President Donald Trump says he plans to roll out a new type of retirement account for workers who don't have access to a 401(k) or another type of workplace plan.
"Half of all of working Americans still do not have access to a retirement plan with matching contributions from an employer," Trump said during his State of the Union address Tuesday. "To remedy this gross disparity, I'm announcing that next year my administration will give these often-forgotten American workers … access to the same type of retirement plan offered to every federal worker. We will match your contribution with up to $1,000 each year as we ensure that all Americans can profit from a rising stock market."
It's unclear exactly how Trump's plan will be rolled out or what final form it will take. Speaking with reporters on Tuesday, Treasury Secretary Scott Bessent suggested the law could be passed through reconciliation, much like the One Big Beautiful Bill Act. Despite Trump's allusion to "next year," there is currently no set timeline for the proposal to take effect.
In the meantime, some 40.6 million full-time American workers do not participate in a retirement plan, and about 48.8 million do not benefit from an employer match, according to White House figures.
