City Council moves to establish a board to oversee proposed retirement program for non-city workers

Philadelphia City Council Proposes Retirement Program for Non-City Workers

In a bid to boost retirement savings among Philadelphia's working-class residents, city officials have moved forward with establishing a board to oversee a new program aimed at non-city workers. The initiative, dubbed PhillySaves, would automatically enroll low-wage earners who lack a retirement plan into an IRA, providing them with much-needed financial security in their golden years.

According to the bill introduced this week, Philadelphia residents who work for employers that don't offer a pension plan will be required to contribute between 3-6% of their wages to a retirement savings account. Employees can opt-out or adjust their contributions at any time. The program's goal is to bridge the gap in retirement savings, particularly among vulnerable populations such as restaurant workers and other low-wage earners.

The oversight board that will manage the PhillySaves initiative will consist of 15 members, including four selected by Mayor, four appointed by Council President Kenyatta Johnson, and seven others chosen by the city controller and chambers of commerce groups. The program's eligibility criteria require employers to have operated in Philadelphia for at least two years without offering retirement benefits.

Research highlights the dire need for improved retirement savings among seniors in Philadelphia. According to a study from Pew Charitable Trusts, nearly 35% of residents aged 65 and above in Philadelphia struggle with limited financial resources, while a staggering 23% live below the federal poverty line. In contrast, households with any form of income from retirement funds can see their median household income soar to over $57,970.

The program is an effort to address this pressing issue, particularly for those who often fall through the cracks in traditional employer-sponsored pension plans. A recent study by BlackRock investment firm found that more than half of voters in Pennsylvania have less than $50,000 saved for retirement, with a third having nothing set aside at all.

Council President Kenyatta Johnson's vision is to provide low-wage earners with a chance to save and secure their financial futures. "Currently, individuals who work in certain industries don't have those types of opportunities," Johnson said. "It's an affordability initiative as well."

Philadelphia has explored similar retirement programs before but hasn't seen them come to fruition. However, other states and cities have taken steps towards creating state- or city-run retirement plans for private-sector employees. AARP and other advocates are supporting the legislation, arguing that such programs can make a significant difference in helping seniors retire with dignity and financial security.

omg u no how hard it is 2 save up 4 retirement lol i mean its cool dat philly city council is tryin 2 help out low wage earners get a sec 2 themselves but 3-6% is kinda steep dont think many ppl can afford that idk bout others think its a good idea tho cuz u have 2 start savin 4 ur future and all thats said i feel 4 kenyatta johnson's vision is on point we need more initiatives like this to help out seniors who r often left behind

Man, this PhillySaves program is like a breath of fresh air! I mean, think about it, lots of low-wage workers aren't even getting a dime towards retirement, and now the city is stepping up to help. It's not just about them, though - it's also about their families and loved ones who'll be affected by their financial stability in old age.

I'm loving how this program is designed to be flexible and easy to opt-out of if people don't want it. And let's be real, who wouldn't want to save up for retirement? The numbers are crazy, though - 35% of seniors struggling with limited resources? That's just unacceptable. But I'm glad the city is taking this seriously.

It's awesome that organizations like AARP are supporting this legislation, too. They know what they're talking about when it comes to the importance of retirement planning. And hey, even if other states and cities haven't had success with similar programs before, I say let's try something new!

I FEEL SO GOOD ABOUT THIS NEWS!!! IT'S ABOUT TIME WE DO SOMETHING FOR OUR LOW-WAGE WORKERS WHO ARE OFTEN LACKING IN RETIREMENT SAVINGS! THE PHILLYSAVES PROGRAM IS A GREAT IDEA AND I HOPE IT WOULD HELP bridge the gap in retirement savings, ESPECIALLY AMONG RESTAURANT WORKERS AND OTHER LOW-WAGE EARNERS WHO NEED OUR HELP.

The PhillySaves program is like something out of a dream for low-wage earners in Philadelphia . I'm all for it! It's crazy to think that some people are living below the poverty line, while others have millions saved up for retirement . The stats are pretty eye-opening - 35% of seniors in Philly struggle with limited financial resources? That's just not right .

I like how this program is designed to automatically enroll non-city workers into an IRA. It's a great way to ensure that everyone has some form of retirement savings, regardless of their employer. The fact that employees can opt-out or adjust their contributions at any time is also a big plus .

