457 (b) (2) – DougFreemanCPA.com

Should your business offer the new emergency savings accounts to employees?

(PLESA) Pension-Linked Emergency Savings Account, 401K, 403 (b), 457 (b) (2), Employees, Small Business, Small Business Owners, Small Business Tips, The Secure Act 2.0 / Douglas Freeman

As part of the SECURE 2.0 law, there’s a new benefit option for employees facing emergencies. It’s called a pension-linked emergency savings account (PLESA) and the provision authorizing it became effective for plan years beginning January 1, 2024. The IRS recently released guidance about the accounts (in Notice 2024-22) and the U.S. Department of Labor […]

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Planning ahead for 2024: Should your 401(k) help employees with emergencies?

401K, 403 (b), 457 (b) (2), Employees, Setting Every Community Up for Retirement Enhancement (SECURE) Act, The SECURE Act / Douglas Freeman

The SECURE 2.0 law, which was enacted last year, contains wide-ranging changes to retirement plans. One provision in the law is that eligible employers will soon be able to provide more help to staff members facing emergencies. This will be done through what the law calls “pension-linked emergency savings accounts.” Effective for plan years beginning

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Consider a Roth 401(k) plan — and make sure employees use it

401 K, 403 (b), 457 (b) (2), Plan Sponsor Council of America (PSCA), Roth IRA / Debbie Davis

Roth 401(k) accounts have been around for 13 years now. Studies show that more employers are offering them each year. A recent study by the Plan Sponsor Council of America (PSCA) found that Roth 401(k)s are now available at 70% of employer plans, up from 55.6% of plans in 2016. However, despite the prevalence of

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You may be able to save more for retirement in 2019

401 K, 403 (b), 457 (b) (2), 457 (c), Contributions, IRA, Retirement, Simples / Douglas Freeman

Retirement plan contribution limits are indexed for inflation, and many have gone up for 2019, giving you opportunities to increase your retirement savings: Elective deferrals to 401(k), 403(b), 457(b)(2) and 457(c)(1) plans: $19,000 (up from $18,500) Contributions to defined contribution plans: $56,000 (up from $55,000) Contributions to SIMPLEs: $13,000 (up from $12,500) Contributions to IRAs:

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