# 119-hr-7314: Advancing Commonsense Policies Act 119-hr-7314, Advancing Commonsense Policies Act, is a 119th Congress bill sponsored by Rep. Magaziner, Seth [D-RI-2] (D-RI); status in_committee; PRIA reads it as touching household money (as of 2026-09-10). - Canonical: https://policyrisk.com/legislation/119-hr-7314 - As of: 2026-09-10 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: 119-hr-7314 - Congress: 119 - Title: Advancing Commonsense Policies Act - Status: in_committee - Introduced: 2026-02-02 - Sponsor: Rep. Magaziner, Seth [D-RI-2] (D-RI) - Cosponsors: 0 - Policy area: Government Operations and Politics - Touches household money: yes - Last recorded action: 2026-09-10 ## Summary **Major retirement law overhaul to boost savings.** This bill would remake retirement rules to push wider automatic enrollment, expand employer matching options, and change required distributions and catch-up limits for older workers. ## Provisions PRIA read - Keep Retirement Credit for Injured Workers: benefit, high. If enacted, certain federal employees who are injured on duty and moved without a break to a different job in the same agency would have that later service counted as creditable for their original covered-position retirement. The transition must happen with no more than a three-day break, agency ce… - Automatic enrollment and enrollment incentives: benefit, high. If enacted, many employer retirement plans would have default automatic contributions. Plans would set a first‑year default between 3% and 10% of pay, increase it by 1 percentage point each year until at least 10% (up to 15% in most cases), and use qualified default investments. Small, de minimis f… - Bigger Saver's Credit for Filers: benefit, high. If enacted, this bill would raise the Saver's Credit rate to 50%. For joint filers the credit would start to phase out above $48,000 of AGI with a $35,000 phaseout range. These dollar thresholds would be indexed for inflation after 2028. The credit would apply to tax years beginning after December… - Easier IRA fixes and QCD updates: benefit, high. If enacted, IRA owners and plan sponsors would get more ways to fix inadvertent errors without penalties. The IRS correction program (EPCRS) would be expanded so many plan and IRA mistakes can be self-corrected indefinitely. Only the part of an IRA involved in a prohibited transaction would be trea… - Higher Catch-Up Limits for Near-Retirees: benefit, high. If enacted, people who will be age 62 but not 65 in a tax year would be able to make larger catch-up contributions. Non-SIMPLE plans would allow an extra $10,000 and SIMPLE plans an extra $5,000, with those amounts indexed for cost-of-living. The IRA $1,000 catch-up amount would also be indexed sta… - Big small‑business retirement credits: benefit, high. If enacted, eligible small employers could claim a refundable credit for hiring military spouses equal to $250 per eligible spouse plus up to $250 of employer contributions per year. The bill would also add a larger startup credit tied to employer contributions with a $1,000 per‑employee cap and an… - Easier Hardship Withdrawals and Benchmarks: benefit, medium. If enacted, plan administrators could accept an employee's certification that a withdrawal is for an immediate and heavy financial need, which could let workers get emergency retirement funds faster. The Labor Secretary would also be required to allow plan administrators to use an optional blended… - More hardship and domestic-abuse withdrawals: benefit, medium. If enacted, 403(b) plans could allow hardship distributions from elective deferrals, qualified nonelective contributions, qualified matching contributions, and earnings on those amounts, and not require taking a loan first. The bill would also create a one‑year penalty‑free distribution window for… - More retirement access for part‑time workers: benefit, medium. If enacted, some long‑term part‑time workers would be able to join employer plans sooner. Two consecutive 12‑month periods each with at least 500 hours (and age 21) would meet entry rules and those 12‑month periods would count for vesting. The bill also allows multi‑employer 403(b) plans to be trea… - Delaying RMDs and annuity flexibility: benefit, medium. If enacted, required minimum distribution (RMD) ages would rise by cohort: some people would start RMDs at 73, later cohorts at 74, and still later cohorts at 75. The bill would also let commercial annuities used in plans rise modestly (under 5% yearly), allow reasonable lump-sum accelerations and… - Lower Penalty for Missed RMDs: benefit, medium. If enacted, the penalty for missing a required minimum distribution would drop from 50% to 25% of the shortfall. If you correct the shortfall during a defined correction window and file a return reporting the reduced tax, the penalty could be 10%. These changes would apply to tax years beginning af… - Tax relief for firefighters and first responders: benefit, medium. If enacted, firefighters would be able to avoid the