One of the best parts of my job involves knowing the answers to our clients’ questions. We all love to help others and that’s part of what motivates me to stay on top of any changes to the rules that effect retirement planning.

Juan called me with an administrative question.

“David, I’m not sure if there’s a solution to this but we have a certain number of employees who have opted out of participating in our plan. But every year I have to send out an annual notice; I doubt any of them even open the letters. Since they opted out, why do we have to keep sending…?”

“I think I have an answer for you, Juan. Starting in 2024, all your opted-out employees will need is a notice of eligibility and possible a safe harbor notice. Thanks to new legislation called Secure 2.0, plan sponsors no longer have to send out annual notices to participants who choose not to participate.”

Juan chuckled. “Thanks, David. I’m glad I asked. I would never have known.”

“So you’re stuck with the extra paperwork through the end of the year and then you can take one more task off your plate in 2024.”

“Sounds like a win to me,” said Juan. “I’ll take it.”

Struggling to keep up with the rules while you keep up with your work? Ask the retirement plan professionals at Concierge to help you stay on top of both!