IRS Not Likely to Rule on Linking 401(K) Plans to Student Loans

Jeffrey Holdvogt spoke at the Plan Sponsor Council of American event on IRS guidance for plan sponsors interested in making 401(k) employer contributions to accounts of participants repaying student loans. “The IRS is a little bit between a rock and a hard place,” Holdvogt said. Though the agency doesn’t want to be in a position to issue more private letter rulings, it is also “very wary of some of the unintended consequences.”