Bipartisan legislation offering surviving spouses more time to make critical financial decisions after a loss recognizes “grief does not follow a statutory deadline,” supporters wrote in an Aug. 17 letter to key lawmakers.

The GRACE (Granting Rollover Access and Contribution Extensions) for Military Survivors Act (H.R. 9489) extends deadlines for moving military death benefits into Roth IRAs and Coverdell Education Savings Accounts from one year to three years. It would also allow surviving spouses whose servicemember died on or after Oct. 7, 2001, to make such contributions if they initially missed the deadline.

The simple change does not create a new benefit but will allow survivors “additional time to make informed decisions about an existing opportunity available under current law,” MOAA and fellow members of The Military Coalition – a group of military and veterans service organizations representing about 5.5 million members of the wider uniformed services community – wrote to the chairman and ranking member of the House Committee on Ways and Means. “By recognizing that grief does not follow a statutory deadline, this legislation better aligns federal policy with the realities military survivors face and helps ensure they are not disadvantaged simply because they needed more time.”

[READ THE LETTER | MORE ON THE GRACE ACT]

The bipartisan bill was introduced in the House on June 25 by Reps. Mike Thompson (D-Calif.), Jack Bergman (R-Mich.), Greg Steube (R-Fla.), and Juan Vargas (D-Calif.). It had 55 cosponsors as of Sept. 1.

If enacted, it would alleviate some of the pressure faced by surviving spouses weighing long-term financial decisions while working on more immediate needs such as funeral arrangements, potential relocation, and child care concerns.

Many survivors aren’t even aware of the financial options outlined in the legislation until after the deadline passes, according to the letter.

[UPDATED MONTHLY: MOAA’s Surviving Spouse Corner]

“When a service member passes away, our nation makes a promise to the family left behind,” the letter states. “Keeping that promise means more than providing benefits, it means ensuring surviving spouses have a fair opportunity to use those benefits in ways that reflect the realities of grief and rebuilding after loss.”

The bill was referred to the House Ways and Means Committee shortly after its introduction. Keep up with this legislation and other MOAA priorities on our advocacy news page, and register at our Legislative Action Center.