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401(k) plans


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401(k) Fixed Income 'Flight' Continues
"June saw, on average, 0.017% of 401k balances traded daily and 17 of 20 days favored fixed-income funds.... [T]rading inflows mainly went to bond, stable value, and money market funds and outflows were primarily from large U.S. equity, company stock, and small U.S. equity funds." (401(k) Specialist)
Fiduciary Clarity Needed for Successful Open MEP Expansion
"Open MEPs as detailed in the SECURE Act offer a structure for a small plan to get maximum fiduciary support ... but the roles and responsibilities of all the parties involved can be hard to keep straight." (planadviser)
Ways Employers Can Help Workers Prepare for Retirement (PDF)
"[1] Offer a retirement savings plan ... [2] Encourage workers to actively engage in retirement planning ... [3] Refresh and promote the availability of retirement education and advice ... [4] Promote short- and long-term financial security by offering a variety of benefits ... [5] Educate preretirees about social security benefits ... [6] Be an aging-friendly employer ... [7] Enable workers to work past age 65 with a flexible transition into retirement." (Benefits Quarterly, published by the International Society of Certified Employee Benefit Specialists [ISCEBS])
How America Saves: Small Business Edition (PDF)
36 pages. "On average, VRPA plans had 43 participants and plan assets of $2.4 million.... In 2018, 22% of VRPA plans allowed employees to make voluntary contributions immediately after they joined their employer.... 41% of plan sponsors required eligible employees to have one year of service before they could make employee-elective contributions to their plans.... Forty-five percent of VRPA plans provided only a matching contribution in 2018. Eight percent of plans provided both a matching and a nonmatching employer contribution.... Two-thirds of VRPA plans with an employer contribution had adopted a safe harbor design ... As of December 2018, 15% of VRPA plans permitting employee-elective deferrals had adopted automatic enrollment." (Vanguard)
[Guidance Overview] IRS Proposes Exception to IRS 'One Bad Apple' Rule
"Where a qualification failure is not corrected, generally the assets of the MEP attributable to employee-participants of the failing employer will be distributed to them.... [T]he amounts so distributed 'would not, solely because of the participating employer failure, fail to be eligible for favorable tax treatment accorded to distributions from qualified plans.' The IRS, however, reserves the right to not apply this special treatment to a person (e.g., an owner-participant) that is responsible for the plan failure." (October Three Consulting)
401(k) Loan Usage Declines
"The use of 401(k) loans reached a nine-year low of 22.5 percent in 2018 and continued a steady six-year decline of nearly 10 percent ... [T]he percentage of participants who took a hardship withdrawal fell for the ninth consecutive year, declining from 1.9 percent in 2010 to 1.3 percent in 2018. However, both loan balances and the average amount of hardship withdrawals increased." (Wolters Kluwer; free registration required)
Conduct a Self-Audit to Avert ERISA Plan Fiduciary Liability (PDF)
"The scope of a fiduciary self-audit will vary depending on an organization's needs and types of benefit plans, and must be tailored to the situation. A self-audit ... will require development of a road map to collect the requisite materials such as plan documents, meeting minutes, plan reports, plan investment and fee information, investment, trust and service provider agreements and all other necessary plan information." (Epstein Becker Green)
[Guidance Overview] Proposed IRS Regs Would Eliminate 'One Bad Apple' Rule for Multiple Employer Defined Contribution Plans
"The IRS had considered expanding these proposed regulations to tax-qualified defined benefit plans as well, but, because of additional complexities that would be associated with applying these proposed regulations to defined benefit plans, elected not to do so. The IRS did, however, solicit comments regarding the possible extension of these rules to tax qualified defined benefit plans." (The Wagner Law Group)
Sponsors Want More Financial Wellness Offerings from Advisers
"Being less optimistic than advisers about participants' retirement readiness, plan sponsors also want guidance about alternative plan designs and cite increasing defined contribution (DC) plan participation as their biggest challenge[.]" (PLANSPONSOR; free registration may be required)
Adidas 401(k) Lawsuit Argues Passive Funds Best for Participants
"[The complaint] argues that the funds chosen by Adidas from which plan participants may elect to invest are actively managed, which in significant measure results in the higher administrative fees. The plaintiffs suggest Adidas could have offered passively managed funds as an alternative to plan participants, which would have resulted in significantly lower administrative fees yet generated comparable returns." [Enos v. Adidas America Inc., No. 19-1073 (D. Ore. complaint filed Jul. 10, 2019)] (planadviser)
Proposed Treasury Regs on MEPs Are a Good Start
