Retire through Ownership Act
To amend the Employee Retirement Income Security Act of 1974 to provide a clear definition of adequate consideration for certain closely held stock, and for other purposes.
HB5169, known as the Retire through Ownership Act, aims to update the Employee Retirement Income Security Act of 1974 (ERISA). The bill focuses on clarifying what constitutes "adequate consideration" for certain closely held stocks, which are stocks held by a small number of shareholders. This change is intended to make it easier for individuals to retire by owning stock in their own companies.
This bill would primarily affect business owners, employees, and retirement plans within companies that have closely held stock. By providing a clearer definition of "adequate consideration," the bill hopes to make it easier for businesses to offer stock ownership as part of employee retirement plans. This could potentially benefit employees by providing a more stable and valuable retirement option.
As of September 2025, HB5169 was introduced and referred to the House Committee on Education and Workforce. It was reported with amendments on January 14, 2026, and placed on the Union Calendar. The bill has moved forward with unanimous approval in committee and is now awaiting further action in the House.
