SB 380 Summary

• Establishes a state-assisted retirement plan administered by the Indiana treasurer to encourage savings and asset-building for Indiana residents, effective July 1, 2013.

• Plan participation is voluntary for eligible employers (those not offering any pension or retirement system) and their employees, as well as self-employed individuals.

• Plan accounts consist of employer contributions, employee contributions, rollovers, and investment earnings; participants direct their own investments and are vested in employer contributions per the plan schedule.

• Plan must be qualified under Section 401(a) or another applicable section of the Internal Revenue Code, with administrative costs paid from plan earnings.

• State has no obligation or liability regarding the plan; all communications must clearly state accounts are not state-insured and the state does not guarantee deposits or investment returns.