The chances of knowing - or becoming - a poor American in old age are growing thanks to a nationwide retirement crisis. In this interview with Investment News TV, I discuss how states are taking the first, innovative steps toward a policy solution.

Ghilarducci Interview

California, Illinois, and Oregon were the first to enact legislation known as Secure Choice plans that require some employers to enroll employees in state-sponsored individual retirement accounts (IRAs). A second state-level policy is the open multiple employer plan, where states pool together employers and employees who voluntarily choose to enroll in state-sponsored 401(k)-type retirement accounts. The scale provided allows for low fees, diversified investments, and the feasibility of annuities.

While state plans are not a long-term solution to the national problem of a systemic lack of retirement savings, the United States has a history of national social programs rising up from state innovation.