Individual Retirement Account

“ It is contributory and compulsory, requiring each to contribute 21⁄2 per cent of their salaries. The minimum age of retirement is 65; all must retire at 70; and 15 years of service are required for eligibility to an allowance, the annuity running from a minimum of $180 after 15 years of service to a maximum of $720 after 30 years. The scheme takes no account of the amount of salary at the time of retirement and certainly $720 is no inducement to a man receiving $2000 to resign. ”

“ Notwithstanding this general prohibition, however, § 4 (f) (2) of the ADEA provides that it is not unlawful for an employer
"to observe the terms of . . . any bona fide employee benefit plan such as a retirement, pension, or insurance plan, which is not a subterfuge to evade the purposes of this chapter, except that no such employee benefit plan shall excuse the failure to hire any individual, and no such . . . employee benefit plan shall require or permit the involuntary retirement of any individual . . . because of the age of such individual." ”

“ The Secretary may by regulation prescribe rules consistent with the standards and purposes of this Act providing one or more exempt categories under which (i) severance pay arrangements, and (ii) supplemental retirement income payments, under which the pension benefits of retirees or their beneficiaries are supplemented to take into account some portion or all of the increases in the cost-of-living (as determined by the Secretary of Labor) since retirement, shall, for purposes of this Title, be treated as welfare plans rather than pension plans. ”

“ Right now, a set portion of the money you earn is taken out of your paycheck to pay for the Social Security benefits of today's retirees. If you're a younger worker, I believe you should be able to set aside part of that money in your own retirement account, so you can build a nest egg for your own future.
Here's why the personal accounts are a better deal. Your money will grow, over time, at a greater rate than anything the current system can deliver — and your account will provide money for retirement over and above the check you will receive from Social Security. ”

“ ONE-PARTICIPANT RETIREMENT PLAN- For purposes of clause (iii) , the term `one-participant retirement plan' means a retirement plan that on the first day of the plan year-- ` (I) covered only one individual (or the individual and the individual's spouse) and the individual (or the individual and the individual's spouse) owned 100 percent of the plan sponsor (whether or not incorporated) , or ` (II) covered only one or more partners (or partners and their spouses) in the plan sponsor.'. ”

“ A young person who earns an average of $35,000 a year over his or her career would have nearly a quarter million dollars saved in his or her own retirement account. And that money would provide a nest egg to supplement that worker's traditional Social Security check, or to pass on to his or her children. ”

“ An attempted distinction as to pension measures for employees retired by reason of age, because old age is not in itself a consequency of employment, is but superficial. The common judgment takes note of the fact that the retirement of workers by reason of incapacity due to advancing years is an incident of employment and that a fair consideration of their plight justifies retirement allowances as a feature of the service to which they have long been devoted. ”

“ At age 55, participants were eligible for early retirement benefits, calculated in the same manner as normal retirement benefits, but reduced by five percent for each year by which a participant's retirement preceded the normal retirement age. ”

“ Amendment of ERISA.—Subsection (h) of section 204 of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1054) is amended to read as follows: `` (h) (1) An applicable pension plan may not be amended so as to provide for a significant reduction in the rate of future benefit accrual unless the plan administrator provides the notice described in paragraph (2) to each applicable individual (and to each employee organization representing applicable individuals) . ”

“ Tens of millions of Americans live from paycheck to paycheck. As hard as they work, they still don't have the opportunity to save. Too few can make use of IRAs and 401-K retirement plans. We should do more to help working families save and accumulate wealth. That's the idea behind so-called Individual Development Accounts. Let's take that idea to a new level, with Retirement Savings Accounts that enable every low- and moderate-income family in America to save for retirement, a first home, a medical emergency, or a college education. ”

“ Cost-of-living increases to retirees, as provided by law, provided the retirement system is approaching actuarial soundness as provided by law, and the granting of such increase does not cause an increase in the actuarially required contribution rate. ”

“ As the pension is reduced one-fifteenth for each year the annuitant lacks of 65 at the date of retirement, his separation, it is said, will impose no greater burden on the fund than if he had waited until 65; the reduction in the amount payable will discourage early retirement, and so tend to counteract the loss of skilled workers ”

“ Men wear out fast. To carry the incapacitated on their payroll is not only182 not economic but discouraging to the working force and it is not humane to turn them adrift. The general scheme adopted in view of these facts is either voluntary or compulsory retirement at a certain age, with weekly or monthly allowances, the amount of which depends upon the length of service and the wage, the expense of the system being borne by the employer with help from the employee. ”

“ We'll make sure there are good options to protect your investments from sudden market swings on the eve of your retirement. We'll make sure a personal account cannot be emptied out all at once, but rather paid out over time, as an addition to traditional Social Security benefits. And we'll make sure this plan is fiscally responsible, by starting personal retirement accounts gradually, and raising the yearly limits on contributions over time, eventually permitting all workers to set aside four percentage points of their payroll taxes in their accounts. ”

“ Younger workers have an average of about $10,000 in their accounts, while workers near retirement hold closer to $100,000 in their 401 (k) s. This is real money for real workers and we must do all we can to help make sure it's there for them when they retire.
Turbulence in the financial markets reminds us that every investment carries some risk. Yet American workers also have rights which must be respected and enforced. I've made five common-sense proposals to help protect the retirement savings of American workers. ”

“ In general.—If— `` (I) a distribution is made from an individual retirement plan, and `` (II) a rollover contribution is made to an eligible retirement plan described in section 402 (c) (8) (B) (iii) , (iv) , (v) , or (vi) with respect to all or part of such distribution, ``then, notwithstanding paragraph (2) , the rules of clause (ii) shall apply for purposes of applying section 72. ”

