↗ https://reddit.com/r/investing/comments/1imo4f4/whats_the_purpose_of_not_allowing_everyone_have_a/
In the US, if you have qualifying income (basically, from wages) then you can have an IRA. However, to have a 401k you have to have qualifying income (wages) and happen to work in a company that happens to sign up with a 401k provider.
What's the actual reason for that criteria (happen to work in a company that happens to sign up with a 401k provider)? What legal or criminal or other problem is that criteria solving?
Why not just let anyone who can open an IRA also open a 401k?
Edit: real question: what's the purpose of locking an additional ~$20k of tax-advantaged investing to people who happen to work in a company that happens to sign up for a plan? Why not unlock that for anyone with qualified wages?