Retirement Fairness for Charities and Educational Institutions Act of 2025

Senate Bill

S. 424

119th Congress

Retirement Fairness for Charities and Educational Institutions Act of 2025

In Committee

Introduced:Feb 18, 2025

Primary Sponsor

Katie Elizabeth Britt

Senator

Republican

AL

Cosponsors

19

Quick Stats

Policy Area

Finance and Financial Sector

Summary

This bill allows 403b retirement plans used by public schools, charities, and churches to invest in collective investment trusts and insurance company separate accounts. This expands investment options and may reduce costs for participants in these nonprofit retirement plans.

Latest Action

Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

AI Summary

Plain-English explanation of this bill

This bill allows 403b retirement plans used by public schools, charities, and churches to invest in collective investment trusts and insurance company separate accounts. This expands investment options and may reduce costs for participants in these nonprofit retirement plans.

Last updated: 1/6/2026

Official Summary

Congressional Research Service summary

Retirement Fairness for Charities and Educational Institutions Act of 2025This bill allows 403(b) retirement plans (i.e., retirement plans designed for certain employees of public schools, charities, and churches) to invest in collective investment trusts, which are a group of pooled investment assets held by a bank or trust company, and in insurance company separate accounts.

Key Points

Main provisions of the bill

Expands 403b plan investment options
Allows investment in collective investment trusts
Permits insurance company separate accounts
Applies to schools, charities, and church plans
May reduce costs for nonprofit retirement participants

How This Impacts Americans

Potential effects on citizens and communities

Employees at schools, nonprofits, and churches with 403b plans would have access to more investment options. Collective investment trusts often have lower fees than mutual funds, potentially improving retirement outcomes for participants.

Policy Areas

Primary Policy Area

Finance and Financial Sector

Related Subjects

Employee benefits and pensions

Financial services and investments

Government employee pay, benefits, personnel management

Religion

Social work, volunteer service, charitable organizations

Scope & Jurisdiction

Jurisdiction Level

federal

Congressional Session

119th Congress

Citation Reference

424, 119th Congress (2025). "Retirement Fairness for Charities and Educational Institutions Act of 2025". Source: Voter's Right Platform. https://votersright.org/bills/118-s-424