IRS Provides 403(b) Amendment Cycle Updates

The Internal Revenue Service has announced that it intends to begin issuing opinion letters regarding Cycle 2 pre-approved 403(b) plans, including the 2022 cumulative list of changes in those requirements. The IRS expects to issue opinion letters by November 29, 2024, or as soon as possible thereafter.

Additionally, the IRS indicates that employers intending to maintain a 403(b) pre-approved plan for Cycle 2 must adopt that pre-approved plan on or before December 31, 2026. Adopters of pre-approved plans seeking an individual determination may apply during the period beginning January 1, 2025, and ending December 31, 2026.