Company News

Planning Ahead for 2024 – Should Your 401(k) Help Employees with Emergencies?

September 12, 2023

The SECURE 2.0 law contains a provision that will soon allow eligible employers to provide more help to employees facing emergencies. This will be done though pension-linked emergency savings accounts. Effective for plan years beginning Jan. 1, 2024, a plan sponsor can amend its 401(k), 403(b) or 457(b) plan to offer emergency savings accounts connected to the plan. The accounts can only be offered to participants who aren’t highly compensated. A participant must be allowed to make withdrawals at least once per month. No reason needs to be provided and a participant must not be charged any fees for the first four withdrawals each plan year. Other rules apply. Contact us with questions at