"Effective for plan years beginning on or after January 1, 2025, SECURE Act 2.0 requires plans with salary deferral arrangements adopted after December 29, 2022 to include automatic enrollment provisions.... [E]ach type of automatic contribution arrangement (aka automatic enrollment) has specific requirements, limitations and notice requirements.... [A]utomatic enrollment provisions require significant coordination between the company's payroll service and the plan's recordkeeper to operate in compliance with the applicable regulations."  MORE >>

"The wage threshold is based on Social Security (FICA) wages paid to the individual by the employer sponsoring the plan.... The threshold is not prorated ... It also appears as if partners in partnerships or other self-employed individuals will not be subject to this provision if they do not have FICA wages.... [T]he guidance does not address whether ... 'super catch-up' contributions are required across controlled groups if implemented by a single employer in the group."  MORE >>

"Janet Dhillon was formally nominated on March 10 to serve as the next Director of the [PBGC] for a five-year term.... Dhillon previously had served as Chair of the U.S. Equal Employment Opportunity Commission (EEOC).... After leaving the EEOC, Dhillon served for a brief period as the Chief Legal Officer and Corporate Secretary of Dollar Tree Stores."  MORE >>

"Self-audits can help employee benefit plans avoid potential fines and costly corrections while also ensuring that they are paying benefits in accordance with their governing documents. These audits may be more attractive to plans following the passage of SECURE 2.0, which contains provisions that incentivize retirement plans to identify and correct errors."  MORE >>

"Plans that choose not to allow AI use should carefully develop a policy that specifically prohibits staff from using AI.... Incorporate policy requirements in vendor contracts and require vendors to disclose any AI usage.... [G]et legal involved. Now.... Talk to other plans or consultants. You do not need to reinvent this wheel.... [D]etermine what AI use cases are appropriate for your plan.... Finally, develop an AI use policy."  MORE >>

"Plan-level insights derived from participation and deferral rates or financial wellness utilization metrics are likely to be more relevant and actionable to you than broad industry statistics like the median U.S. retirement account balance.... [E]valuating participant-level qualitative data can reveal not just what is happening with plan performance, but why it's happening."  MORE >>

"While the majority of employers report feeling a responsibility to ensure their employees are financially secure, barriers still exist when it comes to utilizing financial wellness programs and leveraging technology.... [R]elevant educational content specific to individuals' needs is hard to come by ... [A]nother barrier is dealing with the 'hallucinations in AI' and figuring out what to do if an automated financial planning tool provided someone with the wrong information."  MORE >>

"These forces are driven, on the one hand, by the growing demand for plan sponsors to help employees and, on the other hand, for providers and advisors to find additional sources of revenue as plan fees decline.... Major investments in people and technology are required ... [Empower's Rich Linton] claimed that there were 400 record keepers 15 years ago and just 50 today."  MORE >>

"For small business owners, 401(k) plans can be a powerful tool to enhance financial security in retirement for both you and your employees.... However, navigating the complexities of setting up a 401(k) plan can feel daunting.... Here's an overview of what you need to know to establish and maintain a 401(k) plan."  MORE >>

"A new payroll tax on employers with individuals earning excessive compensation in Seattle ... was enacted on February 12, 2025, ... Effective January 1, 2025, the tax is imposed on persons, including not-for-profit organizations or other entities, engaging in business in Seattle, with highly paid employees who earn more than $1,000,000."  MORE >>