Despite the resistance of small employers, the U.S. Chamber of Commerce and the mutual fund industry in general, legislation to require companies with 10 employees or more to provide employees with a seamless lifetime savings plan through an Automatic IRA, is definitely gaining steam.

The May 3 special edition of Money Management Executive featured one of the architects of the Auto IRA, David C. John of Brookings Institution and The Heritage Foundation. In a four-page Q&A, John explained how President Obama’s budget embraces the concept and how it could benefit the 78 million Americans who work for small companies and who have not a dime saved for retirement. John is certain that “once passed,” Auto IRAs will benefit those financial services firms that embrace it—with the long-term view that small accounts opened by young people will undoubtedly reach six- and even seven-figures over their working life.

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