Wenstrup, Suozzi Introduce the Enhancing Emergency and Retirement Savings Act of 2022

Statement

Yesterday, Congressmen Brad Wenstrup (R-Ohio) and Tom Suozzi (D-N.Y.) introduced H.R. 7146, the Enhancing Emergency and Retirement Savings Act of 2022, to help more Americans save for retirement by providing some flexibility to cover unexpected financial emergencies. This bill would allow penalty-free "emergency" distributions, up to $1,000, from tax-exempt retirement plans for emergency expenses, limited to one distribution in a calendar year. This bill is the House companion to S. 1870, introduced by Senators James Lankford (R-Okla.) and Michael Bennet (D-Colo.) in May 2021.

You can read the full text of the bill here.

"I know that many Americans struggle to save for retirement and are unsure about their financial futures," said Congressman Wenstrup. "By providing some flexibility in case an emergency expense arises, this bipartisan legislation can reduce some of that short-term financial burden while still enabling Americans to save for themselves, their families, and their long-term futures."

"Most Americans don't have $400 in their bank accounts in case of emergency. By allowing penalty-free emergency distributions, this bipartisan legislation will ensure hardworking Americans have access to their retirement money should they be faced with emergency expenses," said Congressman Suozzi.

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