Vast majority of Americans support preservation of retirement savings tax incentives: Study
By Paul Wilson
ProWEB Wire (Industry News)
The majority of U.S. households support the preservation of current tax incentives that encourage retirement savings, according to a new study by the Investment Company Institute.
Eighty-five percent of respondents across a spectrum of demographic and financial characteristics said retirement savings tax incentives should be maintained, while 83 percent opposed any reduction in workers’ account contribution limits, the study found.
“It is clear that the current tax incentives to encourage Americans to build a nest egg in retirement accounts are effective and command the overwhelming support of the American public,” said ICI president and CEO Paul Schott Stevens.
The study found that the majority of households with defined contribution accounts value having choices and control over investment options.
Meanwhile, 87 percent of those surveyed opposed the idea of reducing individual control over investment decisions in defined contribution accounts, while approximately 80 percent opposed the idea of replacing all retirement accounts with a government bond, the ICI said.