A 401(k) Feature that Can Help improve Employee Participation rates
Automatic enrollment is a 401(k) plan feature that automatically enrolls your eligible employees into your 401(k) plan and gets them started with contributing a portion of their salary at a preset rate.
Benefits that You’ll Want to Take Advantage Of
- Higher 401(k) Participation. Automatic enrollment can drastically increase employee participation.
- Better Compliance Testing Results. With increased participation, compliance testing is easier to pass.
- Increased Contributions For Key Employees. Passing compliance testing enables key employees to maximize their contributions.
- Improve Retirement Readiness. Help all employees, especially those employees who aren’t currently contributing to their retirement.