HB 1072 — Voluntary Portable Benefit Plan Act
House Bill 1072, authored by Representatives Lee Yancey and Rodney Hall, creates a voluntary “portable benefits” framework for independent contractors and freelancers in Mississippi. The bill allows businesses or hiring parties to contribute money into benefit accounts that are owned by the independent worker, not the company. Those funds can be used for things like health insurance, retirement savings, disability coverage, life insurance, or income-replacement protection.
In short, the bill establishes a legal and tax framework so independent workers can receive employer-style benefits without losing their independent status.
Mississippi’s workforce increasingly includes independent contractors, freelancers, and gig-economy workers who often lack access to traditional employer-provided benefits. Current law creates uncertainty for companies that want to help provide benefits, because contributions can raise concerns about worker classification (i.e., employee or independent contractor). HB 1072 removes that uncertainty and creates a clear pathway for voluntary benefits to be offered.
Why it’s important:
- Supports workforce participation and entrepreneurship: Portable benefits help workers maintain flexibility while gaining access to financial security tools.
- Closes the benefits gap: Many independent workers lack health, retirement, or disability coverage. The bill allows the private sector to help fill that gap without mandates or new government programs.
- Modernizes policy for today’s workforce: By clarifying that benefit contributions do not create an employment relationship, the bill provides legal certainty and aligns state policy with the realities of modern work arrangements.
Empower Mississippi supports this legislation.
HB 1072 has been referred to the Senate Insurance and Senate Finance Committees.
