Spots put a face on the people whose retirement savings Prop 42 would protect from new state taxes
SACRAMENTO, Calif. — Yes on Proposition 42, the Retirement & Personal Savings Protection Act, today released three new ads featuring Californians who have spent their careers protecting their communities, teaching students, and helping families plan for retirement. A recent study shows 85% of Californians say the cost of living and taxes are making it harder to save for retirement.
That’s why Prop 42 is supported by a diverse coalition of groups representing hundreds of thousands of Californians, including the State Building and Construction Trades Council of California, the California Professional Firefighters (CPF), the Peace Officers Research Association of California (PORAC), California Senior Alliance, the California Small Business Association, Disabled American Veterans, Department of California, the California Multicultural Business Alliance, and more.
“It’s our job to run towards emergencies – wildfires, car wrecks, burning buildings,” said Firefighter Dave Riles in the ad. “Every day we’re putting our lives on the line, and all we’re asking is for some retirement security where politicians can’t tax it. That’s why we need Prop 42. Voting yes protects our savings and retirement funds from being taxed. Not just for firefighters, but for every Californian. Vote yes on 42 because the money you saved belongs to you.”
“Being a public school teacher, there’s no huge paycheck,” said 2nd grade teacher Vanessa Martinez in the ad. “But knowing there’s money for retirement makes a huge difference. That’s why I’m voting Yes on 42, to stop taxes on retirement so we can keep what we save.”
“People don’t know this, but the legislature has tried to tax retirement savings 5 times in 6 years,” said financial advisor Sean Morgan in the ad. “That’s why we need Prop 42. Yes stops taxes on your 401(k), your IRA, or your pension. Vote yes.”
California is the third most expensive state for retirees. A recent survey found a vast majority of Californians say taxes and the cost of living make it harder to save for retirement – 73% of Californians know someone who has had to delay retirement for financial reasons and roughly 80% of Californians report having some form of retirement fund or savings, including young workers just beginning to save, teachers, firefighters and police officers with pensions, and retirees who depend on their savings for financial security.
Prop 42 protects retirement accounts, pensions, 401(k)s, IRAs, life savings and other personal property from future state taxes, and prohibits retroactive taxes that would change the rules after people have already earned and saved their money.
In recent years, lawmakers have introduced five separate proposals to tax retirement accounts, life savings, and other personal property. Prop 42 provides constitutional protection to stop politicians from taxing retirement or savings accounts.