"Under the existing rules, one noncompliant employer within a MEP can disqualify the entire plan, creating significant problems for the other participating employers. If these proposed regulations become final, they will remove an important compliance hurdle for employers considering -- or already in -- a MEP." (Ascensus)
Providers Reluctant to Serve Newly Allowed 401(k)s Sponsored by Cannabis Companies
"With the passage of the 2018 Farm Bill by President Donald Trump, hemp and cannabidiol, or CBD, companies can sponsor 401(k) plans for employees and take advantage of the related tax deductions.... The real obstacle to implementing 401(k) plans for otherwise legal marijuana producers are the industry retirement plan providers who are nervous and jittery about dealing with 'traffickers.' ... They have dug in their heels, refusing to do business with cannabis companies technically engaged in trafficking under federal law." (PLANSPONSOR; free registration may be required)
The Economics of Providing 401(k) Plans: Services, Fees and Expenses, 2018 (PDF)
34 pages. "In 2018, the average expense ratio for equity mutual funds offered in the United States was 1.26 percent.... The average expense ratio that 401(k) plan participants incurred for investing in equity mutual funds fell from 0.45 percent in 2017 to 0.41 percent in 2018. The average expense ratio that 401(k) plan participants incurred for investing in hybrid mutual funds fell from 0.51 percent in 2017 to 0.49 percent in 2018." (Investment Company Institute [ICI])
The SPIVA Scorecard: A Must-Read for 401(k) Fiduciaries
"Published by S&P Dow Jones Indices, the semi-annual report measures the percentage of actively-managed funds that outperform their market index benchmark over specific periods of time, net of fees.... [The year-end 2018 SPIVA Scorecard ] found only a small percentage of actively-managed funds outperform the market over time. The takeaway for 401(k) fiduciaries? There is a very good chance that low-cost passively-managed index funds and ETFs that seek to match -- not beat -- the market will offer superior investment returns over the long term." (Employee Fiduciary)
Fidelity Says It's Entitled to Alleged 'Secret Payments' in 401(k) Plans
"Fidelity ... [asked] a federal court to dismiss a lawsuit alleging the fees caused the Boston-based firm to profit at the expense of customers' retirement savings and breached its fiduciary duty.... [T]he fee is nothing more than an 'arm's length' payment negotiated with certain money managers, and such compensation negotiations don't mean Fidelity is acting as a fiduciary, the firm said. Fidelity negotiated its 'infrastructure fees' with asset managers on the FundsNetwork platform in 2017." [Wong v. FMR LLC, No. 19-10335 (D. Mass. defendant's memo in support of motion to dismiss filed Jul. 1, 2019)] (InvestmentNews; subscription may be required)
2019 Defined Contribution Plan Sponsor Survey
"Most plan sponsors feel a high level of responsibility for employee financial wellness (74%) but less than half of those surveyed take proactive measures (41%) to position participants for success.... The percentage of plan sponsors offering automatic features has increased since 2013.... Many are overlooking key target date fund evaluation criteria." (J.P. Morgan Asset Management)
Benefit and Compensation Issues in Employment and Separation Agreements
"[1] Salary continuation and Code Section 409A ... [2] Release timing and Code Section 409A ... [3] Changes to employment agreements and Code Section 409A ... [4] Compensation and constructive receipt Issues ... [5] Taxability of non-cash benefits ... [6] Drafting COBRA language ... [7] Paying for COBRA coverage ... [8] Employment through bonus payment date ... [9] 401(k) deferrals and severance pay ... [10] Equity awards." (Miles & Stockbridge)
Education Topics 401(k) Plan Sponsors Need to Ask About But Don't
"[1] Financial health beyond the 401(k) plan ... [2] The true cost of premature withdrawal ... [3] Emergency savings plans ... [4] How to find lost participants ... [5] Cybersecurity." (Fiduciary News)
SEC Considers Allowing Private Equity and Hedge Funds in 401(k) Plans
"Currently, the SEC's rules state that participants must be 'qualified investors' to purchase alts and that only Series 7 advisors can sell them. The SEC is considering loosening the definition of a qualified investor, which could open the door to 401(k) participants." (RIABiz)
Tips for Encouraging Better Retirement Savings Behavior
"Stress what could be gained or lost ... Point out what others are doing right ... Use testimonials versus eye-popping statistics ... Encourage individuals to picture their retirement ... Leverage competition ... Use opt-out versus opt-in features ... Limit investment choices ... Structure the menu of investment choice ... Use a stretch match ... Provide access to a financial advisor." (The Retirement Advantage)
Tackling Your Employees' Student Loan Debt
"[R]oughly one-third of employers reported offering or planning to offer some student loan debt program, such as a student loan debt consolidation or refinancing service.... [T]he recently reintroduced Retirement Enhancement and Savings Act of 2019 ... includes a provision ... which allows plan sponsors to match an employee's student loan payment in the form of a contribution to their workplace retirement plan." (ORBA)
