AARP urges support for Peach State Saves plan

Getty Images/iStockphoto

ATLANTA, Georgia – AARP Georgia is urging state lawmakers to support a new bill that would create the Georgia Peach Save Plan, a state-facilitated retirement savings account for Georgians to save for the future on the job without adding expense or administrative work for the employer.

The bill, SB477: Peach State Saves, would create public-private retirement savings accounts to give Georgia workers an easy way to save for retirement through public-private retirement savings accounts.

Nearly 1.7 million Georgians have no access to a retirement savings plan through their employers. This puts them at risk of not having enough money to maintain their standard of living in retirement and being unable to afford necessities such as food, utilities, and healthcare. study, individuals are 15 times more likely to save for retirement if they can do so at work, and 20 times more likely if they are automatically enrolled in a workplace savings option.

The Georgia Peach State Saves Plan provides a way for Georgians to save on the job while reducing their reliance on taxpayer-funded programs later in life. In fact, an AARP Public Policy Institute study found that the United States could save $33 billion between 2018 and 2032 through retirement savings and increased retirement income. In Georgia, the cost of doing nothing will increase state government costs by over 8 billion over the next 19 years.

“Georgia Peach State Saves plans are an innovative solution to the retirement saving crisis that provides a no-cost, plug-and-play retirement savings option for businesses and helps workers grow the retirement savings they need to take control of the future,” said Alice Bennett, AARP state advocacy director of AARP. “It empowers Georgians to save as much or as little as they want in their accounts through automatic deductions from their paychecks and they can take it from job to job,

Specifically, SB477: Peach State Saves would create a public-private partnership between the state and a professional financial institution to help people build their private retirement savings.

Bill Sponsor Sen. Chuck Hufstetler (SD52-R)- Bill Sponsor; Chair of Finance Committee said, “I am a well-known fiscal conservative. It is my belief that there should be government intervention only as a last resort. And that is why I fully believe in this program, which is controlled by private enterprise and employees. This program is not mandatory. It preserves our freedoms while addressing a major societal need- inadequate retirement savings by some of our hardest working citizens.”

###

 

About AARP
AARP is the nation’s largest nonprofit, nonpartisan organization dedicated to empowering Americans 50 and older to choose how they live as they age. With nearly 38 million members and offices in every state, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands, AARP works to strengthen communities and advocate for what matters most to families with a focus on health security, financial stability and personal fulfillment. AARP also works for individuals in the marketplace by sparking new solutions and allowing carefully chosen, high-quality products and services to carry the AARP name. As a trusted source for news and information, AARP produces the world’s largest circulation publications, AARP The Magazine and AARP Bulletin. To learn more, visit www.aarp.org or follow @AARP and @AARPadvocates on social media.