A bill that would allow seniors to avoid drawing down their savings from depleted retirement accounts sailed through the Senate yesterday. The legislation temporarily removes the penalty for people age 70 1/2 and older who fail to withdraw a required minimum amount from their retirement plan or IRA in 2009. Companies will also get a break on pension funding requirements. The bill was passed by the House on Wednesday.
Here’s a look at how the legislation would affect retirees and companies.
Next up: The bill goes to President Bush. He is expected to sign.