As the number of Americans in need of long-term care is expected to double from 13 million in 2000 to 27 million in 2050, it is essential to save wisely for elder years. The Pension Protection Act of 2006 may provide the government assistance needed to ensure that people actively prepare for retirement.
On August 17, 2006, The Pension Protection Act of 2006 was enacted. This is the most significant pension legislation since the Employee Retirement Income Security Act of 1974 (known as ERISA). Its purposes are to make many retirement savings incentives permanent, toughen the regulations that govern traditional pension plans, and authorize 401(k) plans to provide investment advice and automatic enrollment of participants. If implemented properly, these changes can have a very positive effect on retirement income security.