Draft bill seeks to boost TSP contributions
A key member of the Senate has drafted an “auto-escalation” bill that would automatically increase Thrift Savings Plan contributions for certain new federal employees.
- By FederalSoup Staff
- May 01, 2012
A key member of the Senate has drafted an "auto-escalation" bill that would automatically increase Thrift Savings Plan contributions for certain new federal employees, the Federal Times
Sen. Daniel Akaka (D-Hawaii) has drafted a bill -- the Save More Tomorrow Act -- that would increase automatically enrolled feds' contribution amount to the G Fund by 1 percent annually for at least three years, boosting the current employee contribution of 3 percent of pay to 6 percent with the potential for higher contributions in the future.
The bill, which has not yet been introduced, would only affect those new feds automatically enrolled in TSP; new military service members would not be affected.