[Opinion] Annuities in 401(k)s Won't Solve the Retirement Crisis
"Employers have shied away from including annuities in retirement plans over liability issues -- participants might sue if an insurance company in the plan goes belly up or fails to pay claims. The [SECURE Act] gives employers a 'safe harbor'' that limits their liability.... The advantage of annuities is that they offer investors guaranteed retirement income not exposed to market fluctuations or vulnerable to poor investment choices.... The rap on annuities is that, yes, while some are low cost, others come with high commissions and high fees that eat into the benefits." (Barron's)
[Guidance Overview] IRS Issue Snapshot: Hardship Distributions from 401(k) Plans
"This Snapshot examines the criteria for hardship distributions. Different restrictions apply to hardship distributions made from elective deferrals that were contributed prior to 1989. A discussion of those rules is beyond the scope of this Snapshot. The Bipartisan Budget Act of 2018 made several changes to the requirements for hardship distributions from 401(k) plans. Those changes are summarized[.]" (Internal Revenue Service [IRS])
Manage Your 401(k) Toward a Comfortable Retirement
"[1] Contribute at least 15% ... [2] Don't stop contributing ... [3] Always make sure you collect the entire company match ... [4] Make Roth 401k contributions ... [5] Get help with your investment allocations ... [6] Allocate your balance to target date funds if you desire simplicity ... [7] Rebalance annually if you aren't in a target date fund ... [8] Please do NOT sell when markets fall ... [9] Don't take participant loans ... [10] Don't roll over your account to an IRA." (Lawton Retirement Plan Consultants)
Which Comes First: The Contribution or the K-1?
"[T]he TPA is correct -- they need the earned income from the K-1 to calculate the contribution. But the CPA is right, too -- they need the contribution figure to finalize the K-1. If it feels like this is going in circles, it is. Self-employed income calculations are circular in nature, with both the earned income and plan contributions dependent on each other. Coordination between your CPA and plan consultant is the key to making these calculations easy (relatively speaking)!" (DWC)
Automatic Enrollment in 401(k) Annuities: Boosting Retiree Lifetime Income
"Our proposal is to include deferred lifetime income annuities (DIAs) as a default in employer-provided 401(k) plans. We investigate the pros and cons of such a proposal using a life cycle economic model which takes into account the value of having true longevity protection in one's retirement account. Specifically, we report results from a calibrated lifecycle consumption and portfolio choice model embodying realistic institutional considerations relevant to the American workforce. We show that automatically enrolling retirees using only a small portion of their 401(k) assets can substantively enhance retirement security and improve welfare." (The Brookings Institution)
Baby Boomer Women Significantly Lag Baby Boomer Men in 401(k) Savings
"Baby boomer women have a median 401(k) savings balance of $59,000, less than half of the $138,000, median balance of baby boomer men, according to a recent T. Rowe Price survey focused on the financial behavior and attitudes related to gender. This savings gap carries over to millennial women, who have a median 401(k) balance that is $30,000 less than the median balance of millennial men." (T. Rowe Price)
Projected 2020 Retirement Plan Limits
"These estimates are determined using the Code's cost-of-living adjustment and rounding methods, the Consumer Price Index for All Urban Consumers (CPI-U) through May, and estimated CPI-U values for June-September.... [F]igures can't be finalized until ... October." (Mercer)
Find, Fix and Avoid Plan Loan Mistakes: Some Basics
"Plan sponsors who choose to include a loan feature in their retirement plan must take care to ensure their loan program is operated in compliance with the tax rules and the plan's loan policies to avoid unintended consequences for loan recipients and the plan.... [H]ere's an overview of the basic rules for plan loans and some best practices for finding, fixing and avoiding plan loan mistakes." (Newport Group)
Index Funds Nearly Universal in Large 401(k) Plans
"More than 95% of 401(k) plans with more than $10 million in plan assets offered index funds in their plan lineups in 2016, and 77% of 401(k) plans with less than $1 million offered them." (planadviser)
SECURE Act Changes That Affect Your 401(k)
"Part-time employees must be eligible to contribute.... Distribution rules modified and new withdrawal event created.... New flexibility for non-elective safe harbor plans.... Increased maximum contribution for auto escalation safe harbor plans.... New disclosure of projected retirement income.... Annuity safe harbor for fiduciaries.... Open Multiple Employer Plan (MEP) option." (401kTV)
The Effect of Default Target Date Funds on Retirement Savings Allocations
