When Are SECURE and CARES Acts Plan Amendments Due?

I work for a private, tax-exempt entity that sponsors 401(a), 403(b) and 457(b) plans. We were under the impression that all of our plans had to be amended for the The Setting Every Community Up for Retirement Enhancement Act of 2019 and the Coronavirus Aid, Relief, and Economic Security Act by December 31, 2023, but our recordkeeper indicates that this is no longer the case. Is that correct?

Kimberly Boberg, Taylor Costanzo, David Levine and David Powell, with Groom Law Group, and Michael A. Webb, senior financial adviser at CAPTRUST, answer:

A: Almost! IRS Notices 2022-33 and 2022-45 generally delayed what would have been a year-end deadline to amend such plans for SECURE/CARES to December 31, 2025. However, neither notice delayed the amendment deadline for private tax-exempt 457(b) plans.

If you are making or have made any discretionary amendments to your 401(a) or 403(b) plan in 2022, the deadline for such amendment would be December 31, 2022, for calendar-year plans. The sole exception to this rule is if you are adopting a 401(k) safe harbor plan design for 2022 using a 3% nonelective contribution, in which case the amendment deadline would be December 1, 2022.

NOTE: This feature is to provide general information only, does not constitute legal advice and cannot be used or substituted for legal or tax advice. 

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