I 
112TH CONGRESS 
2D SESSION 
H. R. 6472 
To amend the Internal Revenue Code of 1986 to expand the availability 
of the saver’s credit, to make the credit refundable, and to make Federal 
matching contributions into the retirement savings of the taxpayer. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 20, 2012 
Mr. NEAL (for himself, Mr. MCDERMOTT, Mr. LEWIS of Georgia, Mr. BLU-
MENAUER, Mr. KIND, and Mr. ELLISON) introduced the following bill; 
which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to expand 
the availability of the saver’s credit, to make the credit 
refundable, and to make Federal matching contributions 
into the retirement savings of the taxpayer. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Savings for American 
Families’ Future Act of 2012’’. 
SEC. 2. MODIFICATION OF SAVER’S CREDIT. 
(a) 50 PERCENT CREDIT FOR ALL TAXPAYERS: EX-
PANSION OF PHASEOUT RANGES.—Subsection (b) of sec-
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tion 25B of the Internal Revenue Code of 1986 is amend-
ed to read as follows: 
‘‘(b) APPLICABLE PERCENTAGE.—For purposes of 
this section— 
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), the applicable percentage is 50 percent. 
‘‘(2) PHASEOUT.—The percentage under para-
graph (1) shall be reduced (but not below zero) by 
the number of percentage points which bears the 
same ratio to 50 percentage points as— 
‘‘(A) the excess of— 
‘‘(i) the taxpayer’s adjusted gross in-
come for such taxable year, over 
‘‘(ii) the applicable dollar amount, 
bears to 
‘‘(B) the phaseout range. 
If any reduction determined under this paragraph is 
not a whole percentage point, such reduction shall be 
rounded to the nearest whole percentage point. 
‘‘(3) APPLICABLE DOLLAR AMOUNT; PHASEOUT 
RANGE.— 
‘‘(A) JOINT
RETURNS.—Except as pro-
vided in subparagraph (B)— 
‘‘(i) the applicable dollar amount is 
$65,000, and 
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‘‘(ii) the phaseout range is $20,000. 
‘‘(B) OTHER RETURNS.—In the case of— 
‘‘(i) a head of a household (as defined 
in section 2(b)), the applicable dollar 
amount and the phaseout range shall be 3⁄4 
of the amounts applicable under subpara-
graph (A) (as adjusted under paragraph 
(4)), and 
‘‘(ii) any taxpayer who is not filing a 
joint return and who is not a head of a 
household (as so defined), the applicable 
dollar amount and the phaseout range 
shall be 1⁄2 of the amounts applicable 
under subparagraph (A) (as so adjusted). 
‘‘(4) INFLATION ADJUSTMENT OF APPLICABLE 
DOLLAR AMOUNT.—In the case of any taxable year 
beginning in a calendar year after 2012, the dollar 
amount in paragraph (3)(A)(i) shall be increased by 
an amount equal to— 
‘‘(A) such dollar amount, multiplied by 
‘‘(B) the cost-of-living adjustment deter-
mined under section 1(f)(3) for the calendar 
year in which the taxable year begins, deter-
mined by substituting ‘calendar year 2011’ for 
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‘calendar year 1992’ in subparagraph (B) 
thereof. 
Any increase determined under the preceding sen-
tence shall be rounded to the nearest multiple of 
$500.’’. 
(b) CREDIT MADE REFUNDABLE; MATCHING CON-
TRIBUTIONS.— 
(1) CREDIT MADE REFUNDABLE.—The Internal 
Revenue Code of 1986 is amended by moving section 
25B to subpart C of part IV of subchapter A of 
chapter 1 of such Code (relating to refundable cred-
its), by inserting section 25B after section 36B, and 
by redesignating section 25B as section 36C. 
(2) MATCHING
CONTRIBUTIONS.—Subsection 
(g) of section 36C of such Code, as redesignated by 
paragraph (1), is amended to read as follows: 
‘‘(g) MATCHING CONTRIBUTIONS.— 
‘‘(1) IN GENERAL.—The credit allowed to an el-
igible individual under this section for any taxable 
year shall be twice the credit which would (but for 
this subsection) be allowed if— 
‘‘(A) the individual consents to the applica-
tion of paragraph (2), and 
‘‘(B) a designation by such individual is in 
effect for such year under paragraph (3). 
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‘‘(2) CREDIT PAID INTO DESIGNATED RETIRE-
MENT
ACCOUNT.—Any increase in credit under 
paragraph (1) for any taxable year shall be paid by 
the Secretary into the designated retirement account 
of the individual for such year. The amount payable 
under the preceding sentence shall be subject to the 
reductions under section 6402 in the same manner 
as if such amount were an overpayment. The 
amount so paid shall be treated as refunded to such 
individual. 
‘‘(3) DESIGNATED
RETIREMENT
ACCOUNT.— 
For purposes of this subsection, the term ‘des-
ignated retirement account’ means any account or 
plan— 
‘‘(A) of a type to which qualified retire-
ment savings contributions may be made, 
‘‘(B) which is for such individual’s benefit, 
and 
‘‘(C) which is designated by such indi-
vidual (in such form and manner as the Sec-
retary may provide) on the return of tax for the 
taxable year. 
‘‘(4) TREATMENT
OF
MATCHING
CONTRIBU-
TIONS.—In the case of an amount paid under para-
graph (2) into a designated retirement account— 
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‘‘(A) any dollar limitation otherwise appli-
cable to the amount of contributions or defer-
rals to such account shall be increased by the 
amount so paid, 
‘‘(B) the individual’s basis in such account 
shall not be increased by reason of the amount 
so paid, and 
‘‘(C) such amount shall be treated as an 
employer contribution for the plan year in 
which such amount is paid for purposes of— 
‘‘(i) section 401(k)(3), and 
‘‘(ii) section 408(k)(6)(A)(iii). 
‘‘(5) REGULATIONS.—The Secretary shall pre-
scribe such regulations or other guidance as may be 
necessary to address situations under which the Sec-
retary is not able to make a payment to a designated 
retirement account of an individual, including a plan 
of an employer for which the individual no longer 
works and to an account that does not exist.’’. 
(3) CONFORMING AMENDMENTS.— 
(A) Sections 24(b)(3)(B), 25(e)(1)(C), 
26(a)(1), and 1400C(d) of such Code are each 
amended by striking ‘‘25B,’’. 
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‘‘(ii) the cost-of-living adjustment de-
termined under section 1(f)(3) for the cal-
endar year in which the taxable year be-
gins, determined by substituting ‘calendar 
year 2021’ for ‘calendar year 1992’ in sub-
paragraph (B) thereof. 
Any increase determined under the preceding 
sentence shall be rounded to the nearest mul-
tiple of $50.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2012. 
Æ 
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