State Wage-Payment Laws, the Pension Protection Act of 2006 and 401(K) Saving Behavior

Boston College Center for Retirement Research Working Paper No. 2010-14

14 Pages Posted: 11 Nov 2010

See all articles by Gary V. Engelhardt

Gary V. Engelhardt

Syracuse University - Center for Policy Research; Dartmouth College - Department of Economics; National Bureau of Economic Research (NBER)

Date Written: October 1, 2010

Abstract

State wage-payment laws, which forbid deductions from wages and salaries without the written permission of the employee, constituted a binding constraint on firms’ choices to adopt automatic enrollment in 401(k) plans prior to 2006. Since the passage of the Pension Protection Act of 2006, which clarified the legality of auto-enroll plans and superseded these state laws, 401(k) participation has been higher in states that previously required written permission.

Suggested Citation

Engelhardt, Gary V., State Wage-Payment Laws, the Pension Protection Act of 2006 and 401(K) Saving Behavior (October 1, 2010). Boston College Center for Retirement Research Working Paper No. 2010-14, Available at SSRN: https://ssrn.com/abstract=1706216 or http://dx.doi.org/10.2139/ssrn.1706216

Gary V. Engelhardt (Contact Author)

Syracuse University - Center for Policy Research ( email )

426 Eggers Hall
Syracuse, NY 13244
United States
315-443-4598 (Phone)
315-443-1081 (Fax)

Dartmouth College - Department of Economics ( email )

Hanover, NH 03755
United States

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
38
Abstract Views
425
PlumX Metrics