Are You Counting LTPTEs for Your 401(k) Plan?

The Setting Every Community Up for Retirement Enhancement Act of 2019 (the Act) made changes in the qualified plan rules for eligibility and vesting with respect to so-called “long-term part-time” employees (LTPTE). The changes are designed to allow LTPTEs to make elective deferrals to a 401(k) plan and, if the employer chooses to provide matching or nonelective contributions to LTPTEs, to permit vesting service based on 500 Hours of Service rather than 1000 Hours of Service. While the first...
By: Nelson Mullins Riley & Scarborough LLP

Array