DRS Notice 25-027, Reporting for highly compensated starts Jan. 16

Applies to: All DCP employers
Subject: DRS Notice 25-027, Reporting for highly compensated starts Jan. 16 

What’s happening

Starting Jan. 16, employers who offer DCP can report highly compensated employees in the Employer Reporting Application (ERA). The reporting must be done no later than Jan. 30.

ERA will be ready to send edit messages (notifications) for highly compensated employees. These will be sent when contributions reach 80% or are reported over the regular limit.  

This new reporting is required as part of SECURE Act 2.0 Section 603.

How to report

Instructions on how to report can be found in Chapter 13 of the Employer Handbook: Enter a DCP attestation.

For more details about employer responsibility for DCP, see Chapter 11.

For employers who rely on the Human Resource Management System (HRMS), this reporting will be done by the Office of Financial Management (OFM).

Previous notices about SECURE Act 2.0 Section 603:

July 10: DRS Notice 25-013, New requirements coming for age 50+ catchup contributions

Aug. 14: DRS Notice 25-018, Employer contributions for DCP

Nov. 25: DRS Notice 25-025, Correction to prior notice on DCP employer contributions; New ERA edit messages

If you have any questions regarding this notice, contact Employer Support Services at 360-664-7200, option 2, or 800-547-6657, option 6 and then 2.