"Participants who had joined plans with a money market default largely switched out of the default option ... Target date defaults raised the amount participants contributed to equity by 13 percentage points on average ... With a money market default, the size of the investment menu had a slight effect on the number of funds in which participants invested; this effect vanished under target date defaults." (TIAA Institute)
A Close Look at 401(k) Plan Design, Investments and Fees Using 2016 Data (PDF)
84 pages. "Larger 401(k) plans are more likely to report that they automatically enroll workers into the plan.... More than 90 percent of 401(k) plans in the sample with more than $50 million in plan assets had participant loans outstanding, compared with ... 36 percent of plans with less than $1 million.... In 2016, more than three-quarters of the large 401(k) plans in the sample with automatic enrollment also had both employer contributions and participant loans outstanding, compared with less than two-thirds of plans in the sample without automatic enrollment." (BrightScope and Investment Company Institute [ICI])
Nonqualified Deferred Comp Plans: The 401(k) Excess Contribution Solution
"A 401(k) refund immediately becomes unplanned taxable income for the employees, and potentially a lost opportunity to collect company matching dollars for 401(k) savings.... Nonqualified deferred compensation plans (NQDC) can be designed to allow plan participants to defer an amount of their base salary equal to the refund, to create a tax neutral event for the year in which the refund occurs." (Fulcrum Partners LLC)
Settlement of MFS Excessive Fee Suit Includes Plan Design Changes
"The lawsuit had alleged that MFS defendants seeded the company's own retirement plans primarily with MFS investment offerings, without investigating whether plan participants would be better served by investments managed by unaffiliated companies.... Beyond the monetary payment to the plan, ... the plans' qualified default investment alternative options will be one or more target-date funds that are unaffiliated with MFS ... [and] MFS will retain a third-party investment consultant ... to provide an annual evaluation of the plans' investment lineup and review the plans' investment policy statement." (PLANSPONSOR; free registration may be required)
Checklist: Preparing Your Employee Benefit Plan for a DOL Audit
"Whether you have a small plan that does not need an audit or a large plan and you are preparing for your first audit, the following control processes may help avoid common compliance errors and make the audit process easier to manage[.]" (Windes)
401(k) Plans Loosen Vesting as Labor Market Gets Tighter
"While experts agree that vesting schedules reduce costs, they question whether they indeed lower turnover, saying today's increasingly mobile workers will jump to new jobs for better-paying positions regardless of the money they leave behind in unvested company contributions." (Pensions & Investments)
[Guidance Overview] Plan Problems: What's New With Self Correction and VCP?
"There are a few expanded opportunities provided under SCP and some clarification that certain activity will require correction through a VCP process.... The IRS has also issued clarification on some other items which, when corrected, should go through a VCP. The IRS has made accessing guidance on common failures, along with how to correct those failures very simple to find on their website. [This article] details some of the highlights on SCP, VCP, and where to locate the support you need." (WithumSmith+Brown, PC)
These Companies Have the Best 401(k) Plans
"What makes a high-quality plan? Low fees, of course. And a good company match.... Here are the top 401(k) plans across various industries -- including some, like health care and technology, that have above-average job growth." (Money)
Understanding Settlor Functions, Plan Expenses, and Who Can Pay What
"While much of the guidance is informal, the DOL has provided plenty of instruction to plan fiduciaries to help them determine what fees may be paid by the plan and what fees must be paid by the plan sponsor." (Ferenczy Benefits Law Center)
Financial Reporting for Tribal 401(k) Plans
"GASB No. 84 doesn't apply to a tribe's separately issued enterprise-fund financial statements if the enterprise funds aren't legally separate. However, a 401k plan may still be included in a tribal government's statements ... To determine if a legally separate casino sponsors its own 401k plan, consider if the casino can amend the vesting schedules in the plan document, appoint trustees, select the custodian, choose the third-party administrator (TPA), and appoint other service providers of the 401k plan. If so, the 401k plan will likely be included as a fiduciary activity." (Moss Adams LLP)
Industry Definitions: Security Breach and Cyber Fraud (PDF)
"These definitions are not intended to supersede state and/ or federal laws, legislation, or regulation, but are meant to establish a base of communication between record keepers and plan sponsors regarding Security Breaches and Cyber Fraud events. Using these terms, clients can more accurately assess a recordkeeper's cybersecurity incident practices and controls, and use these definitions to obtain mutually agreed upon contractual protections with a recordkeeper should such an event occur." (SPARK Institute)
[Opinion] Is ESG the True Fiduciary Path Forward?
