Baden Retirement Plan Services

Deposit Rules for Employee Contributions

According to PlanSponsor.com, the DOL will provide final rules on participant contribution deposits to protect employee contributions at employers with fewer than 100 employees.  The rules "create a safe harbor period under which participant contributions to small plans will be deemed to comply with the law if those amounts are deposited with the plan within seven business days of receipt or withholding."  The full article contains a link to the Federal Register, which will publish the final rule on January 14, 2010.
 
Please contact us with questions on how the new safe harbor rule for employee contribution deposits in small employer plans might impact your particular situation.