It's interesting to see other states and cities taking steps towards creating state- or city-run retirement plans for private-sector employees. Maybe PhillySaves will be the catalyst for change? I'm definitely keeping an eye on this one .

I think its kinda cool that Philly is takin' action to help out low-wage workers who don't have access to retirement plans . Its not like anyone's gonna be forced into it or anything, they just get auto-enrolled which sounds pretty chill to me . I mean, its a great idea cuz those people need all the help they can get financially, and its nice that the city is tryin' to bridge that gap . Plus, AARP's on board with it so hopefully itll make a real difference in peoples lives .

OMG I'm so stoked about this news! PhillySaves is literally the answer to everyone's prayer especially those low-wage earners who need help planning for retirement! The fact that they're going to automatically enroll people into an IRA is a total game-changer . It's not like these folks have other options, you know? They need this kind of support ASAP .

And can we talk about how messed up it is that so many people are struggling with financial resources in their golden years? Like, shouldn't we be doing more to help our seniors out?! This program is a huge step forward and I'm all about it!

I mean, think about it... the fact that we need a retirement program to even provide basic financial security for low-wage earners is kinda crazy. We're living in a world where people are expected to work until they're like 65 or older, but do we really consider how prepared they'll be for life after that? It's all about creating systems that support each other, you know?

And what's up with the idea of automatic enrollment into an IRA? Is it too much to ask from employers just to provide a basic pension plan? I mean, it's not like we're asking for much. Just some financial stability so people can enjoy their golden years in peace.

It's also interesting that PhillySaves is trying to bridge the gap between retirement savings and poverty levels. Like, how many of us have considered what happens when we hit 65 and suddenly we're not working anymore? It's a whole new world out there. We need programs like this to help people prepare for it.

But what does this say about our society, right? That we need government intervention just to ensure basic human needs are met? I guess that's the point – we can't always rely on ourselves alone; we need a safety net.

Just think about it, PhillySaves is like a hand up to people who need it most! Low-wage earners struggling to save for retirement, it's a real issue. The fact that nearly 35% of seniors in Philly are living below the poverty line is just heartbreaking. But this program could be the answer, providing them with a safety net and a chance to build some security. It's not just about the numbers though, it's about people's lives and dignity. I'm all for it, let's make PhillySaves a reality!

The US needs more initiatives like this PhillySaves program . It's crazy to think that some workers have no retirement plan at all, it's just not right. I mean, how are people supposed to save for their golden years if they can barely make ends meet? This program makes sense, especially since low-wage earners often get left behind in traditional pension plans.

It's interesting that Philly is one of the first cities to propose a mandatory retirement plan for non-city workers . I guess this shows that some cities are taking bold steps to address this issue. The fact that 15 people will be on the oversight board is a good start, but I wish it was more diverse since some groups (like low-income earners) are underrepresented.

I'm all for it, let's hope it gets passed and helps those who need it most . We should definitely see this trend spread across the country.

I'm all for this PhillySaves program, but come on, it's gonna be super confusing to navigate all those options when you're already stressing about making ends meet. And what's up with the 3-6% contribution range? It feels like a lot, especially if you're barely scraping by. I get that low-wage earners need help, but can't we make it more accessible, like a simple, one-click opt-out or something? The whole system feels super bureaucratic and slow to implement. And what's the deal with the board composition? Like, too many people with vested interests in the outcome...

Ugh, I'm so done with the PhillySaves program ! It's great that they're trying to help low-wage earners out, but automatically enrolling them into an IRA is just too much control . Can't we just give people some basic financial literacy and let them make their own decisions? I mean, 3-6% of wages is a lot . What if they can't afford it? It's not like the city is offering any alternative solutions .

And what about the whole opt-out thing? Are we just going to assume everyone wants to save for retirement automatically? Newsflash: people have different financial priorities and goals! This program feels like a one-size-fits-all solution, which I'm just not comfortable with .

I think this is a game changer for Philly's low-wage workers . They're basically being forced to join a retirement plan, which might not be the worst thing in the world. I mean, who doesn't want some sort of safety net when they're getting up there in years? It's crazy that people are living below the poverty line just because they don't have any savings set aside. We should definitely be supporting this initiative and encouraging other cities to follow suit

Man I'm so stoked about this PhillySaves initiative ! It's like, a total game-changer for low-wage earners who don't have access to retirement plans. I mean, it's crazy that some people are struggling to make ends meet in their golden years . This program is gonna give them a safety net, you know? Automatically enrolling them into an IRA and encouraging them to contribute 3-6% of their wages... it's like, the ultimate financial empowerment move .