"If the primary objective of fiduciary duty standards is to act in the best interests of 401k plan participants, then a fiduciary's duty is to do whatever is required to preserve participants' capital and purchasing power into the future.... Minimizing downside risk is the capital preservation portion of the equation, and today it's clear that the most dangerous long-term risks to purchasing power are in systemic threats to the economy itself.... [L]ong-term portfolio risk is avoided in not owning the causes of those threats, as their continuing growth is unlikely." (401(k) Specialist)
What Employers Should Know When Their 401(k) or 403(b) Provider Broadens Services and Revenue Streams (PDF)
"Facing fierce competition and pressure on fees ... providers have largely focused on plan sponsors' interest in financial wellbeing ... offering the solutions or products to meet those demands.... Many, but not all, of these programs create additional revenue for providers either directly or indirectly.... [P]lan sponsors should ... engage in a prudent process that is documented to understand the fee structure, participant approach and determine if the ir provider's solution is in the best of interest of their workforce." (Gallagher)
Appellate Court Affirms Award of 401(k) Plan Benefits Under QDRO Issued After Participant's Death
"A federal appellate court has upheld a trial court's determination that a deceased plan participant's former spouse is entitled to part of the participant's 401(k) plan benefit, even though the participant had remarried and the [QDRO] assigning benefits to the former spouse was issued after the participant's death." [Miletello v. RMR Mechanical, Inc., No. 18-30942 (5th Cir. Apr. 16, 2019)] (Thomson Reuters / EBIA)
Employers Help Workers Build Household-Emergency Funds
"A growing number of employers are helping workers start emergency savings accounts, reflecting concern over the impact money problems are having on productivity levels and workers' ability to retire. Companies ... are encouraging employees to fund emergency accounts, in some cases by offering them cash and other incentives. Others are diverting a portion of employees' paychecks into rainy-day funds related to their 401(k) plans." (The Wall Street Journal; subscription may be required)
401(k) Participants' Investing Behavior May Leave Them Short
"[A]lthough 401(k) participants believe they need $1.7 million, on average, to retire, many are not investing enough to reach that goal. The nationwide survey of 1,000 401(k) plan participants also reveals the outsized role of the 401(k) in Americans' financial lives, with most (58%) saying it is their only or largest source of retirement savings. Moreover, two-thirds (65%) of those surveyed say participating in a 401(k) plan was their first experience with investing -- yet when it comes to using a 401(k), 64 percent view themselves as savers rather than investors." (Charles Schwab)
Why Employers Should Think Twice About Adding Annuity Payments to Their 401(k) Plans (PDF)
"[A]lthough Section 401(k) plan fiduciaries, by following the DOL and SECURE Act safe harbors, receive significant protection in the event an insurance company becomes financially unable to make annuity payments, there is nevertheless a substantial amount of other due diligence, outside of the scope of the safe harbors, that fiduciaries will need in undertake to satisfy their duties of oversight under ERISA." (Blank Rome LLP, via Bloomberg Tax Management Compensation Planning Journal)
Congress Looks to Overhaul Retirement System for First Time in More Than a Decade
"Through some version or another, this legislation has been proposed for nearly five years. This is the farthest it has gone ... The real centerpiece is the multiple-employer defined-contribution plans expansion. Time will tell whether this will drastically increase the number of small employers offering 401(k) plans or whether the ones that do today obtain real savings through economies of scale." (Lockton)
House Passes the SECURE Act, Senate Will Consider -- 401(k) Plans Would Be Affected in Big Ways
"In its current form, the SECURE Act is an amalgamation of a number of pension-related proposals that have been offered on and off during the course of the past several years. In fact, the Senate presently has a similar bill before it that was introduced last year, entitled the Retirement Enhancement Securities Act (RESA). Many of RESA's provisions could eventually make their way into the SECURE Act, and, of course, the SECURE Act might also be significantly modified through committee or other Congressional action before being finalized." (Compliance Dashboard)
Bipartisan Bill Paves the Way for Significant Retirement Plan Reforms
