The Saver’s Credit: A Tax Credit to Promote Retirement Security

Twenty years since its establishment, the Saver's Credit has proven to be an important financial incentive for retirement savers. However, fewer than half of U.S. workers are aware of the Saver's Credit, according to a 2021 survey by Transamerica Center for Retirement Studies in collaboration with Transamerica Institute. In this opinion editorial article in Bloomberg Tax, Catherine Collinson outlines recommendations for policymakers to enhance and expand the Saver's Credit so that more people can benefit from it and help improve their retirement security. Read here. 

Note: Subsequent to the publication of this article, The SECURE 2.0 Act of 2022 was enacted. The new law reimagines and replaces the Saver's Credit as a government matching contribution for eligible retirement savers beginning in 2027.