Decision on investing WA Cares tax dollars in stock market goes to ballot

Washington voters will decide on November 4 whether to amend the state constitution to allow stock market investments of payroll taxes for the WA Cares Fund, a long-term care program. The Legislature passed Senate Joint Resolution 8201 with strong bipartisan support, reflecting a shift in public sentiment since a similar measure was defeated in 2020. The WA Cares program has begun collecting a 0. 58% payroll tax from workers, with benefits anticipated to start in July 2026. Proponents argue that investing in the stock market could yield higher returns, potentially lowering premiums and increasing benefits.

In contrast, opponents, including Senator Bob Hasegawa, warn against exposing the fund to market volatility, suggesting safer investments in municipal bonds. As of December 31, 2024, the long-term care account held $1. 64 billion, invested under current public money guidelines. Supporters have formed a coalition, We Care For WA Cares, to advocate for the measure, emphasizing its potential for fiscal stability. The outcome of the vote could significantly impact the financial future of the WA Cares program.