401k Savings Rates Are Up, and SECURE Act May Push Them Higher

Thanks to the Setting Every Community Up for Retirement Enhancement (SECURE) Act,
signed into law at the end of 2019, employers offering a safe harbor 401(k) plan with an automatic increase (or auto-escalation) feature can increase plan participants’ contributions until they amount to

15 percent of pay. Before the SECURE Act was passed, the cap on default contributions under an auto-escalation program was 10 percent for safe harbor plans.Higher default contribution rates can prod workers to

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