Kansas 2023-2024 Regular Session

Kansas House Bill HB2321

Introduced
2/7/23  
Refer
2/7/23  

Caption

Enacting the Kansas work and save program act, allowing certain individuals to contribute to individual retirement accounts and providing administrative duties and powers of the state treasurer regarding such program.

Impact

The implementation of HB 2321 is expected to have a significant impact on the accessibility of retirement savings plans. Employees will have the opportunity to set aside savings for retirement with the potential for tax advantages. The bill also emphasizes a standardized approach to enrollment, contribution rates, and investment options, which may simplify the decision-making process for participants. However, it places the onus for compliance and understanding of tax implications directly on employees and not on employers, thereby limiting employer liability in the program's operations.

Summary

House Bill 2321, known as the Kansas Work and Save Program Act, establishes a framework for retirement savings through optional individual retirement accounts (IRAs) for Kansas workers. The bill is designed to allow eligible employees to contribute voluntarily to IRAs via payroll deductions, with employers facilitating the process. The state treasurer is responsible for overseeing the program, ensuring that it complies with both state and federal laws, including preventing it from being preempted by ERISA. With provisions for automatic enrollment and allowing individuals who are not traditional employees to participate, the program aims to enhance retirement savings for a broader range of individuals in Kansas.

Contention

While proponents of the bill highlight its potential to improve financial security and promote savings among workers, critics raise concerns about the lack of employer responsibilities in educating employees about their options. Furthermore, there is apprehension regarding the implications of the automatic enrollment feature, which could lead to employees unwittingly participating without fully understanding the associated responsibilities and risks. Balancing increased participation in retirement savings with adequate protections and education for employees remains a contentious issue in the discussions surrounding this legislation.

Companion Bills

No companion bills found.

Previously Filed As

KS HB2649

Establishing the Kansas empowerment savings program, authorizing certain employees to contribute to individual retirement accounts through an automatic payroll deduction and providing powers, duties, functions and responsibilities of the Kansas empowerment savings program board of trustees within the state treasurer's office concerning such program.

KS HB2430

Enacting the insurance savings account act, allowing individuals and corporations to establish insurance savings accounts with certain financial institutions, providing eligible expenses, requirements and restrictions for such accounts and establishing addition and subtraction modifications under the Kansas income tax act.

KS SB25

Enacting the insurance savings account act, allowing individuals and corporations to establish insurance savings accounts with certain financial institutions, providing eligible expenses, requirements and restrictions for such accounts and establishing addition and subtraction modifications under the Kansas income tax act.

KS SB282

Enacting the Kansas retirement investment and savings plan (KRISP) act and establishing terms, conditions, requirements, membership elections, accounts, benefits, contributions and distributions related to such plan.

KS HB2735

Enacting the patient's right to save act to establish shared savings programs and providing for the duties and requirements of such programs.

KS HB1263

Establishing the Keystone Saves Program, the Keystone Saves Program Fund, the Keystone Saves Administrative Fund and the Keystone Saves Program Advisory Board; and providing for powers and duties of the Treasury Department, for investment and fiduciary responsibilities and for program implementation.

KS SB1069

Establishing the Keystone Saves Program, the Keystone Saves Program Fund, the Keystone Saves Program Administrative Fund and the Keystone Saves Program Advisory Board; and providing for powers and duties of the Treasury Department and the Department of Labor and Industry, for investment and fiduciary responsibilities and for program implementation.

KS HB2090

Establishing the Kansas employee emergency savings account (KEESA) program to allow eligible employers to establish employee savings accounts, providing an income and privilege tax credit for certain eligible employer deposits to such employee savings accounts and providing a subtraction modification for certain employee deposits to such savings accounts.

KS SB522

Enacting the Kansas medical freedom act to prohibit the denial of an individual's access to certain services based on such individual's medical choices.

KS SB592

Relating to the delivery of services and programs to individuals with disabilities; conferring powers and duties on the Office of the Governor; establishing the Office for Individuals with Disabilities and the Advisory Committee for Individuals with Disabilities; and providing for the powers and duties of the office and the committee and for funding of the office and the committee.

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