bill, Rep. Maloney stated, "by passing this legislation we are taking a critical step in allowing an important government savings stimulus to catch up with the reality of today's employment market.
"The government is continually warning people not to rely solely on Social Security for retirement. Today the House passed legislation that will give people additional incentive to save money for their golden years.
"Additionally, this legislation includes pension portability provisions that are so important to technology workers who are likely to change jobs several times over the course of their careers.
"It also allows individuals to make excess contributions, so-called catch up contributions, to their pensions after age 50. This is especially important to women who have been out of the workforce for a number of years while raising children."
The Comprehensive Retirement Security and Pension Reform Act was introduced by Reps. Rob Portman (R-OH) and Ben Cardin (D-MD). The legislation passed the House 407-24 on My 2, 2001 and is awaiting action in the Senate.