Jump to content

Money Purchase Classifications (Opting In vs Option Out)


PainPA
 Share

Recommended Posts

I deal with a handful of Pennsylvania Governmental Money Purchase Plans.

They are all straight forward plans in that the same contribution % is given to all ee's.

I have come across a new plan whereby the governmental agency as a whole opts out of social security.

However, they are looking into the option of allowing the employees to opt in but then those employees would not receive the same contribution as those that opted out.

Does anyone see a concern in the plan docment classifying the ee's in one of these categories, with those opting in to social security receiving a contribution much less than the other group.

The groups would be:

Class A = Opt IN

Class B = Opt Out

Comments are greatly appreciated.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...