STAND.
COM. REP. NO. 1752
Honolulu, Hawaii
, 2021
RE: S.C.R. No. 211
S.D. 2
H.D. 1
Honorable Scott K. Saiki
Speaker, House of Representatives
Thirty-First State Legislature
Regular Session of 2021
State of Hawaii
Sir:
Your Committee on Labor & Tourism, to which was referred S.C.R. No. 211, S.D. 2, entitled:
"SENATE CONCURRENT RESOLUTION URGING THE DEPARTMENT OF HUMAN RESOURCES DEVELOPMENT AND DEPARTMENT OF EDUCATION TO ESTABLISH AND OFFER A QUALIFIED ROTH CONTRIBUTION PROGRAM TO THEIR RETIREMENT PLAN PARTICIPANTS,"
begs leave to report as follows:
Your Committee finds that some employers in Hawaii, including the state government, provide their employees with retirement savings plans as part of their benefits package and use those plans as recruitment incentives. However, all the retirement plans currently offered to state employees are traditional retirement plans. Your Committee further finds that section 402A of the Internal Revenue Code allows certain employer retirement plans to have a qualified Roth contribution program, which would allow qualified distributions from the Roth account to be excluded from taxable income at the time of withdrawal. Your Committee also finds that a broader selection of retirement plan options may entice more employees to contribute to their retirement accounts.
Your Committee has amended this measure by:
(1) Requesting that a qualified Roth contribution program be established and offered by January 1, 2024, rather than July 1, 2023, to coincide with the tax year; and
(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.
As affirmed by the record of votes of the members of your Committee on Labor & Tourism that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 211, S.D. 2, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as S.C.R. No. 211, S.D. 2, H.D. 1.
Respectfully submitted on behalf of the members of the Committee on Labor & Tourism,
|
|
____________________________ RICHARD H.K. ONISHI, Chair |
|
|
|