Automatic Enrollment Timing Issues

"The February 2009 final regulations relating to eligible automatic contribution arrangements ("EACAs") and qualified automatic contribution arrangements ("QACAs) provide specific timing rules for implementing automatic deferral elections, and in some cases, participant elections," according to Technical Updates recently posted on SunGard Relius' website.  The Technical Updates are a 2-part Q&A "explaining the rules a plan must follow in administering a EACA or QACA.

 

Part I, posted July 29, 2009 - Timing issues related to notification to the participant of the automatic enrollment arrangement; when a participant's default deferrals may be implemented; and the latest date a plan may execute a participant's default deferrals.

 

Part II, posted July 30, 2009 - Timing issues related to a EACA permissible withdrawal election.