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account. Employers may automatically opt employees into these accounts at no more than 3%
Emergency Savings Accounts (optional): Permits employers to offer non‐highly compensated
Permit Employer Contributions on a Roth Basis (optional): Employer may optionally add a
Force‐Out Distributions (optional): Permits force outs up to $7,000 (raising the upper limit
established rules for each disaster. The new rules allow for penalty‐free distributions of up
Hardship Withdrawal Self‐Certification (optional): Participants may self‐certify that they
provision allowing participants to elect employer matching or non‐elective contributions
employees an opportunity to save through a retirement plan linked emergency savings
paid on a Roth basis. This is applicable to 401(k), 403(b) and governmental 457(b) plans
to $22,000 per participant per disaster, and participants can recontribute distributed
Qualified Federally Declared Disaster Distributions (optional): Previously, Congress

had a qualified event that constitutes the need for a hardship withdrawal

of their salary, and the employee’s contribution is capped at $2,500
as it stands

Consider in‐plan Roth conversion feature instead
6

Fiduciary Topics & Trends Legislative Update: SECURE 2.0 Provisions Effective 2023 amounts to the plan within three years Provisions Effective 2024 from $5,000)