additional 10% early‑distribution tax for more types of plans for distributions after December 31, 2024. The bill would also let qualifying first responders exclude part of certain disability retirement payments from gross income, up to the annual… - Retroactive Deferrals for Sole Proprietors: benefit, medium. If enacted, a sole proprietor who is the only employee could treat elective deferrals made before filing their tax return as if made before the end of the plan's first year. This would let qualifying sole proprietors make retroactive first-year deferrals. The rule applies to plan years beginning af… - Limit tax deferral on S‑corp sales: benefit, medium. If enacted, sellers of qualified S‑corporation stock could use the section 1042 nonrecognition election, but for S‑corp sales the seller could defer gain on at most 10% of the amount realized. The change would apply to sales after December 31, 2029. - Stronger Penalties Near Schools: benefit, medium. If enacted, the bill would add up to five more years in prison for certain coercion and trafficking crimes when those crimes occur in a school zone or within 1,000 feet of school-sponsored activities or on/near college-owned grounds. The bill defines terms like 'school zone' and contains an excepti… - National Retirement 'Lost and Found' Database: benefit, medium. If enacted, the Department of Labor would create an online 'Retirement Savings Lost and Found' within two years to help people find plan administrators and recover lost retirement accounts. Plans subject to certain vesting rules would have to submit administrator and participant data for plan years… - Narrower family ownership attribution rules: benefit, medium. If enacted, family attribution rules used for controlled group and affiliated-service-group tests would be narrowed. Community property laws would be disregarded for attribution, stock generally would not be attributed to a spouse in many cases, and child‑attribution rules would be limited so separ… - More 403(b) investment choices: benefit, low. If enacted, amounts in 403(b) custodial accounts could be invested in regulated investment company stock or in group trusts intended to meet IRS revenue‑ruling guidance. The rule applies to amounts invested after December 31, 2024 and expands investment options for participants. - More ESOP shares treated public: benefit, low. If enacted, some employer shares held in ESOPs could be treated as publicly traded if they meet tests such as at least four dealer price quotes, not being a penny stock, audited financials, and a public float of at least $1,000,000 that is at least 10% of shares. The rule applies for plan years beg… - More paper statements; fewer notices: benefit, low. If enacted, defined contribution plans would have to provide at least one paper pension statement each year, and defined benefit plans at least one every three years, unless a participant chooses electronic delivery. Plans could not charge for paper statements and must include contact and plan iden… - Veterans apprenticeship program website: benefit, low. If enacted, the Department of Labor and VA would build a public website listing registered apprenticeship programs for veterans. The site would be searchable by job and location and show program cost to a veteran, contact details, endorsements, hiring preference, and any certificates or degrees. - More outreach for Saver's Credit: benefit, low. If enacted, Treasury would have to increase public awareness of the Saver's Credit and send Congress a report within 90 days describing plans. The report must cover digital and print materials, sharing with states, and translating outreach into the ten most common U.S. languages after English. - Boots to Business Training for Veterans: benefit, low. If enacted, the bill would fund a 'Boots to Business' entrepreneurship program through September 30, 2028. The program would provide training and courses to service members, veterans, TAP participants, and eligible family members. Grants and specific services would depend on available appropriation… - One-year NASA lease extension: benefit, low. If enacted, NASA's authority to lease non‑excess real property would be extended by one year, moving the expiration from December 31, 2032 to December 31, 2033. This preserves NASA's ability to enter such leases through the later date. - Protect House whistleblower identities: benefit, low. If enacted, House members and staff would be barred from knowingly and willfully publicly disclosing the identity or personally identifiable information of someone who reported alleged wrongdoing to Congress. Exceptions include the person's written consent, that the person already publicly disclose… - Study on Foreign Ownership of Ports: benefit, low. If enacted, the Federal Maritime Commission Chair would arrange a study within 90 days to evaluate foreign ownership at the 15 largest U.S. container ports and submit recommendations within one year. The study must review ownership changes, instances