‘‘(C) REPORTING BY ISSUER OF SAFE AN-
NUITY.—
‘‘(i) IN GENERAL.—The issuer of each
SAFE annuity shall provide to the owner
of the annuity for each year a statement
setting forth as of the close of such year—
‘‘(I) the benefits guaranteed at
age 65 under the annuity, and
‘‘(II) the cash surrender value of
the annuity.
‘‘(ii) SUMMARY
DESCRIPTION.—The
issuer of any SAFE annuity shall provide
to the employer maintaining the annuity
for each year a description containing the
following information:
‘‘(I) The name and address of
the employer and the issuer.
‘‘(II) The requirements for eligi-
bility for participation.
‘‘(III) The benefits provided with
respect to the annuity.
‘‘(IV) The procedures for, and ef-
fects of, withdrawals (including roll-
overs) from the annuity.
‘‘(D) TIME
AND
MANNER
OF
REPORT-
ING.—Any return, report, or statement required
under this paragraph shall be made in such
form and at such time as the Secretary shall
prescribe.’’
(2) SAFE TRUSTS.—Section 6059 (relating to
actuarial reports) is amended by redesignating sub-
sections (c) and (d) as subsections (d) and (e), re-
spectively, and by inserting after subsection (b) the
following new subsection:
‘‘(c) SAFE TRUSTS.—In the case of a SAFE Trust
(within the meaning of section 408B), the Secretary shall
require a simplified actuarial report which contains infor-
mation similar to the information required in section
408(l)(3)(B).’’
(f) CONFORMING AMENDMENTS.—
(1) Section 280G(b)(6) is amended by striking
‘‘or’’ at the end of subparagraph (C), by striking the
period at the end of subparagraph (D) and inserting
‘‘, or’’ and by adding after subparagraph (D) the
following new subparagraph:
‘‘(E) a SAFE annuity described in section
408B.’’
(2) Subsections (b), (c), (m)(4)(B), and
(n)(3)(B) of section 414 are each amended by in-
serting ‘‘408B,’’ after ‘‘408(p),’’.
(3) Section 4972(d)(1)(A) is amended by strik-
ing ‘‘and’’ at the end of clause (iii), by striking the
period at the end of clause (iv) and inserting ‘‘,
and’’, and by adding after clause (iv) the following
new clause:
‘‘(v) any SAFE annuity (within the
meaning of section 408B).’’
(4) The table of sections for subpart A of part
I of subchapter D of chapter 1 is amended by insert-
ing after the item relating to section 408A the fol-
lowing new item:
‘‘Sec. 408B. SAFE annuities and trusts.’’
(g) MODIFICATIONS OF ERISA.—
(1) 
EXEMPTION
FROM
INSURANCE
COV-
ERAGE.—Subsection (b) of section 4021 of the Em-
ployee Retirement Income Security Act of 1974 (29
U.S.C. 1321) is amended by striking ‘‘or’’ at the end
of paragraph (12), by striking the period at the end
of paragraph (13) and inserting ‘‘; or’’, and by add-
ing at the end the following new paragraph:
‘‘(14) which is established and maintained as
part of a SAFE trust (as defined in section 408B
of the Internal Revenue Code of 1986).’’
(2) REPORTING REQUIREMENTS.—Section 101
of such Act (29 U.S.C. 1021) is amended by redes-
ignating the second subsection (h) as subsection (j)
and by inserting after the first subsection (h) the
following new subsection:
‘‘(i) SAFE ANNUITIES.—
‘‘(1) NO EMPLOYER REPORTS.—Except as pro-
vided in this subsection, no report shall be required
under this section by an employer maintaining a
SAFE annuity under section 408B(b) of the Inter-
nal Revenue Code of 1986.
‘‘(2) SUMMARY
DESCRIPTION.—The issuer of
any SAFE annuity shall provide to the employer
maintaining the annuity for each year a description
containing the following information:
‘‘(A) The name and address of the em-
ployer and the issuer.
