Don't mess with the IRS: Tax requirements affect 401(k) plan design

June 2010
Employee Benefit News;Jun2010, Vol. 24 Issue 8, p36
This article discusses several tax requirements that affect the design of a 401(k) plan in the U.S. It begins with a rule to offer employees the opportunity to have their employer contribute a portion of wages to a 401(k) plan on a pretax basis. It also notes a rule from the Internal Service Revenue (IRS) not to keep employees from participating in a plan for more than a year. In addition, the article reminds about annual 401(k) limits for employees.


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