The Securities Industry Association (SIA)* provides comments to the Internal Revenue Service (IRS) on proposed regulations under Section 403(b) of the Internal Revenue Code (Code).  The 403(b) arrangements allow smaller non-profit organizations to sponsor an employee retirement plan relatively inexpensively as compared to, for example, a 401(k) plan.  The proposed regulations are intended to clarify 403(b) arrangements and provide additional guidance to the sponsors.

SIA believes that the proposed regulations would discourage greater retirement savings opportunities for smaller 403(b) plan sponsors.

*SIFMA is the product of a merger between the Securities Industry Association (SIA) and The Bond Market Association (TBMA) in 2006.