Labor & Employment (Retirement Benefits)

in committee · Michigan · Senate Aug 26, 2026

SB 1134: Retirement: state employees; election process to transfer certain law enforcement officers to the Michigan state police retirement system; provide for. Amends sec. 55 of 1943 PA 240 (MCL 38.55) & adds secs. 50b, 50c, 50d, 64a, 64b & 64c. TIE BAR WITH: SB 1133'26, SB 1135'26

Senate Bill 1134 allows specific state law enforcement employees, including corrections officers, conservation officers, and certain state police personnel, to voluntarily transfer from the general state employee retirement system to the Michigan State Police Retirement System. Eligible employees must submit a written election between August 2 and October 15, 2027, to become effective members of the new system on January 1, 2028. The bill permits these individuals to transfer their personal contributions and vested employer contributions to purchase service credit in the police retirement plan. This legislation is tied to two other bills and will not take effect unless all three are enacted into law.

Topics ✓ Labor & EmploymentSupports Labor & EmploymentBill allows law enforcement officers to voluntarily transfer to a specialized retirement system, potentially improving their pension benefits and security.65% confidence

Sub-Topics Public Employees Retirement Benefits

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in committee · Michigan · House Jul 14, 2026

HB 6154: Retirement: state police; contributions into tier 2 account; modify. Amends sec. 42a of 1986 PA 182 (MCL 38.1642a).

This bill modifies the Michigan State Police retirement plan to change how new members receive health benefits and employer contributions. Instead of paying for health insurance premiums, employers will make matching contributions to a Tier 2 retirement account, ranging from 2% to 4% of an employee's pay depending on their start date. Additionally, eligible members can contribute up to 2% of their compensation to this account, and those with at least 10 years of service will receive a $2,000 credit to a health reimbursement account. The legislation also outlines specific rules for when these contributions begin, how long they last, and how they are treated for loan purposes or if an employee leaves the force.

Topics ✓ Labor & EmploymentSupports Labor & EmploymentBill expands retirement benefits and adds employer matching contributions for state police, strengthening worker benefits.85% confidence

Sub-Topics Retirement Benefits

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passed · Michigan · Senate Jun 17, 2026

SB 807: Retirement: other; retirement program for certain nonpublic employees to participate in a benefit plan; create, and provide oversight. Creates new act. TIE BAR WITH: SB 0808'26

SB 807 creates the Michigan Secure Retirement Savings Program, requiring certain employers without existing retirement plans to automatically enroll eligible employees (ages 18+ with Michigan wages) in a payroll-deducted retirement savings plan. The program establishes a separate trust fund outside the state treasury for individual retirement accounts, meeting federal IRA standards, while employers must set up payroll deductions for participation. It also creates an administrative fund to cover program costs, funded by state allocations, grants, and other sources. The law mandates automatic enrollment (with opt-out options) for employees at qualifying employers, aiming to provide low-cost, portable retirement savings for workers who lack access to employer-sponsored plans.

Topics ✓ Labor & EmploymentSupports Labor & EmploymentMandates automatic enrollment in employer-sponsored retirement savings, expanding employee benefits under employment standards.90% confidence

Sub-Topics Retirement Benefits

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in committee · Michigan · House Dec 9, 2025

HB 5335: Retirement: other; MI secure retirement program board; establish. Creates new act. TIE BAR WITH: HB 5336'25

HB 5335 creates the Secure Retirement Savings Board within Michigan's Department of Treasury to administer the state's Secure Retirement Program. The board, consisting of 7 members including the state treasurer (as chair), two public retirement experts, an employer representative, and an enrollee representative appointed by the governor, will oversee program operations. It establishes membership terms, appointment procedures, and requires senate confirmation for governor's appointments. This bill directly affects Michigan residents participating in the state's retirement savings program by defining the governing body responsible for its management.

Topics ✓ Labor & EmploymentSupports Labor & EmploymentBill creates Michigan's Secure Retirement Program to provide structured retirement savings benefits for workers, expanding employment-related financial security under Labor & Employment standards.90% confidence

Sub-Topics Retirement Benefits

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in committee · Michigan · House Dec 9, 2025

HB 5336: Retirement: other; retirement program for certain nonpublic employees to participate in a benefit plan; create, and provide oversight. Creates new act. TIE BAR WITH: HB 5335'25

HB 5336 establishes Michigan's Secure Retirement Savings Program, creating a state-administered retirement plan for private-sector employees whose employers don't currently offer retirement benefits. It requires qualifying employers (those without a 401(k) or similar plan for two years) to automatically enroll employees in payroll-deducted retirement savings accounts, with contributions deposited into a separate trust fund outside the state treasury. The program emphasizes portability, allowing employees to roll funds into other retirement accounts, and mandates low-cost investment options managed by a state board. It directly affects private-sector workers at small businesses or nonprofits without existing retirement plans, providing a new savings pathway without state financial risk.