I'm all for this, especially since some states and cities have already started implementing similar programs . It just goes to show that there's a growing recognition of the importance of retirement savings, particularly among vulnerable populations. We need more initiatives like PhillySaves, you feel me?

I'm kinda torn on this one ... on one hand, I think it's awesome that Philly is trying to help low-wage earners out with retirement savings. Like, who doesn't want to feel secure in their golden years? And the fact that it'll automatically enroll people into an IRA sounds like a great way to get them started.

But at the same time... I'm not sure if this will really reach all the people who need it . Like, what about those who can't afford to contribute even 3% of their wages? That's a pretty big chunk for some folks. And how will we make sure that the program is actually working and not just another bureaucratic headache?

And I know some ppl are saying this is an "affordability initiative" too , but I'm not so sure about that. Like, shouldn't we be making it easier for people to afford retirement savings in the first place? Instead of just trying to make it more affordable after they've already fallen behind.

But hey, I guess only time will tell if PhillySaves is actually gonna make a difference . One thing's for sure though... it's about time we started taking retirement savings seriously!

I'm loving this move by Philly City Council to create a retirement program for non-city workers! It's about time we address the huge gap in retirement savings for our low-wage earners . They're the backbone of our city, working hard every day but struggling to make ends meet in their golden years . This program, PhillySaves, is a game-changer – automatically enrolling them into an IRA and providing a safety net for when they can't work anymore .

I'm also impressed that the oversight board has a diverse lineup of members, including business leaders and community advocates . It shows they're committed to making this program a success and addressing the root causes of financial insecurity among low-wage workers . This is exactly what we need – a proactive approach to creating affordable retirement options for everyone, not just those with traditional employer-sponsored plans .

It's great to see AARP and other advocates on board, pushing for legislation that can make a real difference in people's lives . And I'm curious to see how this program will be implemented and what the outcomes will be . One thing's for sure – PhillySaves is a step in the right direction towards creating a more equitable and sustainable future for all Philadelphia residents !

I'm thinking this is super awesome news! PhillySaves is like, totally gonna change lives, especially for those low-wage earners who don't have access to retirement plans . I mean, 3-6% of their wages might not seem like a lot, but it's better than nothing, right? And the fact that they can opt-out or adjust their contributions at any time is a major win . It's about time we start looking out for our most vulnerable citizens and making sure they're taken care of in their golden years . The stats from Pew Charitable Trusts are just mind-blowing - 35% of seniors struggling with limited financial resources? That's, like, crazy! I'm so glad Council President Kenyatta Johnson is leading the charge on this one .

omg this is like so good news!!! i've seen so many ppl struggle with finances in philly and it's heartbreaking. having a program like phillysaves could really help bridge the gap for those who don't have access to retirement plans. 3-6% might not seem like a lot but it can add up over time and make such a huge difference. plus, it's automatic enrollment so ppl are less likely to opt-out. council president kenyatta johnson is doing an amazing job pushing for this initiative and aarp & other advocates should get major props too!

This is a classic case of wealth redistribution! Think about it, politicians want to take from high-income earners (like employers) and give to low-wage workers who barely scrap by. I mean, what's next? Free housing for everyone? It's just not sustainable.

I'm all for helping the working class, but shouldn't we be promoting personal responsibility over government handouts? These non-city workers need to start taking care of their own retirement plans if they can't count on the city to bail them out. And what about small business owners who might get hit with a 3-6% tax hike just for offering their employees some basic retirement benefits?

And don't even get me started on this oversight board. How will it be funded? What's to stop these politicians from using taxpayer dollars to fund their own pet projects? Transparency, please!

I'm low-key surprised Philly is finally doing something about this . It's about time they took action on retirement savings for their working-class residents. I mean, 35% of seniors struggling with limited finances? That's a major issue right there . And let's be real, it's not like these people can just save up themselves - low wages don't exactly leave room in the budget .

I do love that the program is automatic, though. No more trying to scrounge together enough cash for an IRA or worrying about being left behind by a pension plan . It's a good start, but we need to make sure it doesn't just benefit those who already have some sort of financial cushion .

Also, let's give props to Council President Kenyatta Johnson - she's on the right track with this initiative . AARP and other advocates are all in, which is great to see . Now, if we can just get some other states and cities to follow suit, we might actually start seeing some real change .