Any 401(k) changes in the GOP tax cuts would only 'make them bigger': Rep. Brady

Rep. Brady: GOP tax reform push will strengthen 401(k)s

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Rep. Brady: GOP tax reform push will strengthen 401(k)s

Rep. Kevin Brady (R-Texas), chair of the House Ways and Means Committee, provides an update into the GOP’s efforts to pass tax reform.

As Republicans inch closer to passing the first major tax overhaul in more than 30 years, some worry that in order to fund the $1.5 trillion cuts, tax-free deposits into 401(k) retirement accounts could be curtailed.

Though President Donald Trump has said he adamantly opposes the addition, Chair of the House Ways and Means Committee Rep. Kevin Brady (R-Texas) refused to rule out any changes to the retirement program, which is used by 55 million U.S. workers who hold some $5 trillion in their 401(k) accounts.

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October 23, 2017

During an interview with FOX Business’ Stuart Varney, Brady promised that if any changes were made to the touchstone, tax-deferred retirement program, it would “strengthen and make them bigger” to help Americans save more, sooner.

“Here’s the problem: Those 401(k)s, most people are saving $200 or less a month,” he said Friday during “Varney & Co.” “That won’t do in retirement. They’ll be in trouble.”

Now, Republicans are working with experts to figure out how to help families save more through their 401(k) accounts, Brady said. If they can’t find a solution, that part of the tax reform legislation would likely be scrapped, and the program would remain untouched.


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