Section 1 Short title
This Act may be cited as the “Retirement Investment in Small Employers Act”.
Retirement Investment in Small Employers Act
A BILL
To amend the Internal Revenue Code of 1986 to provide for a microemployer pension plan startup credit.
Sec. 2 Microemployer pension plan startup credit
In general— Section 45E of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:
“(g) Credit for microemployers
“(1) In general—In the case of a qualified microemployer—
“(A) subsection (a) shall be applied by substituting “100 percent” for “50 percent”, and
“(B) subsection (b)(1) shall be applied by substituting “$2,500” for “$500” in subparagraph (A) thereof.
“(2) Qualified microemployer—For purposes of this subsection, the term qualified microemployer means an employer which would be an eligible employer if section 408(p)(2)(C)(i)(I) were applied by substituting “10” for “100”, but only if the eligible employer plan established or maintained by such employer, under the terms of the plan, accepts payment of the matching contribution under section 6433.”
Effective date— The amendment made by this section shall apply to taxable years beginning after December 31, 2024.