Why Safe Harbor

Safe harbor plans avoid ADP/ACP testing failures by committing to prescribed employer contributions and notices.

Classic vs. QACA

Classic safe harbor uses match or nonelective; QACA adds automatic enrollment/escalation with different minimums.

Pick based on workforce behavior, budget, and desired participation lift.

Timing

Mind adoption deadlines and notice windows; mid‑year changes may be limited without special conditions.

Plan Sponsor Action Checklist

References

• IRS safe harbor basics; QACA FAQ.