Sen. Coons to speak in Wilmington about his minimum savings legislation for workers
Delaware’s junior Sen. Chris Coons will speak to Delawareans Tuesday in Wilmington about his bill to help people save money.
Coons’ Saving for the Future Act allows workers to save for both emergencies and retirement.
His legislation would require employers with more than 10 workers to contribute 50 cents for every hour they work to the emergency savings fund. In exchange the businesses would get tax credits. Workers at exempt small businesses would get individual credits.
Prosperity Now, a D.C. nonprofit, is hosting Tuesday’s event. It’s Policy and Research Vice President David Newville said low and middle income people are really struggling to save.
“The number of debt loads that people are kind of carrying right now coming to historic levels or the amount of their income that they’re paying toward basic necessities like rent or their mortgages," he said.
Newville said the emergency fund would be inside an individual’s retirement fund.
“And the idea is to give employees an option you know to have this emergency savings and also while building the longer-term security through the retirement savings,” he said.
The first $2,500 workers save would go into the emergency fund. Additional savings would go into their retirement fund. Workers could adjust their contribution levels - or opt-out.
The event is at 9 a.m. at Wilmington's Christina Cultural Arts Center.