CHICAGO – Governor Pat Quinn today signed legislation to create the Illinois Secure Choice Savings Program. The program establishes the option of an individual retirement plan for more than two million Illinois private sector employees who currently do not have access to any retirement plan at work. Today’s action is part of Governor Quinn’s agenda to ensure all Illinois workers are protected and treated fairly.
“For many people across Illinois, retirement planning is often a matter of too little, too late,” Governor Quinn said. “Without an adequate retirement savings plan, many people are forced to spend their later years scraping to get by with just Social Security. This legislation protects millions of private sector employees in Illinois who work hard but do not have the option of a retirement plan through their employer.”
Senate Bill 2758, sponsored by State Senator Daniel Biss (D-Skokie) and House Majority Leader Barbara Flynn Currie (D-Chicago), establishes the Illinois Secure Choice Savings Program. The program creates a simple individual retirement savings option through a 3 percent payroll deduction for private sector employees whose employer does not offer a retirement plan besides Social Security. Employers that have been in business for at least two years and employ 25 or more employees are required participate. Employees can opt-out of the program, or contribute more or less than the default 3 percent.