A bill to amend the Internal Revenue Code of 1954 to allow a deduction for retirement savings in the case of individuals who have limited participation under pension plans and to expand the cases in which joint and survivor annuity coverage is to be provided under certain pension plans.

Amends the Internal Revenue Code to extend to individuals with limited participation in tax-exempt employee benefit plans the income tax deduction for cash contributions to retirement savings accounts. Specifies that such deduction shall be reduced by the amount of employer contributions to such plans for the taxable year.

Provides that a joint and survivor annuity plans shall not qualify for tax-exempt status under the Internal Revenue Code unless, in the case of a plan participant's death before the earliest retirement age, the plan provides a survivor annuity for the spouse which begins on the annuity starting date (determined as if the participant had lived until his earliest retirement age) and allows payments equal to payments which the spouse would have received if the participant had retired on the date immediately preceding his death.