"The SECURE Act ... proposes a number of changes to existing retirement plan rules that are designed to make it easier for employees to save for retirement. The legislation aims to help employees achieve retirement security by ensuring that more workers have access to a retirement plan, are able to save enough money to maintain their standard of living in retirement and do not outlive their retirement savings." (McDermott Will & Emery)
Senate Republicans Raise Concerns Over House's Bipartisan Retirement Bill
"Among the items causing concern are the House's resistance to letting people pay for home-schooling expenses with money in 529 tax-advantaged education-savings accounts. Senators are also looking at a House-passed provision that relaxes pension-funding rules for some community newspapers and considering whether they want to make even larger retirement-policy changes than the House[.]" (The Wall Street Journal; subscription may be required)
[Opinion] Confusing Annuity Options May Be Coming to Your 401(k)
"Among the two dozen or so rule changes is a provision that is strongly supported by insurance companies but has consumer advocates worried. It would eliminate some of the liability for employers who add annuities to the menu of options for their 401(k) plans -- including expensive and complex products that purport to offer the peace of mind of a guaranteed income stream." (The New York Times; subscription may be required)
SECURE Act: Key Changes for Plan Sponsors and Employers
"[1] Expansion of part-time employee eligibility ... [2] Changes to section 401(k) safe harbor plans ... [3] Addition of 'qualified birth or adoption distributions' ... [4] Prohibition on using credit card arrangements for plan loans ... [5] New lifetime income disclosure requirement ... [6] New portability for lifetime income investment options ... [7] Nondiscrimination testing relief for closed defined benefit plans ... [8] Changes to minimum required distributions ... [9] New statutory safe harbor for annuity provider selection." (Proskauer Rose LLP)
Feeling Defeated in the Battle of Participant Loans? Here's a Fix for That
"[T]he goal for plan corrections is to put the plan and its participants back in the position they would have been in had the error not occurred.... [M]ost plan sponsors prefer to preserve the loan for the benefit of the participant.... That means we've got a two-fold correction to work through. First, bringing the plan document back into compliance and second, getting the participant loan in good-standing. Luckily, the IRS provides specific guidance on stepping through these corrections." (DWC)
Retirement Plan Outcomes: The Missing Puzzle Piece
"A plan sponsor can have a best-in-class investment array and extremely low fees, but if the participants cannot retire on time because their retirement account balances are insufficient, then the whole purpose offering a retirement plan is defeated! Not to mention the myriad of issues created when employees are forced to work past the age that they would normally retire." (Cammack Retirement Group)
Cost of a Retirement Plan? Just $2.64 Per Hour
"[A] recent study [concluded] that employers could restore retirement security by contributing $5,500 per year to each employee's retirement account -- approximately $2.64 an hour ... By shifting retirement savings burdens to employees, employers have saved significant money over the last four decades.... [The study's author] contends that businesses can pass a larger portion of their savings back to workers and avoid a societal retirement catastrophe." (San Antonio Express-News)
[Opinion] The SECURE Act and RESA: The Good, the Bad and the Ugly
"[Certain provisions of the Setting Every Community Up for Retirement Enhancement (SECURE) Act and the Retirement Enhancement and Savings Act (RESA)] reduce barriers to complicated and opaque 401(k) products and investments favored by many large insurance and mutual fund companies.... [T]hese products and investments are likely to benefit providers more than 401(k) participants.... The fiduciary safe harbor appears to only protect employers from a provider that can't afford to pay promised benefits. The employer would still be responsible for determining whether the lifetime income option is 'prudent' ... A tough job given the complexity of these insurance products." (Employee Fiduciary)
How the SECURE Act Could Impact Your Retirement Plan
"[1] Increase small employer access to retirement plans ... [2] Increase annuity options inside retirement plans ... [3] Increase required minimum distribution ages ... [4] Removal of age limitation on IRA contributions ... [5] Tax credit for automatic enrollment ... [6] Penalty-free distributions for birth of child or adoption ... [7] Lifetime income disclosure for defined contribution plans ... [8] Removal of 'stretch' inherited IRA provisions." (Forbes)
 
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