Thoughts on the Philly Saves retirement program that was passed last night?
Ballot question 1 on the creation of the Philly Saves retirement program passed last night. Out of curiosity, why did people vote for or against this program?
It seems like the city will automatically deduct 3-6% from your paycheck towards a traditional or Roth IRA. On the pro side, this will help people save more money towards retirement and perhaps enroll people into an investment tool that they may not know was available to them. My take on it is that this will create more bureaucracy and another committee that will cost taxpayer money to provide a service that is available to people anyway. This isn't a 401k and there's no match. Moreover, hard to imagine that this will benefit the target audience who are low savers who are probably not saving much because they're barely surviving to their next paycheck.
Curious to hear people's thoughts on this.