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FAQs - Auto Enrollment - What happens when an employee elects not to participate in the retirement plan's automatic contribution arrangement?

If an employee opts out, the employer must not deduct automatic enrollment contributions from the employee’s wages. If the employee chooses to contribute a different amount, the employer will deduct the different amount from the employee’s wages and contribute that amount to the plan for that employee.

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Page Last Reviewed or Updated: 11-Feb-2014