News & Analysis as of

Retirement 403(b) Plans

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

Retirement Account Balances are up

According to Fidelity, Retirement account balances have reached all-time highs. At the end of 2024, the average balance in 401(k) plans was $132,300, and in 403(b)s, it was $119,300. The average overall contribution rates are...more

Kilpatrick

IRS Issues Proposed Regulations on SECURE 2.0 Catch-Up Changes

Kilpatrick on

On January 10, 2025, the IRS and Treasury announced proposed regulations addressing catch-up contribution provisions under the SECURE 2.0 Act of 2022 (SECURE 2.0) for 401(k) plans, 403(b) plans and governmental 457(b)...more

Groom Law Group, Chartered

IRS Issues Much Anticipated Guidance on Catch-Up Contributions

On January 10, 2025, the Department of the Treasury (“Treasury”) and the Internal Revenue Service (“IRS”) issued proposed regulations regarding the provisions of the SECURE 2.0 Act of 2022 (“SECURE 2.0”) that relate to...more

Warner Norcross + Judd

SECURE 2.0 Updates to Think About for 2025

Warner Norcross + Judd on

As 2025 approaches, we want to share important reminders about key changes from the SECURE 2.0 legislation that have taken effect or will take effect soon. •Increased Catch-up Contribution Limit for Ages 60 - 63....more

Pullman & Comley - Labor, Employment and...

Adding Enhanced Catch-Up Provisions to Your Retirement Plan

Since 2002, employers have been able to make catch-up salary deferrals to their employees in their 401(k), 403(b), and governmental 457(b) plans beginning in the calendar year in which they turn 50 (the “Age 50 Catch-up”)....more

Quarles & Brady LLP

Key SECURE 2.0 Act Updates for Defined Contribution Retirement Plans

Quarles & Brady LLP on

Updated 401(k) and 403(b) Requirements for Long-Term Part-Time Employees. Starting in 2025, 401(k) and 403(b) retirement plans must offer the plan’s salary deferral feature to long-term part-time employees who are at least...more

Carlton Fields

IRS Clarifies Application of Required Minimum Distribution Rules to Inherited Retirement Accounts

Carlton Fields on

The Secure Act, passed in 2019 and updated in 2022, made significant changes to the required minimum distribution (RMD) rules applicable to qualified retirement plans, IRAs, 403(b) plans, and other eligible deferred...more

Bradley Arant Boult Cummings LLP

SECURE 2.0 Changes Effective in 2025: What You Need to Know

Although the SECURE 2.0 Act of 2022 (SECURE 2.0) was enacted nearly two years ago, and many of its changes have already been implemented, some SECURE 2.0 provisions have yet to take effect. This article provides an overview...more

Keating Muething & Klekamp PLL

Benefits Monthly Minute - November 2024

The November Monthly Minute kicks off the season of giving with SECURE 2.0 requirements for 2025 and the latest IRS retirement plan cost-of-living adjustments....more

Blank Rome LLP

IRS Announces 2025 Retirement Plan Limits

Blank Rome LLP on

The Internal Revenue Service (“IRS”) has announced the following dollar limits applicable to tax-qualified plans for 2025...more

Kilpatrick

2025 Retirement Plan Limits

Kilpatrick on

The IRS has announced inflation-adjusted limits for retirement plans in Notice 2024-80. The 2025 retirement plan limits are summarized here....more

Troutman Pepper Locke

IRS Announces 2025 Retirement Plan Limits: Modest Increases

Troutman Pepper Locke on

The Internal Revenue Service announced the 2025 cost-of-living adjustments to the dollar limitations for qualified retirement plans and other benefits, and the Social Security Administration announced its own cost-of-living...more

Jackson Lewis P.C.

