
How 401k Eligibility Changes with The SECURE ACT
Background on 401k Eligibility Prior to the passage of the SECURE Act, employers could exclude long-term part-time employees (LTPT employees) that worked fewer than 1,000 hours per year from employer 401k contributions. This was done by implementing a one year of service waiting period requirement. The “one-year service” was defined as a 12 consecutive month period where the employee worked at least 1,000 hours. How 401k Eligibility Changes with The SECURE Act The SECURE Act