Free money for your retirement is coming—and it’s not a scam. Starting in 2027, a new federal program called Saver’s Match will put money directly into your retirement account if you qualify.
Here’s how it works: the government matches 50% of your contributions to a retirement account, up to $2,000. That’s up to $1,000 per person annually, or $2,000 for couples.
What makes it different from the old Saver’s Credit
You may have heard of the Saver’s Credit, the program that the Saver’s Match is replacing. The Saver’s Credit reduces your tax bill, which sounds great, until you realize that if you don’t owe much in taxes, you don’t get much back.
Many low- and moderate-income workers end up with little to no savings. The Saver’s Match fixes that. It’s fully refundable, meaning the money comes to you regardless of what you owe in taxes. And instead of showing up as a smaller tax bill months later, the government deposits it straight into your retirement account.
Who qualifies?
If you’ve ever felt like the tax code wasn’t built for people like you, this one might be different.
Eligibility is based on your modified adjusted gross income (AGI). Here’s the breakdown for 2027:
- Single filers: Full match for individuals earning under $20,500 / phases out at $35,500
- Head of household: Full match for people earning under $30,750 / phases out at $53,250
- Married filing jointly: Full match for couples earning under $41,000 / phases out at $71,000
The match works with a 401(k), 403(b), 457(b), or IRA—as long as your plan accepts it. The Saver’s Match was designed specifically for working people who are doing their best to get ahead. Nearly 22 million Americans are eligible by income. There’s a good chance you’re one of them.
What you can do right now
The match kicks in for tax year 2027, with first deposits expected in early 2028. Here’s how to set yourself up:
- Open or contribute to a retirement account: You have to be saving to get the match. Even small, consistent amounts count.
- Automate your savings: Set up automatic contributions so you’re already in the habit when 2027 rolls around.
- Keep an eye on your income: If you’re close to the cutoff, a raise or bonus could affect your eligibility. That doesn’t mean not to take the raise, just be aware of how it will impact that match.
- Stack your matches: If your employer offers a match, you can take advantage of both.
Take action today
Retirement planning can feel overwhelming, but free money is a pretty good place to start. Check out more retirement resources in our SaverHub and get personalized advice from pro-bono financial planners through our trusted SaverPerks partner Advisers Give Back.
