In 2027, the Trump administration plans to give working Americans that don't have access to a retirement plan "the same type of retirement plan offered to every federal worker," President Donald Trump said Tuesday night during his State of the Union speech. "We will match your contribution with up to $1,000 each year, as we ensure that all Americans can profit from a rising stock market."
Since taking office, Trump said that the typical 401(k) balance is "up by at least $30,000. That's a lot of money. We have millions and millions of people, because the stock market has done so well, setting all those records. Your 401(k)s are way up. Yet, half of all of working Americans still do not have access to a retirement plan with matching contributions from an employer."
"President Trump's spotlight on retirement security comes at an important time," David Chavern, president of the American Council of Life Insurers, said Tuesday night in a statement. "More than 30 million Americans will turn 65 in the next five years. Many fall short on saving for retirement."
Said Trump: "We're also working to make it easier for Americans to save for retirement. And under this administration, we will always protect Social Security and Medicare."
Trump also heralded the "brand-new" Trump accounts for children, stating that he didn't choose the name. "I didn't name it. I didn't name it. I did not name that. Nobody believes me, but I did not name it."
The tax-advantaged savings account program "has taken off and gone through the roof," Trump said. "Millions will be pre-funded courtesy of the U.S. Treasury and private individuals like Michael and Susan Dell, who have donated $6.25 billion to fund the Trump accounts for 25 million American children."
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