NAGDCA submitted comments to the U.S. Department of the Treasury and IRS on October 1 regarding the implementation of the Saver’s Match under SECURE 2.0.
NAGDCA is advocating on behalf of our members to ensure the Saver’s Match can be implemented in a way that is practical, efficient, and workable for governmental retirement plans and state-facilitated retirement savings programs.
In the comments, NAGDCA:
- Supported the Saver’s Match and recognized its potential to encourage retirement savings, particularly among moderate- and lower-income workers.
- Highlighted the significant administrative and logistical challenges plans, programs, and recordkeepers will face in receiving and processing Saver’s Match contributions.
- Supported the use of conduit IRAs as a way to reduce administrative burdens and help more plans and programs participate, particularly for savers using Roth accounts.
- Called for greater automation to minimize manual processing, errors, and costs.
- Urged Treasury and the IRS to provide clear guidance and model materials as soon as possible, giving plans and programs adequate time to build systems and prepare participant communications.
- Recommended transition relief and good-faith compliance protections as these new processes are implemented.
With the first Saver’s Match contributions relating to the 2027 tax year and being paid in 2028, timely guidance will be critical for NAGDCA members as they plan for implementation.