Oregonians have saved nearly $350 million for retirement through OregonSaves, a program allowing employees without workplace plans to automatically contribute to an individual retirement account.
Now, more than 60% of Oregon workers have access to a retirement savings plan, one of the highest rates in the country.
Bandana Shrestha, state director of AARP Oregon, said the group helped launch OregonSaves in 2017, the first program of its kind in the nation.
“It really is very wonderful that we were able to innovate and lead the country in a program that’s so meaningful and so impactful,” Shrestha emphasized. “I hope that people really take advantage of it.”
Although more than 1 million private sector workers across the country have enrolled in state retirement savings programs, research shows nationwide one in five Americans over age 50 has no retirement savings.
Ryan Mann, executive director of the Oregon Treasury Savings Network, which oversees OregonSaves, said research shows people are 15 times more likely to save when it happens through a payroll deduction at their job.
“OregonSaves is attempting to fill that gap by providing a free way for employers to help their employees save,” Mann explained. “Once they’re enrolled in the program, an easy way for the workers to have it happen automatically.”
Shresthra said retirement savings are not only important for individuals, they can also alleviate some of the financial pressures extended family or friends may feel who are providing care as people age, which can be costly.
“It gives you choices,” Shresthra pointed out. “Both in terms of how you lead your life, but also how you are able to extend generosity and to give to your community, to your family. ”
Research shows women, people of color and lower-wage workers are all less likely to have access to a traditional retirement account, and Mann said OregonSaves is designed to help close intergenerational wealth gaps. State residents can sign up and find more information at OregonSaves.com.
