The move is "unprecedented — and unwise," says one Social Security advocate.

Plan sponsors should continuously evaluate whether their programs align with organizational goals, participant needs, and fiduciary responsibilities.

More than one million employers and self-employed individuals took advantage of a special IRS provision that allowed them to defer $133 billion in Social Security payments during the pandemic.

The IRS must provide a safe harbor permitting all plan administrators to rely on wage information on W-2s when determining whether employees have exceeded the catch-up wage threshold of $145,000, recommends the American Institute of CPAs.