OPINION — An unforeseen effect of the affordability issue is that many Americans are slowing their retirement savings. Washington has cut taxes to ease expenses, but policymakers can do more.
Millions of American workers use investment vehicles like 401(k) and 403(b) accounts, but despite their popularity, they do not offer the same choices, savings or outcomes. This hampers workers’ retirement preparation, but Congress can fix this inequity.
A 403(b) is a retirement account for employees of nonprofit organizations, comparable to a 401(k) used by for-profit employees. Public-school teachers, state-college professors, church employees, healthcare professionals at nonprofit hospitals and charity workers all use 403(b)s. Ten million Americans have a 403(b) account.
