T. ROWE PRICE APPLAUDS PASSAGE OF SECURE 2.0 ACT RETIREMENT SAVINGS LEGISLATION

Rhea-AI Summary

T. Rowe Price has issued a statement on the passing of the bipartisan SECURE 2.0 Act, included in the Consolidated Appropriations Act of 2023. The Act aims to enhance retirement savings by introducing automatic features, enabling student loan matching contributions, and allowing older workers to save more. Despite these advancements, the legislation did not include provisions for lower costs for 403(b) plan participants. T. Rowe Price, managing $1.34 trillion in assets, expressed gratitude towards Senator Ben Cardin for his leadership in retirement policy.

Positive

• SECURE 2.0 Act increases retirement savings opportunities.
• New provisions allow student loan matching contributions.
• Legislation simplifies retirement plan administration for employers.
• T. Rowe Price's support for retirement enhancements recognized.

Negative

• SECURE 2.0 Act does not lower costs for large 403(b) plan participants.

BALTIMORE, Dec. 23, 2022 /PRNewswire/ -- T. Rowe Price, a global investment management firm and a leader in retirement, issued a statement on the inclusion of SECURE 2.0 Act retirement legislation in the Consolidated Appropriations Act of 2023 passed by the U.S. Congress today.

"We congratulate Congress for passing the bipartisan SECURE 2.0 Act, which improves individuals' ability to save for retirement, expands access to retirement plans, and eases plan administration for employers," said Dee Sawyer, head of Retirement Plan Services and U.S. Intermediaries. "We are pleased to see many of the provisions we have supported become law, and we would specifically like to thank our Maryland Senator, Ben Cardin, for his leadership with retirement policy."

Among its highlights, the bill increases retirement savings through automatic features, enables matching contributions for student loan payments, permits older workers to save more and stay invested longer, simplifies disclosures, and provides credits for small businesses starting new plans. Unfortunately, the legislation failed to include important provisions that would have allowed participants in large 403(b) plans to enjoy the same lower costs that participants in larger 401(k) plans enjoy through the use of collective investment trusts.

Sawyer added, "By passing SECURE 2.0 Act, Congress has taken a meaningful step for the retirement security of all Americans. At a time when individuals and businesses are facing competing financial pressures, we are pleased to see legislation that enhances retirement savings opportunities for millions of Americans. We recognize that more can and should be done and we look forward to continuing to work with Senator Cardin and others in the future."

ABOUT T. ROWE PRICE

Founded in 1937, Baltimore-based T. Rowe Price (NASDAQ-GS: TROW), is a global investment management organization with $1.34 trillion in assets under management as of November 30, 2022. The organization provides a broad array of mutual funds, collective investment trusts, subadvisory services, and separate account management for individual and institutional investors, retirement plans, and financial intermediaries. The organization also offers a variety of sophisticated investment planning and guidance tools. T. Rowe Price's disciplined, risk-aware investment approach focuses on diversification, style consistency, and fundamental research. For more information, visit troweprice.com, Twitter, YouTube, LinkedIn, or Facebook.

View original content:https://www.prnewswire.com/news-releases/t-rowe-price-applauds-passage-of-secure-2-0-act-retirement-savings-legislation-301709752.html

SOURCE T. Rowe Price Group, Inc.

FAQ

What is the SECURE 2.0 Act passed by Congress on Dec 23, 2022?

The SECURE 2.0 Act enhances retirement savings by introducing automatic features, student loan matching contributions, and provisions for older workers.

How does the SECURE 2.0 Act impact retirement savings?

It improves retirement savings accessibility and administrative ease for employers.

Did the SECURE 2.0 Act include provisions for 403(b) plans?

No, it failed to include provisions to reduce costs for participants in large 403(b) plans.

What is T. Rowe Price's role regarding the SECURE 2.0 Act?

T. Rowe Price supports the Act and advocates for improved retirement savings opportunities.

What is T. Rowe Price's asset management status as of Nov 30, 2022?

As of Nov 30, 2022, T. Rowe Price manages $1.34 trillion in assets.