DELAWARE - A new retirement program for Delawareans without a workplace retirement savings plan is considering cooperation with other states in order to provide more benefits.
The board of the Delaware Expanding Access for Retirement and Necessary Savings program voted unanimously on Thursday to evaluate entry into an interstate partnership or multistate consortium to support the launch and future success of the program.
The office of Delaware Treasurer Colleen Davis says the program will provide a convenient way for private-sector workers to save for retirement. According to her office, nearly 150,000 Delaware workers currently lack access to a workplace retirement savings plan. EARNS is also expected to help small businesses that lack the resources to offer a 401(k) or similar retirement plan.
"Partnering with other programs would allow for collaborative decision making with industry leaders and benefit the program as it moves towards its launch," Davis said.
Davis said interstate cooperation could benefit Delaware by lowering start-up costs for the state, speeding up the time to launch, lowering initial fees for participants, and potentially accelerate fee decreases over time. She points to the previous success of Delaware's ABLE plan, which is a savings plan for people with disabilities, that operates through a multistate consortium called the National ABLE Alliance.
The program was signed into law in 2022 and is currently expected to launch in 2025. Questions about the EARNS program can be directed to EARNS@delaware.gov.