ADMIN Partners’ CEO, Mark Heisler, recently traveled to Washington, DC to attend The 2018 National Tax-deferred Savings Association (NTSA) Meeting. Members gathered on September 12th to discuss the evolving 403(b) and 457(b) marketplace as well as learn about upcoming changes to the retirement industry. We asked Mark to share his top take-away from the meeting and it turns out there are some IRS changes that are impacting 401(k) Plans.
The IRS Private Letter Ruling (PLR-131066-17) permits a 401(k) plan sponsor to move forward with a program to make non-elective contributions and true-up matching contributions for those participants who are making student loan repayments but are not necessarily contributing to the 401(k) plan. Like any PLR, the letter is advisory in nature and has no binding effect. With that being said, the letter has been gaining a large amount of industry attention. Those working in the 401(k) markets recognize that the burden of student debt has a significant impact on younger worker’s ability to save for retirement. This is a topic to keep an eye on as it could be possible that we see some legislation introduced in the not too distance future.
To learn more about the IRS Private Lettering Rule and to see how ADMIN can help you with the success of your retirement plan, contact us at 877-484-4400!