of foreign control, federal grants to foreign-ow… - Higher Forced Retirement Cashouts: cost, medium. If enacted, the bill would let retirement plans force mandatory cash-out distributions for small accounts up to $7,000 instead of $5,000. The change would apply to distributions made after December 31, 2024. More participants with small balances could receive immediate distributions rather than kee… - New timing for government 457(b): cost, low. If enacted, elections to defer pay under governmental 457(b) plans would be more time‑limited. For eligible employers described in the statute, deferral agreements must be entered before the compensation is currently available; in other cases deferral for a calendar month must be agreed before that… - Three-year birth and adoption recontributions: cost, low. If enacted, you would have three years from the day after a qualified birth or adoption distribution to repay that distribution. The bill treats this rule as if it had been included in the original SECURE Act change. This narrows the repayment timing to a clear three‑year window. - Protections for plan fixes and overpayments: mixed, medium. If enacted, plans that amend benefits under this Act and operate as if the amendment were already in effect would be protected from certain anti‑cut rules for a set period. The bill would let employers elect to make benefit‑increasing amendments effective for the prior year if they meet qualificati… - More Roth options and student loan matches: mixed, medium. If enacted, employers and employees would get more Roth-style choices. SEP and SIMPLE contributions could be made into a Roth IRA (and would be taxable when made). Employers could designate matching contributions as Roth for plan rules, but those matches would be includible in income. Plans that ma… - One‑year livestock reporting extension: mixed, medium. If enacted, the statutory expiration for livestock mandatory reporting would change from 2024 to 2025, extending the reporting requirement by one year. The amendment updates the expiration year in two related statutes to preserve mandatory market reporting for another year. - Allow ETFs Inside Variable Contracts: mixed, medium. If enacted, the Treasury would be required to change regulations within seven years so that exchange-traded funds (ETFs) can be used as investment options inside variable annuities and variable life insurance contracts. The rules would clarify how ETF diversification is measured and define terms li… - Credit Union Board Meeting Rules: mixed, medium. If enacted, federal credit unions would follow tiered minimum board meeting rules. New (de novo) credit unions would have to meet at least monthly for their first five years. Highly rated credit unions could meet as few as six times per year, with at least one meeting each fiscal quarter. Lower-rat… - House Committees Must Hold Hearings: mixed, low. If enacted, each standing House committee would be required to hold a hearing on how this Act is being implemented within one year of enactment. The requirement would be made part of House rules, subject to the House's right to change its rules later. This creates a formal congressional check on im… - New DHS review for nonstandard grants: mixed, low. If enacted, DHS grant applicants who want to buy equipment that does not meet national voluntary consensus standards must include explanations. DHS would use a uniform review process considering factors like capability gaps, international standards, and Federal use. The DHS Inspector General must r… - Six One‑Million Dollar Appropriations: mixed, low. If enacted, the bill would provide six separate $1,000,000 appropriations for specified agency activities for the fiscal year ending September 30, 2026. Two of the awards (Energy Information Administration and State Capital Investment Fund) would remain available until expended. HRSA telehealth fun… ## Related bills - 119-hr-7977: Energy Bills Relief Act - 119-hr-7315: Advancing Policy Priorities Act - 119-hr-7481: Department of Homeland Security Appropriations Act, 2026 - 119-hr-7973: Momnibus Act - 119-hr-2945: Housing for All Act of 2025 - 119-hr-5658: Child Care for Every Community Act ## Sources - [119-hr-7314 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/7314) ## Related - [119-hr-7977: Energy Bills Relief Act](https://policyrisk.com/legislation/119-hr-7977) - [119-hr-7315: Advancing Policy Priorities Act](https://policyrisk.com/legislation/119-hr-7315) - [119-hr-7481: Department of Homeland Security Appropriations Act, 2026](https://policyrisk.com/legislation/119-hr-7481) - [119-hr-7973: Momnibus Act](https://policyrisk.com/legislation/119-hr-7973) - [119-hr-2945: Housing for All Act of 2025](https://policyrisk.com/legislation/119-hr-2945) - [119-hr-5658: Child Care for Every Community Act](https://policyrisk.com/legislation/119-hr-5658) - [All bills in Congress](https://policyrisk.com/legislation) Source: PRIA, https://policyrisk.com/legislation/119-hr-7314 (as of 2026-09-10).