‘‘(B) The requirements for eligibility for
participation.
‘‘(C) The benefits provided with respect to
the annuity.
‘‘(D) The procedures for, and effects of,
withdrawals (including rollovers) from the an-
nuity.
‘‘(3) EMPLOYEE NOTIFICATION.—The employer
shall provide each employee eligible to participate in
the SAFE annuity with the description described in
paragraph (2) at the same time as the notification
required under section 408B(b)(5)(B) of the Inter-
nal Revenue Code of 1986.’’
(h) EFFECTIVE DATE.—The amendments made by
this section shall apply to years beginning after December
31, 1998.
SEC. 303. INCREASED LIMIT ON CONTRIBUTION AMOUNT
FOR SIMPLE RETIREMENT ACCOUNTS.
(a) INCREASE IN CONTRIBUTION LIMIT.—Subpara-
graph (A)(ii) of section 408(p)(2) (relating to qualified
salary reduction arrangement) is amended by striking
‘‘$6,000’’ and inserting ‘‘$10,000’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 401(k)(11)(B)(i)(I) is amended by
striking ‘‘$6,000’’ and inserting ‘‘$10,000’’.
(2) Section 401(k)(11)(E) of such Code is
amended by striking ‘‘$6,000’’ and inserting
‘‘$10,000’’.
(3) Section 408(p)(2)(E) of such Code is
amended—
(A) by striking ‘‘$6,000’’ and inserting
‘‘$10,000’’, and
(B) by striking ‘‘1996’’ and inserting
‘‘1999’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to years beginning after December
31, 1999.
TITLE IV—CATCHUP
CONTRIBUTIONS
SEC. 401. CATCHUP CONTRIBUTIONS FOR INDIVIDUALS
AGE 50 OR OVER.
(a) ELECTIVE DEFERRALS.—Section 414 (relating to
definitions and special rules) is amended by adding at the
end the following new subsection:
‘‘(v) CATCHUP CONTRIBUTIONS
FOR INDIVIDUALS
AGE 50 OR OVER.—
‘‘(1) IN
GENERAL.—An applicable employer
plan shall not be treated as failing to meet any re-
quirement of this title solely because the plan per-
mits an eligible participant to make additional elec-
tive deferrals in any plan year.
‘‘(2) LIMITATION ON AMOUNT OF ADDITIONAL
DEFERRALS.—A plan shall not permit additional
elective deferrals under paragraph (1) for any year
in an amount greater than the lesser of—
‘‘(A) 50 percent of the maximum amount
of elective deferrals excludable from gross in-
come of the participant for such year (deter-
mined without regard to this subsection, sub-
section (u), or any limitation described in para-
graph (3)(A)), or
‘‘(B) the excess (if any) of—
‘‘(i) the participant’s compensation for
the year, over
‘‘(ii) any other elective deferrals of the
participant for such year which are made
without regard to this subsection.
‘‘(3) TREATMENT OF CONTRIBUTIONS.—In the
case of any contribution to a plan under paragraph
(1) (and any employer matching contribution with
respect thereto)—
‘‘(A) such contribution shall not, with re-
spect to the year in which the contribution is
made—
‘‘(i) be subject to any otherwise appli-
cable 
limitation 
contained 
in 
section
402(g), 402(h), 403(b), 404(a), 404(h),
408, 415, or 457, or
‘‘(ii) be taken into account in applying
such limitations to other contributions or
benefits under such plan or any other such
plan, and
‘‘(B) except as provided in paragraph (4),
such plan shall not be treated as failing to meet
the 
requirements 
of 
section 
401(a)(4),
401(a)(26), 401(k)(3), 401(k)(11), 401(k)(12),
401(m), 403(b)(12), 408(k), 408(p), 408B,
410(b), or 416 by reason of the making of (or
the right to make) such contribution.
