This special edition of the Retirement News for Employers highlights the Administrations recently released proposals to help workers save for retirement.
Document Excerpt
On September 5, 2009, as part of the Retirement & Savings Initiatives , the IRS and Treasury issued four notices and three revenue rulings to promote retirement plan savings. The notices provide sample amendments to add an automatic enrollment feature (also known as an automatic contribution arrangement) to 401(k) and SIMPLE IRA plans, guidance on using an automatic contribution arrangement (ACA) in SIMPLE IRA plans and two updated safe harbor explanations (§402(f) notices) for eligible rollover distributions (ERDs). The revenue rulings clarify the rules on increasing ACA default contribution percentages and on contributing unused vacation and sick pay to a retirement plan, both annually and upon termination of employment.
RSS Feeds