Topics ✓ Labor & EmploymentSupports Labor & EmploymentMandates automatic enrollment in retirement savings for private employees without employer plans, expanding worker benefits and financial security through a state-administered program.95% confidence

Sub-Topics Retirement Benefits

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in committee · Michigan · House Dec 16, 2025

HB 5256: Individual income tax: deductions; deduction for certain physical facility services; provide for. Amends sec. 30 of 1967 PA 281 (MCL 206.30).

HB 5256 amends Michigan's income tax code to adjust deductions for retirement and pension benefits. It expands the deduction for benefits received from public retirement systems (including federal, Michigan, or other states' systems with reciprocal treatment) and updates the annual cap for non-federal retirement benefits to $42,240 for single filers and $84,480 for joint filers. The bill also requires annual adjustments to these caps based on the Consumer Price Index. This directly affects Michigan taxpayers claiming these specific retirement deductions when calculating taxable income.

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands tax deductions for retirement benefits, reducing taxable income for filers, aligning with tax relief for middle-income earners.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExpands tax deductions for retirement benefits, enhancing financial security for workers post-employment, aligning with 'expands worker benefits' indicator.85% confidence

Sub-Topics Pensions Retirement Benefits

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in committee · Michigan · House Apr 15, 2026

HB 4659: Retirement: state employees; naming a special needs trust as beneficiary; allow. Amends sec. 31 of 1943 PA 240 (MCL 38.31).

HB 4659 allows Michigan state employees to name a special needs trust as a beneficiary for their retirement benefits, expanding current options that only permitted family members (like spouses or children). This change directly affects state employees with disabled family members who rely on government benefits, as naming a trust protects beneficiaries' eligibility for programs like Medicaid without disrupting retirement payments. The bill amends Section 31 of the State Employees' Retirement Act to explicitly include special needs trusts in the list of permitted beneficiaries, replacing the current restriction to family relationships. This policy change ensures retirement benefits can continue to support disabled dependents while maintaining their access to public assistance programs.

Topics ✓ HealthcareSupports HealthcareAllows special needs trusts for retirement beneficiaries, preserving Medicaid eligibility and access to healthcare services without disrupting benefits.85% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExpands retirement beneficiary options for state employees with disabled family members, protecting Medicaid eligibility while maintaining retirement benefits - directly advancing worker benefit protections.95% confidence

Sub-Topics Retirement Benefits

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passed both · Michigan · House May 20, 2025

HB 4201: Individual income tax: retirement or pension benefits; department of corrections retirement and pension benefits; exempt from income taxes. Amends sec. 30 of 1967 PA 281 (MCL 206.30).

HB 4201 amends Michigan's income tax law to exempt certain retirement benefits from state taxation. It specifically adds a deduction for retirement or pension benefits received from Michigan's public retirement systems (like state employee pensions) or federal public retirement systems. This directly affects Michigan residents who receive these types of public-sector retirement benefits by reducing their taxable income. The change modifies Section 30 of Michigan's Income Tax Act (MCL 206.30) to exclude these benefits from taxable income calculations.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts public retirement benefits from state income tax, providing tax relief for recipients. Directly modifies tax law to reduce taxable income per bill summary.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExempts public retirement benefits from state tax, increasing take-home pay for state workers and retirees, directly enhancing compensation and financial security for public-sector employees.95% confidence

Sub-Topics Income Tax Pensions Public Employees Retirement Benefits

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in committee · Michigan · Senate Apr 24, 2025

SB 262: Retirement: state employees; annuity option; provide for. Amends secs. 55, 58, 63, 63a & 69 of 1943 PA 240 (MCL 38.55 et seq.).

Senate Bill 262 updates the State Employees' Retirement Act to provide new annuity options for state employees participating in Tier 2. It requires the state's retirement system to offer access to fixed annuity options, including those with a guaranteed lifetime income, and may also offer variable annuity options. The investment board is tasked with selecting at least two qualified annuity providers through a competitive process. These selected providers must meet specific financial strength, stability, and regulatory compliance criteria.

Topics ✓ Labor & EmploymentSupports Labor & EmploymentExpands retirement benefits for state employees with guaranteed lifetime income annuity options, strengthening employment-related financial security.92% confidence

Sub-Topics Retirement Benefits

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