As part of the service offering of the ADP TotalSource Retirement Savings Plan (Plan), we make sure to listen to the feedback of both adopting employers and their employees. So when we heard that our option to contribute up to 100% of pay for participants was causing confusion and errors, we did something about it.
As a result, effective immediately, we’ve changed the maximum contribution percentage allowed under the Plan to 99%.
Furthermore, if a participant elects to contribute at the 99% rate, either through the Plan website or by calling the Information Line, they’ll receive a warning that states their contribution election may result in a net paycheck of $0.00.
We hope this Plan change will help to clear up any confusion among your employees and prevent contribution errors. If you have any questions about this change, please contact your assigned K Specialist.