# Prop. Treas. Reg. § 1.414(w)-1: Permissible withdrawals from eligible automatic contribution arrangements.

Proposed regulation, not in force. REG-100669-24, 90 FR 3092, published 2025-01-14 <https://www.federalregister.gov/documents/2025/01/14/2025-00501/automatic-enrollment-requirements-under-section-414a>. Interprets 26 U.S.C. § 414.

Par. 2. Section 1.414(w)-1 is amended by: a. Revising the second sentence of paragraph (b)(1); and b. Adding paragraph (b)(4). The revision and addition read as follows:

* * * * *

(b) * * *

(1) * * * Except to the extent required under section 414A (which applies to plan years beginning after December 31, 2024), an eligible automatic contribution arrangement need not cover all employees who are eligible to elect to have contributions made on their behalf under the applicable employer plan.

* * * * *

(4) Special rules —(i) No requirement to provide notice to unenrolled participant. If the requirements of section 414(bb)(1) are satisfied with respect to an unenrolled participant described in section 414(bb)(2), then the requirement to give the notice of an employee's rights and obligations set forth in paragraph (b)(3) of this section does not apply to the participant.

(ii) Consolidation of notices. The notice described in paragraph (b)(3) of this section may be combined with one or more of the notices required under section 404(c)(5)(B), 514(e)(3), or 801(d)(3)(A) of the Employee Retirement Income Security Act of 1974 (Public Law 93-406, 88 Stat. 829), as amended, and any notice required under section 401(k)(12)(D) or (13)(E), provided that the combined notice—

(A) Includes the required content,

(B) Clearly identifies the issues addressed therein,

(C) Is furnished at the time and with the frequency required for each notice,

(D) Is presented in a manner that is reasonably calculated to be understood by the average plan participant, and

(E) Does not obscure or fail to highlight the primary information required for each notice.

* * * * *