Retirement Policy Directions in 2017 and Beyond, February 2017, Vol. 38, No. 4, Employee Benefit Research Institute, 2017.

“With a new Congress and a new president in Washington, how are U.S. retirement policies likely to change? Possibly quite radically, and for two main reasons. First, because of the new majority’s plans to overhaul the entire U.S. tax structure and federal budget in ways that could fundamentally change how private-sector retirement plans are treated in the tax code. Retirement, as a stand-alone issue, is no longer a high legislative priority in Washington. And second, because of the drive to simplify and lower income tax rates, tax-favored retirement provisions in the tax code are vulnerable. As one of the top sources of “revenue foregone” by the federal government, ending or reducing current tax breaks for employment-based retirement plans (particularly 401(k)s) would free up revenue for other things the new Congress and president want to do.”

• See also Bloomberg – Two in Five Americans Say They’ll Need $1 Million to Retire. A new survey finds our expectations at odds with the financial reality of today’s retirees.