Share of U.S. workers holding multiple jobs is rising

Re:Share of U.S. workers holding multiple jobs is rising by pmiller2 on Thursday February 18, 2021 @05:14PM (#26186454)

Even just eliminating the whole 401(k) shit show by converting them to IRAs and raising the contribution limits for IRAs to ~$25k (roughly the sum total of what a W2 employee can contribute to an IRA + 401(k) combined) would solve the retirement account problem fairly efficiently. I'd be willing to bet that could be accomplished with approximately a page or two of legislation.

Edit: The problem is "lack of political will," i.e.. lack of people or corporations willing to hire lobbyists to make it happen.

Edit 2: While we're at it, why not just let everybody make Roth contributions, at least up to the amount one could contribute to an IRA? Let's just get rid of the whole "backdoor Roth" shenanigans and let people contribute directly.

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Re:Share of U.S. workers holding multiple jobs is rising by ryandrake on Thursday February 18, 2021 @11:09PM (#26189576)

Just a nit pick: The limit on total employer and employee contributions to a 401(k) is $58,000 in 2021, which includes the $19,500 elective deferral, employer matches, and post-tax contributions. If the "401(k) shit show" was eliminated, I'd hope it would be replaced with similar contribution limits.

To your point about backdoor Roth shenanigans, they aren't really shenanigans, they are legit and IRS-sanctioned. Shenanigans kind of implies you're doing something morally questionable.

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Re:Share of U.S. workers holding multiple jobs is rising by pmiller2 on Friday February 19, 2021 @09:04AM (#26193239)

Fair point. Raising the total contribution limit from all sources to $58k + $6k, without differentiating between individual and other contributions would totally make sense. It's an implementation detail, but a significant one, to be sure. :-)

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Re:Share of U.S. workers holding multiple jobs is rising by ghaff on Thursday February 18, 2021 @06:01PM (#26187057)

There's been the virtual elimination of new private sector defined benefit pensions. Which isn't even entirely a bad thing. Leaving aside issues of benefits being cut in some cases, it was always a system that was designed around people staying decade+ in the same job. And between that and SS in the US, people didn't have much choice for a huge chunk of their savings.

The problems is the various defined contribution schemes were never introduced in a systematic way as you say. 401(k)'s history is particularly unplanned.

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