‘‘(4) MATCHING CONTRIBUTIONS.—Nothing in
paragraph (1) shall require an employer to make
any matching contribution with respect to any addi-
tional elective deferrals under paragraph (1) for any
year, but if the employer elects to make any such
matching contribution, such matching contribution
shall be taken into account in determining whether
the requirements of section 401(a)(4) are met for
the year.
‘‘(5) ELIGIBLE PARTICIPANT.—For purposes of
this subsection, the term ‘eligible participant’ means,
with respect to any plan year, a participant in a
plan—
‘‘(A) who has attained the age of 50 before
the close of the plan year, and
‘‘(B) with respect to whom no other elec-
tive deferrals may (without regard to this sub-
section) be made to the plan for the plan year
by reason of the application of any limitation or
other restriction described in paragraph (3) or
contained in the terms of the plan.
‘‘(6) OTHER
DEFINITIONS
AND
RULES.—For
purposes of this subsection—
‘‘(A) APPLICABLE EMPLOYER PLAN.—The
term ‘applicable employer plan’ means—
‘‘(i) an employees’ trust described in
section 401(a) which is exempt from tax
under section 501(a),
‘‘(ii) a plan under which amounts are
contributed by an individual’s employer for
an annuity contract described in section
403(b),
‘‘(iii) an eligible deferred compensa-
tion plan under section 457 of an eligible
employer 
as 
defined 
in 
section
457(e)(1)(A), and
‘‘(iv) an arrangement meeting the re-
quirements of section 408 (k) or (p).
‘‘(B) ELECTIVE
DEFERRAL.—The term
‘elective deferral’ has the meaning given such
term by subsection (u)(2)(C).’’
(b) 
INDIVIDUAL
RETIREMENT
PLANS.—Section
219(b), as amended by section 302(b)(2)(A), is amended
by adding at the end the following new paragraph:
‘‘(6) CATCHUP CONTRIBUTIONS.—In the case of
an individual who has attained the age of 50 before
the close of the taxable year, the dollar amount in
effect under paragraph (1)(A) for such taxable year
shall be equal to 150 percent of such amount deter-
mined without regard to this paragraph.’’
(c) EFFECTIVE DATE.—The amendment made by
this section shall apply to contributions in taxable years
beginning after December 31, 2000.
TITLE V—PLAN AMENDMENTS
SEC. 501. PROVISIONS RELATING TO PLAN AMENDMENTS.
(a) IN GENERAL.—If this section applies to any plan
or contract amendment—
(1) such plan or contract shall be treated as
being operated in accordance with the terms of the
plan during the period described in subsection
(b)(2)(A), and
(2) such plan shall not fail to meet the require-
ments of section 411(d)(6) of the Internal Revenue
Code of 1986 or section 204(g) of the Employee Re-
tirement Income Security Act of 1974 (29 U.S.C.
1054(g)) by reason of such amendment.
(b) AMENDMENTS TO WHICH SECTION APPLIES.—
(1) IN GENERAL.—This section shall apply to
any amendment to any plan or annuity contract
which is made—
(A) pursuant to any amendment made by
this Act, or pursuant to any regulation issued
under this Act, and
(B) before the last day of the first plan
year beginning on or after January 1, 2002.
In the case of a government plan (as defined in sec-
tion 414(d) of the Internal Revenue Code of 1986
and section 3(32) of the Employee Retirement In-
come Security Act of 1974), this paragraph shall be
applied by substituting ‘‘2004’’ for ‘‘2002’’.
(2) CONDITIONS.—This section shall not apply
to any amendment unless—
(A) during the period—
(i) beginning on the date the legisla-
tive or regulatory amendment described in
paragraph (1)(A) takes effect (or in the
case of a plan or contract amendment not
required by such legislative or regulatory
amendment, the effective date specified by
the plan), and
(ii) ending on the date described in
paragraph (1)(B) (or, if earlier, the date
the plan or contract amendment is adopt-
ed),
the plan or contract is operated as if such plan
or contract amendment were in effect, and
(B) such plan or contract amendment ap-
plies retroactively for such period.
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