Anyone know how Sage plans on accomadating the updated Secure Act 2.0, especially the catch-up portion?
Hi CESPOSITO,
From what we see, the new law starting in 2025 affects the catch-up amount that can be contributed to an employee's retirement fund. If you already have a catch-up deduction, you can change the limit to accomodate the new amounts.
Thanks!
From my understanding, the catch-up deduction has to be put into a Roth account. We have employees who currently have a catch-up amount and the funds are distributed by percentage to which ever accounts they choose (traditional 401k or 401k Roth). How will the system know if the funds are catch-up and that they need to go into a Roth account if the employee puts percentages in both accounts?
*Community Hub is the new name for Sage City