“ It is difficult to believe that Congress, in passing the ADEA, intended to immunize acts of unabashed discrimination against older workers.
A far more sensible structural interpretation regards the § 4 (f) (2) sentence as a synthetic whole. Under this reading, the initial enumeration of "a retirement, pension, or insurance plan" serves a concrete purpose: it gives content to the ensuing word "subterfuge." ”

“ No public retirement or pension system created on or after January 1, 1985, shall grant any person whose retirement is based on involuntary separation from employment a retirement or pension benefit more favorable than the retirement or pension benefit granted to a person whose separation from employment is voluntary. ”

“ I think Senator Moynihan, the former Democratic Chairman of the Senate Finance Committee, said it very well when he said this morning that personal retirement accounts are a way to create wealth for individuals, wealth for younger workers, wealth that people can pass on from one generation to the next, which you cannot currently do under the Social Security system. So the answer is the answer that many other Democrats have given. Social Security personal accounts represent a new way of thinking that creates individual wealth that allows people to retire in greater comfort and security. ”

“ From its beginnings, Americans have supplemented Social Security with private pensions and savings. Yet today millions of people retire with little to live on other than Social Security. Americans living longer than ever simply must save more than ever.
Therefore, in addition to saving Social Security and Medicare, I propose a new pension initiative for retirement security in the 21st century. I propose that we use a little over 11 percent of the surplus to establish universal savings accounts--USA accounts--to give all Americans the means to save. ”

“ Retirement security also depends upon keeping the commitments of Social Security, and we will. We must make Social Security financially stable and allow personal retirement accounts for younger workers who choose them. ”

“ Any other provisions of this Constitution to the contrary notwithstanding, the General Assembly is hereby authorized to provide by law, from time to time, for the increase of retirement or pension benefits of retired persons who retired pursuant to any retirement system, annuity and benefit fund, pension system or any similar system heretofore or hereafter created by law to which the General Assembly appropriates funds. ”

“ Section 8 (a) of t e Retirement Act declares that, under conditions specified, the employee 'shall be entitled to an annuity * * * payable from the civil service retirement and disability fund.' The provision is mandatory, expressed in terms of the right of the employee, which is inseparable from the correlative obligation of the employer, the United States. ”

“ The employer, the employee, or both, make a contribution each year toward the pension to fall due on the retirement of the employee,” who receives a bond each year that assures him a pension when he retires, each bond being complete in itself. This scheme costs little to administer and it meets the objection against a non-contributory system, that although pensions defer pay only the employee who survives in the same service until retirement receives the benefit promised, by the provision that this bond is given each year and becomes his property, to be realized at a fixed age in later years. ”

“ The new tax law also encourages higher contributions to retirement plans. In years to come, you'll have the chance to put more money into your IRA or 401-K. You can better prepare for your later years, sending less of your money to Washington, and more into your own savings. ”

“ Even courts that have recognized equitable exceptions to the bar on alienation have assumed that § 206 (d) (1) operates, as a general matter, to proscribe garnishment of pension benefits. See St. Paul Fire & Marine, 752 F.2d, at 551-552; Crawford, 259 U.S.App.D.C., at 283-284, 815 F.2d, at 121-122.↑ The garnishment of retirement benefits is prohibited by the Social Security Act, 49 Stat. ”

“ I want to discuss with you steps we are taking to help strengthen the retirement security of America's workers. More than 40 million Americans save for retirement through 401 (k) accounts, making regular contributions and building economic security over a lifetime. ”

“ One, the dynamic of the debate has changed dramatically in just the last five to 10 years. There used to be a time when people would not even countenance the idea of allowing people to have their own personal retirement accounts. ”

“ Reduction of amount of wages needed to earn a year of coverage applicable in determining special minimum primary insurance amount. Sec. 5123. Charging of earnings of corporate directors. Sec. 5124. Collection of employee social security and railroad retirement taxes on taxable group-term life insurance provided to retirees. Sec. 5125. Tier 1 railroad retirement tax rates explicitly determined by reference to social security taxes. Sec. 5126. Transfer to railroad retirement account. Sec. 5127. Waiver of 2-year waiting period for independent entitlement to divorced spouse's benefits. ”

“ A person who has held office as Chairman or member of the Code of Conduct Tribunal for a period of not less than ten years shall, if he retires at the age of seventy years, be entitled to pension for life at a rate equivalent to his last annual salary in addition to other retirement benefits to which he may be entitled. ”

“ Combined with my plan to match 50 percent of the first $1000 of savings for families that earn under $75,000, this proposal will increase retirement savings opportunities for the 45 million working women who currently lack any employer-sponsored retirement plan. ”

“ It has been good business policy, for it not only prevents the waste of using worn-out men but it stimulates loyalty on the part of the working force. Voluntary retirement is generally at 60 and compulsory at 70, but this varies greatly, as does the time of service upon which aid is conditioned, which is usually from 10 to 30 years. Often the allowance is one per cent of the average wage during the last 10 years; for example, an employee who has worked 40 years at an average wage of $50 a month would receive $20. ”

“ Notwithstanding, if the janitor has reached the mandatory retirement age, he/she will receive an additional lump sum relief payment based on calculation of the number of months of his/her early retirement. Where the worker withdraws from the Labor Insurance, he/she will receive a compensation for any loss of years of insurance coverage. ”