|
FOR IMMEDIATE RELEASE:
April 13,
2006
CONTACT:
Kelly Alderson 202.777.3542
Idil
Oyman 202.777.3518
**MEDIA ALERT**
A Tax Day Incentive to Encourage
Retirement Savings
As tax day approaches Americans are filing away their IRS
forms and hoping to get enough relief so that they can save for retirement. As
the attached check represents, if The Retirement Security for Life Act (S.
381/H.R. 819) were law, many people would be eligible for an average $5,000
exclusion on their tax returns and they would be encouraged to invest in a
steady paycheck for life! The bill would provide a 50 percent tax exclusion on
the income from a non-qualified lifetime annuity, a strong tax incentive for
people to secure a steady stream of income throughout their golden years.
Not only would this tax break serve as a much needed incentive
to jumpstart retirement savings among more Americans, but it would also provide
stable retirement income that, with the decreasing number of people in
traditional retirement plans such as pensions, is increasingly hard to find.
With 77 million baby boomers beginning to enter retirement, tax day is a perfect
time to remind everyone about the ways we encourage Americans to prepare for
retirement. And with the number of Americans 65 and over predicted to double
between now and the middle of the century, and with many expected to live well
beyond the average life expectancy, the need to help people prepare for secure
retirement is urgent.
Americans for Secure Retirement is a coalition representing a
broad cross-section of interests including women's groups, Hispanic
organizations, farming/agricultural interests, the life insurance industry, and
consumer groups. For more information about the coalition, please visit www.paycheckforlife.org .
 |
| 801025211 |
| |
|
Dear Taxpayer:
This check represents the $5,000 you could be receiving from
the IRS as a tax incentive for your commitment to investing in a secure
retirement if The Retirement Security for Life Act (H.R. 819/S.381) were law.
The legislation would provide all taxpayers with a 50% income tax exclusion on
the taxable payouts from non-qualified lifetime annuities. For the average
taxpayer in the 25 percent tax bracket, the tax benefits would amount to as much
as $5,000 a year. Seventy-eight Members of Congress and Senators from both sides
of the aisle already support this legislation.
With 77 million baby boomers about to retire, now is the time
for policymakers to find new tools to encourage Americans to prepare for a
financially secure retirement. New public policies are needed because 88 million
American workers do not participate in any employer-sponsored retirement plan.
Making matters more pressing for retirees, Social Security only replaces on
average about 42% of pre-retirement earnings and the personal savings rate is at
an all time low. For those who retire before age 65 - which is more than 75% of
retirees today - benefits are reduced and Social Security replaces even less.
As the only retirement vehicle that can provide a steady
stream of income for life, lifetime annuities can help American retirees
maintain their standard of living in their golden years. Providing retirees with
a secure source of retirement income is critical as the number of Americans 65
and over is predicted to double between now and the middle of the century and
many are expected to live well beyond the average life expectancy.
Americans for Secure Retirement is a coalition representing a
broad cross-section of interests including women's groups, Hispanic
organizations, farming/agricultural interests, the life insurance industry, and
consumer groups. For more information about the coalition, please visit www.paycheckforlife.org .
|
|
|
|
