News & Analysis as of

Employer Contributions Employee Contributions Employee Benefits

Locke Lord LLP

IRS Issues Guidance on Employer Matching Contributions for Student Loan Repayments

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The Internal Revenue Service (IRS) issued interim guidance on the SECURE 2.0 Act provision permitting employers to make matching contributions based on employees’ qualified student loan repayments (“QSLP”) under 401(k),...more

Davis Wright Tremaine LLP

IRS Gives Green Light for Employee Choice Between Different Pre-Tax Benefits

Employees increasingly request (and expect) choice in their benefits. The Internal Revenue Service (IRS) recently released Private Letter Ruling 202434006 (PLR), which approved an employer's program allowing employees to...more

Patterson Belknap Webb & Tyler LLP

Interim Guidance on Matching Qualified Student Loan Payments

Until recently, employer matching contributions under qualified plans were required to be conditioned solely upon employee contributions made to the plan. However, one of the many changes enacted by the Consolidated...more

Groom Law Group, Chartered

Student Loan Match – Repay Student Loans and Save For Retirement

On August 19, 2024, the Internal Revenue Service (“IRS”) issued Notice 2024-63 (the “Notice”) for retirement plan sponsors that provide, or may wish to provide, matching contributions based on qualified student loan payments...more

McGuireWoods LLP

IRS Gives Guidance on Student Loan Payment Matching Contributions

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IRS Notice 2024-63, published Aug. 19, 2024, provides interim guidance for plan sponsors on the SECURE 2.0 Act provision permitting employers to offer matching contributions to their retirement plans — including 401(k) and...more

Bricker Graydon LLP

Too Little, Too Late? Plan Contribution Timing Requirements and How to Correct Delays

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One of the most basic duties of a defined contribution plan sponsor is to ensure that that there is no delay and participants’ salary deferral elections are correctly and timely deposited into the retirement plan. Not only is...more

Foley & Lardner LLP

Don’t You Forget About Me: Terminating Employees and Benefits to Think About

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No matter the size of your organization, at some point in time employees leave. As we noted previously, it behooves human resources and other departments to provide departing employees with an exit letter that includes...more

Kilpatrick

Student Loan Benefits for Employees

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Total student loan debt in the country is estimated to be over $1.7 trillion.  These loans are often a great source of worry for employees and their families.  Student loan repayments may be one of the largest regular...more

Woodruff Sawyer

Q4 2023 International Benefits Update

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In the final quarter of 2023, South Africa issued guidance on the new two-pot retirement system, Peru launched a new holiday starting in 2024, Singapore doubled its paid paternity leave, and Costa Rica reformed its pension...more

Littler

Canada Entered Last Phase of CPP Enhancements on January 1, 2024

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All Canadian employers other than those in Quebec are required to: Deduct Canada Pension Plan (CPP) contributions from their employees’ pensionable earnings if the employee meets certain conditions; Contribute an...more

Bricker Graydon LLP

The Gift That Keeps on Giving: New IRS Guidance on Roth Employer Contributions

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The Internal Revenue Service (IRS) gave plan sponsors an early Christmas gift with the release of new guidance late last year addressing several key provisions contained in SECURE 2.0. A welcome portion of the notice was...more

Miller Canfield

Federal Agencies Issue PLESA Guidance

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The IRS and the U.S. Department of Labor recently issued guidance which addresses the newly created Pension Linked Emergency Savings Accounts (“PLESAs”), a novel plan design option authorized under SECURE 2.0. PLESAs are...more

Lerch, Early & Brewer

Maryland Family Leave Contributions Start This Year – What You Need to Know

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With required contributions to the Family and Medical Leave Insurance (FAMLI) Fund starting this fall, Maryland employers should make sure employees have advance notice of the new deductions they will be seeing from their...more

Conn Kavanaugh

New Year’s HR Housekeeping: Update Your Policies To Comply With Recent Changes To The Massachusetts Paid Family Leave Law

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The new year is an excellent time for businesses to take a fresh look at their policies to ensure they are up-to-date. This article highlights recent updates to the Massachusetts Paid Family Medical Leave law (PFML) to be...more

Seyfarth Shaw LLP

“SECURE-ing” the Answers to Outstanding Questions on the Rothification of Employer Contributions

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Seyfarth Synopsis: Under Section 604 of Secure 2.0, sponsors of 401(k), 403(b) and governmental plans may allow employees to designate employer match (including match on student loan repayments) or nonelective contributions...more

Groom Law Group, Chartered

IRS Announces 2024 Health and Welfare Limits

On November 9, 2023, the IRS issued Rev. Proc. 2023-34, which announces the 2024 indexed limits for certain health and welfare benefits. This is in addition to the limits that the IRS announced on May 16, 2023 in Rev. Proc....more

Seyfarth Shaw LLP

Want to Put More Away in Your 401(k)? Qualified Plan Limits Generally Increase in 2024

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Seyfarth Synopsis: The IRS just announced the 2024 annual limits that will apply to tax-qualified retirement plans. For a third year in a row, the IRS increased the annual limits, allowing participants to save even more in...more

Jackson Lewis P.C.

Massachusetts Updates Paid Family and Medical Leave Contribution Rates, Maximum Weekly Benefits for 2024

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The Massachusetts Department of Family and Medical Leave has announced changes to the employer contribution rates and benefit amounts under the Paid Family and Medical Leave Act (PFMLA) effective January 1, 2024....more

Woodruff Sawyer

Navigating Provident Fund Systems

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Provident funds, or government-administered retirement funds, were introduced as a form of “social protection” to alleviate poverty at the time of retirement. Most social programs at the time did not provide enough to cover...more

Best Best & Krieger LLP

New Guidance - Secure 2.0 Roth Treatment of Catch-up Contributions

On August 25, 2023 the Internal Revenue Service issued Notice 2023-62, which provides a critical 2-year delay in the enforcement of new retirement plan Catch-up Contributions rules passed under the Secure 2.0 Act of 2022....more

Keating Muething & Klekamp PLL

Benefits Monthly Minute UPDATE: SECURE 2.0 Roth Catchup Deadline Delayed Until 2026

In Notice 2023-62, the IRS walked back the SECURE 2.0 rule that required catch-up contributions to be designated as Roth contributions except in the case of employees with compensation of $145,000 or less (indexed), by...more

McAfee & Taft

IRS guidance provides breathing room for implementing SECURE 2.0 Act catch-up contribution rule

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As you probably already know, qualified retirement plans are permitted, but are not required, to allow participants who are age 50 or older to make additional elective deferrals (including designated Roth contributions),...more

Jackson Lewis P.C.

Paid Leave Oregon Benefits Available Starting September 3, 2023

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More than four years since the passage of Oregon’s Paid Family Medical Leave Act into law, paid leave benefits will finally be available to Oregon employees starting September 3, 2023. Applications for benefits, toolkits and...more

Benesch

Paid Family and Medical Leave Continues to Expand in Several States

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Minnesota is the most recent state to enact a mandatory paid family and medical leave program, joining 11 other states and Washington D.C. in implementing paid leave laws. With a paid leave proposal being passed by the state...more

Polsinelli

Financial Wellness Initiatives - Student Loan Debt Returns to Center Stage: Practical Considerations for Adding a Match for...

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The burden of student loan debt is an ever-present challenge for our former post-high school students.   As you probably know, President Biden had proposed a student debt forgiveness plan that was projected to relieve as much...more

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