SMART Savings Act of 2026 Simplifying Modern Access to Retirement...
A bill to amend the Internal Revenue Code of 1986 to exempt individual account plans from certain prohibited transaction rules.
The bill, SB5204, proposes to change the Internal Revenue Code to exempt individual account plans from specific rules that restrict certain transactions. This means that people with individual account plans would have more freedom in how they manage their finances, without the restrictions that currently apply.
This change would mainly affect people who have individual account plans, such as those with Health Savings Accounts (HSAs) or retirement savings accounts. By removing some of the restrictions, these individuals could potentially have more flexibility in managing their funds, which might help them save more effectively or invest better.
SB5204 was introduced on July 30, 2026, and was referred to the Senate Committee on Finance for further review. This means the bill is still in the early stages of the legislative process and has not yet been voted on or moved forward. If passed, it would require approval from both the Senate and the House of Representatives before becoming law.
