Payroll Integrations, the technology company that’s reimagining how employers support employees’ financial well-being through benefit automation, today announced its work with U.S. employers to expedite their compliance with the SECURE 2.0 Act. The company’s platform prepares companies for compliance with the new 2025 requirements under SECURE 2.0, including auto-enrollment in new retirement plans. Through Payroll Integrations, employers can connect their retirement offerings with their payroll platform to automate retirement enrollment, eligibility checks and contributions for employees in minutes.
The SECURE 2.0 Act was introduced to encourage American workers to save for retirement and improve their financial security. The act makes retirement a priority for employers and employees by extending retirement benefits to more workers and offering greater flexibility in managing retirement accounts. While many requirements under SECURE 2.0 are already effective, some of the biggest changes that employers must comply with will go into effect on January 1, 2025. This includes the auto-enrollment of employees into new retirement plans at a minimum of three percent of their salary, higher catch-up contribution limits, the ability to offer student loan payment matching and updates to long-term part-time worker retirement eligibility.
While SECURE 2.0 is intended to help employees better plan for retirement, it also creates a greater administrative burden for HR teams because of changes to how retirement plans are managed.
Payroll Integrations eliminates these time-intensive administrative hassles for employers by automating processes to comply with SECURE 2.0. The company’s technology transfers data directly from payroll systems and retirement plan providers to eliminate manual entries, which speeds up auto-enrollment and retirement contribution processes and ensures data is accurate and up-to-date. Payroll Integrations has pre-built integrations with the largest and most widely-used payroll companies and benefit providers in the U.S., including ADP, Quickbooks Online, Paychex, Empower and Transamerica.
With various updates to retirement plan eligibility under SECURE 2.0 due to factors like age and length of employment, employers can run automated eligibility checks for employees through the platform. Payroll Integrations can also keep employers compliant with any future requirements under SECURE 2.0 or with new emerging regulations.
“With higher living costs, lingering student loans and more, it’s become harder for workers to save for retirement. SECURE 2.0 is laying a foundation to help employees improve their financial well-being and empower employers to better support them–but it’s not without extra steps on employers’ end,” said Doug Sabella, CEO, Payroll Integrations. “We’re making it easy for employers to comply with SECURE 2.0 requirements and do so quickly as we head into 2025, so they can direct their time and focus on employees’ financial wellness.”
The company’s ability to prepare employers for SECURE 2.0 is an extension of its benefit automation technology that directly connects payroll systems with 401(k) and other benefit providers for 5,000+ companies. Payroll Integrations was specifically built for the benefits space and its platform addresses the nuances of the industry to drive more efficient and effective results for companies.
Stay Ahead of the Financial Curve with Our Latest Fintech News Updates!
