In today’s economy, portable benefits can complement employer-provided benefits systems and extend benefits to more workers, particularly those in nontraditional work arrangements. The benefits would be connected to the individual. Business Roundtable supports legislation to pilot portable benefits tied to and that move with the worker regardless of employer.

Black and Latino families are five times less likely to receive large gifts and inheritances and are less likely to have emergency savings than White counterparts. To help address these issues, Business Roundtable recommends policies that address the wealth and savings gap, including: 

• Some experts have proposed giving newborns a trust (“baby bonds”), which can grow over time and eventually enable homeownership and education. Yearly contributions would be made to a federally insured, interest-bearing account, with contribution amounts determined by household income. Congress should consider piloting a federal program to test the effectiveness of baby bonds.  
• Congress should consider legislation providing tax credits for emergency savings.
• Congress should also consider federal incentives for states to enact the Uniform Partition of Heirs Property Act, which is intended to better preserve and protect property ownership.
• Federal policy plays a critical role in addressing racial inequities in small business growth. Given the scale and scope of the inequities, the private sector alone cannot close these gaps; indeed, the Small Business Administration also has a critical role to play. Small Business Administration (SBA) reforms are, therefore, needed to ensure better alignment of products and services to meet the needs of Black and Latino borrowers. Additional aid for small businesses impacted by COVID-19, such as an extension of the SBA’s Community Advantage Recovery Loans, is also critically needed. 
• Given the important role CDFIs play in community finance and financial inclusion, the federal government should increase the federal CDFI fund from $250 million to $1 billion, including a carve-out for Black-led CDFIs.