Puerto Rico Treasury Issues Administrative Determination on Secure Act 2.0 Retirement Plan Amendment Rules

The Puerto Rican Treasury Aug. 27 issued Administrative Determination No. 25-03, establishing rules for amendments to Puerto Rico retirement plans adopting mandatory or optional amendments under the Secure Act 2.0. The determination states that plan sponsors aren’t required to submit new letters of qualification for: 1) expanding eligibility to part-time employees working at least 500 hours per year for two consecutive years, for plan years beginning after Dec. 31; 2) increasing, to US$7,000 from US$5,000, the maximum automatic small balance distribution for participants ceasing employment; 3) allowing matching contributions based on employees’ payments toward student loans; and 4) increasing, to ...