Wisconsin Looking at New Retirement Options for Residents

Thursday, February 11th, 2021 -- 10:00 AM

(AP) A bipartisan task force that examined a looming retirement savings crisis in Wisconsin is recommending a series of steps to improve the outlook, including the creation of first-of-its-kind savings accounts for every child born in the state that could be tapped for major purchases and saved for retirement.

Bills to implement recommendations from the task force created by Democratic Gov. Tony Evers and chaired by state Treasurer Sarah Godlewski could be introduced for the Legislature to consider in the coming months.

The task force report cites a University of Wisconsin study that showed more than 400,000 senior citizens in Wisconsin will be living in poverty by 2030, resulting in the state spending an additional $3.5 billion on public assistance programs.

Additionally, more than 900,000 adults between the ages of 18 and 64 don’t have access to retirement savings plans through their work, according to AARP. Between 2015 and 2030, the number of people over age 65 in Wisconsin will increase by nearly 60%, or 529,400 people.

The recommendations are largely focused on helping younger people who are working now, and those not even born yet, be able to save enough to avoid having a shortfall by the time they retire decades from now.

Godlewski said she heard from people who said they were worried not only about their own retirement savings but younger people who aren’t saving enough now, or don’t have access to retirement accounts through work.

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