A Paychex news release said the company manages the enrollment process by notifying the plan sponsor when newly hired employees become eligible to participate and auto enrolling employees.
Higher participation helps ensure the viability of a small- to medium-sized business’ retirement savings plan, Paychex said.
“The introduction of auto enrollment enables our clients to offer employees the same benefits that are typically associated with larger employers,” said Tony Tortorella, Paychex Human Resource Services vice president of sales, in the release. “Now, with auto enrollment, employees have more potential for deferring money into the plan, ultimately leaving them better prepared for retirement. It’s a win-win situation for everyone involved.”
More information is available at www.paychex.com.