Grow Cedar Valley supports SECURE Act to help small business
posted on Wednesday, December 4, 2019 in Government Affairs
"Being a champion for small business is critical to our economy."
We couldn't agree more. When we talk about providing opportunities for businesses here in the Cedar Valley we truly mean ALL business, large and small. Last week our President & CEO, Cary Darrah, signed to support the SECURE Act along with other Iowa Chamber of Commerce Executive members, a policy that if passed would provide small businesses expanded opportunity to offer retirement packages to their employees. "Making the American Dream possible is not just about having success in the short term." Long term planning for retirement, something that small businesses do not have the ability to offer their employees. Below Iowa Chamber of Commerce Executive Lane Till's article about the SECURE Act and the opportunities this could bring to our own community.
Original opinion article published by the Des Moines Register, written by Lane Till
Among the many important issues in Congress today, there is a proposal waiting in the Senate that would open the door to a better future for thousands of Iowans.
Being a champion for small business is critical to our economy. This issue is no different with the SECURE Act, the most modern retirement policy in recent memory. Senators Chuck Grassley and Joni Ernst’s support of this legislation greatly expands the ability for our small businesses to offer and grow retirement accounts. To build on this development, we are encouraging our senators to work with leadership to take up a vote on this proposal before the year’s end. Passing the SECURE Act supports small businesses all across our state and makes a critical fix to the retirement crisis we face today.
This legislation, among its benefits for veterans, part-time workers and parents, would expand access to retirement accounts for scores of small businesses and their employees. It is often through the drive of small businesses that are economy is able to grow and thrive. But due to many factors and modern-day challenges, many businesses are not able to offer direct retirement plans for their hard-working employees.
Making the American Dream possible is not just about having success in the short term. It’s the long-term planning for retirement that enables lifelong security and prosperity. Unfortunately, too many individuals are in danger of not having enough retirement savings for the long haul. Giving businesses the tools they need to save for retirement is of great importance, and the SECURE Act takes great steps forward in this regard.
What makes the SECURE Act so critical for small-business employees is that they would be given access to employer-sponsored retirement plans not previously available. Small businesses, under this act, are able to band together to create pooled employer plans, reducing costs and making these plans for their workers a reality.
Additionally, the SECURE Act allows for automatic enrollment credits of up to $500 per year. These credits help small business owners by reducing the cost of starting new 401(k) plans. Under automatic enrollment, employees have been shown to have increased participation in these plans and this makes it much easier to generate retirement savings.
The SECURE Act passed the House with overwhelming bipartisan support, and now it’s up to the Senate to act. It is the key to the future for the employees and small businesses that make our economy successful.
Lane Till is the executive director of the Iowa Chamber of Commerce Executives.
Ames Chamber of Commerce: Dan Culhane, President & CEO; Drew Kamp, Director of Public Policy
Boone County Chamber of Commerce: Kurt Phillips, Executive Director
Charles City Area Chamber of Commerce
Eagle Grove Chamber of Commerce
Emmetsburg Chamber of Commerce: Deb Hite, Executive Director
Grow Cedar Valley: Cary Darrah, President and CEO
Oskaloosa Area Chamber of Commerce: Ann Frost, Executive Director
Waverly Chamber of Commerce – Main Street: Travis Toliver, Executive Director
West Des Moines Chamber of Commerce: Carole Chambers, President and CEO