2025 Cost of Living Adjustments for Retirement Plans

Jackson Lewis P.C. on

The Internal Revenue Service recently announced its cost-of-living adjustments applicable to dollar limitations on benefits and contributions for retirement plans generally effective for Tax Year 2025 (see IRS Notice...more

Shipman & Goodwin LLP

IRS Announces 2025 Plan Limits, With Modest Increases

Shipman & Goodwin LLP on

On Friday, November 1, the IRS announced the retirement plan limits that will take effect on January 1, 2025. Most notably, the annual contribution limit for participants in 401(k), 403(b), and governmental 457 plans was...more

Bricker Graydon LLP

New IRS Guidance for Long-Term Part-Time Employees in ERISA covered 403(b) Plans at Private, Non-Profit Institutions of Higher...

Bricker Graydon LLP on

In potentially welcome news for public institutions of higher education, in Notice 2024-73, the Internal Revenue Service (IRS) confirmed that the new long-term part-time (LTPT) rules introduced by the SECURE Act and SECURE...more

Kilpatrick

IRS Issues Guidance on Overpayment Correction Rules under SECURE 2.0

Kilpatrick on

The SECURE 2.0 Act of 2022 (“SECURE 2.0”) made significant changes to the rules governing the correction of overpayments from employer sponsored retirement plans, including 401(k) plans, 403(b) plans, and defined benefit...more

Groom Law Group, Chartered

Long-Term, Part-Time Employee Guidance for Section 403(b) Plans (and Two-Year Extension for 401(k) Regulations)

On October 3, 2024, the Department of the Treasury (“Treasury”) and the Internal Revenue Service (“IRS”) issued Notice 2024-73 (the “Notice”) to clarify eligibility rules for long-term, part-time (“LTPT”) employees in 403(b)...more

Kelley Drye & Warren LLP

Student Loan Payments Need Not Derail Retirement Savings

The IRS recently released interim guidance to assist employers who wish to provide matching contributions to the 401(k) or 403(b) plan accounts of employees on their qualified student loan payments (“QSLPs”), in the same way...more

Morgan Lewis - ML Benefits

Retirement Plans: Bona Fide Job-Based Exclusion or Impermissible Service Condition?

Employers utilizing class-based criteria to exclude employees from retirement plan participation face new issues and considerations following the adoption of the long-term part-time employee (LTPTE) rules in SECURE 1.0 and...more

Groom Law Group, Chartered

This Week From the Hill (August 4 – 10, 2024)

Each week while Congress is in session, our Policy team delivers a key update to highlight a topical benefits, health, or retirement news item from the Hill, such as a newly introduced bill, a summary of a committee hearing,...more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

Automatic enrollment is coming and we are not ready

With a few exceptions, SECURE 2.0 requires that 401(k) and 403(b) plans established on or after December 29, 2022 begin to automatically enroll participants upon becoming eligible for such plan by the first plan year...more

Kilpatrick

IRS Provides Guidance on Emergency Personal Expense and Domestic Abuse Victim Distributions Under SECURE 2.0

Kilpatrick on

As discussed in our prior alert, the SECURE 2.0 Act of 2022 (“SECURE 2.0”) added new exceptions to the 10% additional tax for emergency personal expense distributions and domestic abuse victim distributions. These new...more

Groom Law Group, Chartered

Is Your DC Plan Retirement Ready?

Participating in DC plans such as 401(k), 457, and 403(b) plans is the primary way most people save for retirement, and there is considerable sponsor and participant interest in making DC plans more effective at their primary...more

Morgan Lewis

IRS Provides Guidance on Hodgepodge of Secure 2.0 Provisions

Morgan Lewis on

The US Internal Revenue Service (IRS) released a notice providing guidance on various provisions of the SECURE 2.0 Act of 2022 (SECURE 2.0). Some of the topics touched on in the guidance include automatic enrollment, the...more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

CITs in 403(b) plans need to be a thing

Collective Investment Trust investments were supposed to be a thing for 403(b) plans. It was in the legislation that predated SECURE 2.0, but it never made it into the law....more

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