SIMPLE IRA employee leave of absence
If an employee has a leave of absence from company and has been participating in the SIMPLE IRA, will they be eligible to participate when they return to work?
If an employee has a leave of absence from company and has been participating in the SIMPLE IRA, will they be eligible to participate when they return to work?
Permalink Submitted by Denise Appleby on Fri, 2012-12-14 23:04
Yes, providing they meet the plan’s eligibility requirements
Permalink Submitted by Alan - IRA critic on Fri, 2012-12-14 23:05
In most cases, yes. However, if the leave was long enough it’s possible that the employee would not be expected to earn 5,000 in the current CY, particularly late in the year like mid December. If the employer denies eligibility, they need to specify why.