LOS ANGELES, CA--(Marketwired - September 30, 2016) - In a move that highlights the desperate condition of many Americans' retirement savings, the state of California is creating its own plan to ensure seniors' financial security. Employers who don't currently offer a 401(k) will be required to participate.
Approved by the California state senate in August, Senate Bill 1234 forces businesses with five or more employees to enroll those workers in the state-run Secure Choice Retirement Savings Program. As reported in the Los Angeles Times, "Deductions would start at 3% of total pay and automatically increase 1 percentage point annually to a maximum of 8%, unless workers choose a different contribution amount."
Though employees can opt out, the state hopes they'll stay and build up their nest eggs. It turns out they may have no choice, in light of Social Security Administration forecasts that the federal entitlement program many Americans assume will be their safety net could be tapped out by 2034. Meanwhile, similar savings plans are being implemented in Connecticut, Illinois, Massachusetts and several other states.
For workers who are less than enthusiastic about trusting their retirement security to the government, private alternatives remain available. These include plans that allow them to diversify into tangible assets that resist inflation's toll on the buying power of their savings, including physical gold and silver.
Goldco Precious Metals, located in Los Angeles, CA, is a privately held retirement services firm that specializes in providing such plans. Goldco offers a range of retirement investment accounts including traditional gold IRAs, silver IRAs, as well as IRA and 401(k) rollovers and 403(b) rollovers.
Founded in 2006 by finance and precious metals authority Trevor Gerszt, Goldco also offers direct sales of precious metals coins and bullion to collectors and investors.