Center for American Progress

Improving Americans’ Retirement Outcomes Through the National Savings Plan
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Improving Americans’ Retirement Outcomes Through the National Savings Plan

Policymakers should take action to expand retirement plan access to the millions of Americans without a workplace retirement plan.

Read the full report (CAP Action)

America’s current retirement system is failing its citizens. Millions of workers nearing the end of their careers likely will not be able to maintain their preretirement standard of living, and even fewer members of younger generations are on track to attain it. American Progress has called for a host of reforms to address the retirement crisis—from improving private-sector retirement plans to strengthening Social Security to reforming retirement tax subsidies.

One of the key ways that the Center for American Progress Action Fund has recommended improving the private-sector retirement system is by providing all workers with access to a retirement plan modeled on the Thrift Savings Plan, or TSP, the 401(k)-style retirement savings plan currently open to federal employees and members of Congress. The TSP has many features that make it a good retirement plan, including low fees, sensible investment options, and simplicity, and it is praised by both progressives and conservatives.

This report introduces CAP Action’s proposed National Savings Plan, or NSP, providing additional details on how establishing a plan similar to the TSP for all workers would operate, as well as new estimates for how much better off workers would be if they were saving in such a plan.

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Authors

David Madland

Senior Fellow; Senior Adviser, American Worker Project

Alex Rowell

Policy Analyst

Rowland Davis

Senior Fellow

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