The Internal Revenue Service (IRS) recently announced that the agency and the Treasury Department (Treasury) plan to propose regulations providing guidance with respect to the Saver’s Match provisions of the SECURE 2.0 Act of 2022. While it’s only a “Notice of Intent to Issue Regulations,” it provides important perspectives on the likely methods of administering Saver’s Match contributions, as well as potential responses to key questions regarding the calculation, acceptance and reporting of Saver’s Match contributions, which are due to begin in 2027.[i] This may be important for plan sponsors given that Saver’s Match matching contributions are to be deposited to “applicable retirement savings vehicles,” including workplace defined contribution plans such as 401(k)s as well as Individual Retirement Accounts (IRAs).
Here’s What You Really Need to Know
- What is the Saver’s Match? The Saver’s Match is a government-provided matching contribution of up to $1,000 for taxable years beginning after December 31, 2026, to certain low- and moderate-income individuals who make qualified retirement savings contributions. [ii]
- Why a Saver’s Match? Designed to both encourage and enhance saving by low- and moderate-income workers, the Saver’s Match represents a major policy shift aimed at boosting retirement savings for millions of Americans, particularly those who have historically been underserved by traditional retirement incentives.
- How is it different from the Saver’s Credit? Saver’s Match contributions are generally paid directly to an eligible individual’s applicable retirement savings vehicle, even if the individual has no income tax liability. In contrast, the Saver’s Credit is a nonrefundable tax credit that cannot exceed the amount of an individual’s tax liability.
Let’s Dive In
The Saver’s Match, established under the SECURE 2.0 Act of 2022, replaces the current Saver’s Credit beginning in 2027. Unlike the Saver’s Credit, which reduces tax liability, the Saver’s Match provides a direct federal matching contribution to eligible retirement accounts, such as IRAs, 401(k)s, 403(b)s (including non-ERISA covered 403(b) plans), and governmental 457(b) plans, making it a more accessible incentive for retirement savings.
An eligible individual is not entitled to claim a Saver’s Match contribution for the 2027 taxable year if the individual’s Modified Adjusted Gross Income (MAGI) equals or exceeds the amount listed in the following table for the individual’s filing status:
| Filing Status | Maximum MAGI |
| Single | $35,500 |
| Married Filing Jointly | $71,000 |
| Surviving Spouse | $71,000 |
| Head of Household | $53,250 |
| Married Filing Separately | $35,500 |
For taxable years beginning in a calendar year after 2027, these maximum MAGI amounts will be adjusted for inflation.
What’s in IRS Notice 2026-48?
IRS Notice 2026-48 (Notice) provides a brief overview of Saver’s Match contributions, details statutory background information regarding Saver’s Match contributions, responds to questions related to the Saver’s Match that are expected to be addressed in the proposed regulation, and requests comments regarding steps to increase public awareness of Saver’s Match contributions.
The Notice follows IRS Notice 2024-65 requesting comments on aspects of the Saver’s Match, and Executive Order No. 14403 that stated that it is the policy of the United States to increase public awareness of Saver’s Match contributions and to facilitate participation in eligible retirement savings vehicles that provide diversified, index-based investment options.[iii]
The questions answered include:
Must a plan/IRA accept the Saver’s Match contributions? No, although Treasury and the IRS encourage retirement plans and IRAs to consider accepting such contributions. The Notice says that “reasonable conditions” on the acceptance are allowed.
May a retirement plan administrator include language about Saver’s Match contributions in an annual notice describing an eligible employee’s opportunity to make elective contributions under the retirement plan? Yes. Model Safe Harbor language for this type of notice is included in the Notice.
How does an individual claim a Saver’s Match contribution? A qualifying individual will file an income tax return for that taxable year and claim the Saver’s Match contribution on a separate Form 8880-A for that taxable year, which would include a demonstration of eligibility for the match.
How will payments of the Saver’s Match be directed? While still under development, the Notice anticipates use of an IRA tracking number following their tax filing for IRAs, while deposits to retirement plans might involve use of a conduit IRA, plans/recordkeepers providing information to Treasury for that purpose, or the IRS providing a number to the individual, who would then provide it to the plan/recordkeeper for claiming.
Other questions answered in the Notice include: Insights on distribution reporting, treatment for purposes of plan loans, return of erroneous Saver’s Match contributions, and acknowledgment that accepting Saver’s Match contributions directly from Treasury will require a plan amendment (that amendment could be amended later, without triggering anti-cutback issues).
Request for Comments
The Notice also requests comments on specific issues, including:
- Implementing methods for directing deposits of the Saver’s Match to an IRA (traditional and Roth), or workplace retirement plan
- Ways to update required information returns (including Form 5498) to streamline a deposit to an IRA such that the IRS can validate acceptance of the Saver’s Match
- Dealing with improper or erroneous Saver’s Match contributions (for example, if a Saver’s Match contribution is paid to an account of an individual who was not intended to receive it)
The Notice indicates that comments should be submitted in writing on or before October 5, 2026, and should include a reference to Notice 2026-48.
Action Items for Plan Sponsors
- Based on your participant population, determine if the plan will accept Saver’s Match contributions, and if so, under what conditions (among those identified in the Notice).
- Ask your recordkeeper what provisions, if any, they are making for accepting or allowing Saver’s Match contributions, including administrative procedures and costs, if any.
Ask your recordkeeper what comments, if any, they are providing or planning to provide to the IRS on the items listed in the Notice. Review, and consider providing your own comments, to this Notice.
[i] Internal Revenue Service, Notice 2026‑48: Notice of Intent to Issue Regulations with Respect to Saver’s Match Contributions (Washington, DC: U.S. Department of the Treasury, 2026), https://www.irs.gov/pub/irs-drop/n-26-48.pdf.
[ii] This is calculated from the amount which is up to 50 percent of $2,000 of qualified retirement savings contributions made by an eligible individual to an employer-sponsored retirement plan or an individual retirement account or annuity.
[iii] Internal Revenue Service, Notice 2024‑65 (Washington, DC: U.S. Department of the Treasury, 2024); Executive Order 14403, Promoting Retirement‑Savings Access for American Workers by Establishing TrumpIRA.gov, April 30, 2026.