The proposed legislation, titled the "Voluntary Portable Benefit Account Act," aims to establish a framework for independent contractors in Arkansas to create and manage voluntary portable benefit accounts. This new subchapter, added to Arkansas Code Title 11, Chapter 4, defines key terms such as "bank," "hiring party," and "voluntary portable benefit account." It allows independent contractors to open accounts to fund various benefit plans, including health insurance, income replacement insurance, life insurance, and retirement benefits. The act also outlines the roles of account providers, which can include banks, investment management firms, and other entities that meet specific criteria set by the Bank Commissioner.

Under the act, contributions to these accounts can be made voluntarily by individuals or entities, including hiring parties, and must be agreed upon in writing. The legislation emphasizes that contributions should not affect the employment classification of independent contractors and requires that any withholding of compensation for contributions be clearly communicated and voluntary. Independent contractors retain the right to opt out of such agreements at any time, ensuring that participation in the benefit account system remains flexible and voluntary.