As a state, Maine has the potential, under L.D. 594, An Act to Promote Individual Savings Accounts through a Public-Private Partnership, to be fiscally responsible for our own retirement security and financial independence.

The average working Maine household has only $2,500 saved for retirement, according to AARP. I think most will agree that with the soaring costs of health care and prescription drugs, that nest egg won’t last beyond a month.

Startup costs and high fees prevent an individual from starting their own retirement accounts. This program makes it easy to save through automatic contributions directly from their paycheck. An employee is not obligated to participate if they prefer not to and can opt out at any time. Plus, the money that an employee saves through the program is theirs forever and can be taken with them from job to job.

We help each other out with this program by creating opportunities for Mainers to save for their future. We reduce the future need for more dependence on social services, which increase our taxes. Many workers without a workplace savings program would like to have the ability to take advantage of a savings program. In fact, in a recent AARP survey of Maine registered voters, 88 percent said they believe it is important to be able to save for retirement at work.

Let’s give Maine workers that opportunity to save. L.D. 594 puts us on the right track. Contact your state legislators today in support of a bill that I believe will save money for Mainers and the state.

Star Pelsue

Portland

Copy the Story Link