In December 2022, the Securing a Strong Retirement Act (SECURE Act 2.0) was signed into law, featuring new requirements for automatic plan enrollment and contribution escalation. These regulations aim to address the challenge of inadequate retirement savings among Americans.

According to a 2021 report by the National Institute on Retirement Security, more than two-thirds of Americans believe the country is facing a retirement crisis, and over half are concerned about achieving financial security in retirement. Furthermore, nearly two-thirds expect to work past the normal retirement age for financial security.

However, the implementation of these regulations poses significant challenges for organizations, especially when it comes to manual processes and compliance. And with new SECURE Act 2.0 requirements coming into effect as soon as December 31, 2024, the pressure is on for plans to rapidly adapt. Here's a closer look at the key provisions of SECURE Act 2.0 and how organizations should prepare to navigate these changes.