The mighty 401(k) has humble roots as it was originally created by Congress to establish the tax rights of profit sharing plans. However, it was quickly discovered that the new provision had wide ranging implications and employee contribution plans rapidly gained in prominence and now the treasury misses out on $57 billion in revenue per year. This article examines the rise of the 401(k) and looks to the future at what changes might be in store.
See John Rekenthaler, A Brief History of 401(k)’s, Moringstar, May 6, 2015.
Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.
