Can I pause my contribution within my SIMPLE IRA?
Yes, you may be able to pause your contributions to your SIMPLE IRA, but it depends on your employer's plan settings.
When creating a SIMPLE IRA plan, employers are given the option to allow employees to pause and resume their
contributions at any time during the plan period. If your employer has chosen this option, you can stop your
contributions and restart them whenever you wish.
However, keep in mind how this affects employer contributions:
- If your employer offers a 2% non-elective contribution, they will continue making contributions to your account even
if you pause yours.
- If your employer offers a dollar-for-dollar match, they will pause their contributions when you stop yours and will
only resume matching when you restart contributing.
Follow the simple steps to pause your SIMPLE IRA contribution in WealthRabbit.
Step 1: Log in to your WealthRabbit account.
Step 2: In the Dashboard, click the "Contributions".
Step 3: Click the "Edit" option here to change your contribution.
Step 4: Click the "Pause Contribution" radio button to pause your contribution, then click the "Confirm Change" button.
Step 5: You have paused your contribution. If you need to resume your contribution, click the "Resume Contribution"
option anytime.