HI HB605

Requires the legislative reference bureau to conduct a study on establishing a housing savings account system allowing all Hawaii employees to automatically contribute to housing savings accounts through payroll deductions.

Study must assess costs, benefits, implementation strategy, and timeline for a system that requires employers to offer employees the opportunity to participate, with employee participation optional.

System components to be analyzed include: a board to administer the program, employer matching contribution options, prohibition on tax benefits, and allowable uses of funds including down payments, mortgage payments, rent, and security deposits.

Default contribution rate would be five percent of employee compensation, with employees able to elect different amounts or opt out at any time.

Legislative reference bureau must submit findings, recommendations, and any proposed legislation to the legislature no later than twenty days before the 2022 regular legislative session.