Retirement plan sponsors often fear participant backlash when making decisions that could actually help improve participant outcomes, but the law is on their side, as plan amendments are considered settlor functions.
Just as people diversify their investments, the Roth option is viewed as a way to diversify the tax treatment of savings. Here’s what plan sponsors need to know about Roth accounts and in-plan Roth conversions.
As retirement plan sponsors focus on increasing retirement income replacement ratios for participants and new generations enter the workforce, they need to look at enhancing their retirement programs so participant retirement goals are met.
The deadline for adopting a new safe-harbor 401(k) plan is October 1, and while it’s not likely to be met for employers that have not already moved to adopt one, information about the plan design will help employers plan for future years.