Automatic IRA Act of 2025: Establishes rules for automatic contribution retirement plans and arrangements.

The Automatic IRA Act of 2025 amends the Internal Revenue Code to create rules for automatic contribution retirement plans and arrangements. It mandates automatic enrollment of eligible employees in retirement plans, sets notice, eligibility, contribution, fee, and lifetime income requirements, and imposes taxes for non-compliance. The bill also establishes an Advisory Group to recommend best practices for automatic IRA arrangements. It provides a tax credit for small employers facilitating such arrangements and preempts state laws that conflict with these federal provisions.

Automatic IRA Act of 2025: Establishes rules for automatic contribution retirement plans and arrangements.

The Automatic IRA Act of 2025 amends the Internal Revenue Code to create rules for automatic contribution retirement plans and arrangements. It mandates automatic enrollment of eligible employees in retirement plans, sets notice, eligibility, contribution, fee, and lifetime income requirements, and imposes taxes for non-compliance. The bill also establishes an Advisory Group to recommend best practices for automatic IRA arrangements. It provides a tax credit for small employers facilitating such arrangements and preempts state laws that conflict with these federal provisions.