Best practice for setting up a Non-Elective Safe Harbor Plan
We are currently on PS 9.2, PUM 45, PT 9.56.25
We currently have a Non-Elective Safe Harbor plan setup as a benefit plan/deduction and employees are auto enrolled into the plan 30 days after their date of hire. The deduction amount is dependent upon eligible earnings (special accumulator used) and percent of earnings based on plan criteria. We currently accrue for this Company Paid Benefit bi-weekly based on their plan enrollment and plan criteria. The company paid deduction is displayed on the employees pay statement/check and the funds are transferred to our plan provider.
The company would like to change how this plan is administered going forward starting with 2024 plan year. The changes would consist of the following: