Mike Hadley Publishes Article titled, “The Roth Catch-up Mandate is Coming for Your 401(k) Plan” for PEO Insider
- Published Date: May 1, 2025
- Written By: Michael L. Hadley
As part of the SECURE 2.0 Act of 2022 as enacted, Section 603 of the law requires that age-based catch-up contributions to a qualified retirement plan are subject to Roth tax treatment for employees earning more than $145,000 (indexed). The provision was scheduled to take effect in 2024, however, through Notice 2023-62 the IRS delayed the effective date until 2026.
In his article, Mike Hadley details how the new mandate for 401(k) plans is anticipated to function, why the provision will require additional work by plan administrators, and where things stand with the IRS’s forthcoming guidance in anticipation of 2026. Additionally, Hadley delivers seven key takeaways from the IRS proposed regulations that PEOs should consider in coordination with their 401(k) providers.
A link to the full article can be found here.