Advisers and other retirement-plan professionals can guide employers through offering newly available perks for 401(k) and 403(b) participation using recent guidance from the IRS.
Among many provisions of the SECURE 2.0 Act aimed at the persistent issues involved with boosting the availability of and enrollment in retirement plans, one gave employers the green light to offer “a de minimis financial incentive” for signing up, according to a notice issued last month by the IRS on frequently asked questions about the 2022 legislation. The agency provided further clarification on the definition of “de minimis” — a legal term meaning “lacking significance or importance” — because the legislation included no specifications for the size or manner of the legalized inducements to join the plans, the IRS said in the notice.
