News Archive

"If both the plan document and PTO policy allow the conversion of unused PTO to a 401(k) plan contribution, then the dollar value of the unused time may be contributed to the plan as long as the contribution does not unduly discriminate in favor of highly compensated employees (HCEs) and it does not exceed the contribution limits set by the IRS. The IRS approved of this process in Revenue Ruling 2009-31 and Revenue Ruling 2009-32."  MORE >>

"[B]enefits received by an employee pursuant to Minnesota's PFL would impact an employee's W-2 compensation for purposes of a qualified retirement plan. With the one-year extension from the IRS [Notice 2026-6] and the Minnesota Department of Employment and Economic Development, employers in Minnesota will not have to include PFL medical benefits on the employee's W-2 for 2026 and therefore will not have an impact on the definition of compensation in the employer's retirement plan."  MORE >>

"The new amendments to the TPA laws require a TPA doing business in Alaska to now be licensed in Alaska unless they fall within a few, narrow remaining exemptions, such as exclusively providing services to ERISA plans or employees of an insurer acting within the scope of the insurer's license."  MORE >>

6-page chart describes important administrative dates and deadlines for single-employer defined benefit plans that are subject to ERISA and the Internal Revenue Code.  MORE >>

"The appellate court found that Haran's FMLA retaliation claim failed because 'any reasonable jury would be required to find that OBS terminated her based on her job performance, not her request for or decision to take leave.' ... [1] Make sure managers know to contact HR when employees request time off for medical reasons.... [2] Make sure performance reviews are clear and complete.... [3] If you misstate something (or it is misunderstood), correct it in real time." [Haran v. Orange Business Services, No. 24-2312 (2d Cir. Nov. 25, 2025)]  MORE >>

"A series of class actions over the exclusion of coverage for GLP-1 weight loss drugs is testing several legal strategies against how health insurance plans decide which drugs to cover and why.... The lawsuits highlight the broadening dilemma that insurers and employers face in deciding whether to cover the blockbuster shots, as their popularity surges and lower cash prices come available to consumers outside of health plans."  MORE >>

"Reviewing your QDIA annually isn't just good governance -- it's survival. Did the fund underperform? Did the glide path become too aggressive or too conservative? Are the fees still competitive? Did the investment manager leave for a competitor? Did your workforce suddenly skew younger or older? If the answer to any of these is 'I don't know,' congratulations: you've wandered into fiduciary danger territory."  MORE >>

"What truly distinguishes severance pay is not its purpose, but its trigger: termination. The court adopted a straightforward definition used in prior Colorado cases: severance pay is 'payment by an employer to its employee beyond the employee's wages upon termination of the employment relationship.' " [Sommers v. MarketPlace Realty, LLC, No. 24CA2155 (Colo. App. Dec. 24, 2025)]  MORE >>

"[The] PBM Fiduciary, Accountability, Integrity and Reform Act, or PBM FAIR Act [S 3549], would add a PBM fiduciary section to ERISA section 3(21) ... The bill would also add a section to ERISA that would require PBMs and health plans' 'third party administrators' to give an employer plan sponsor or other 'responsible plan fiduciary' detailed compensation disclosures."  MORE >>

"Business leaders have repeatedly sought to roll back the law, saying it puts an undue burden on employers. Many of those employers, particularly small businesses, have struggled to understand and implement the new benefit by the Jan. 1 deadline.... At the same time many Minnesotans are counting on the program, which allows workers to take up to 12 weeks of family or medical leave at up to 90% pay."  MORE >>

"The types of entities eligible for the program [have] been expanded to include multiple employer welfare arrangements (MEWAs) and Entities Claiming Exception (ECEs) seeking to file a late Form M-1.... DOL is also updating the process for the assessment of the flat rate penalty for top hat and apprenticeship and training plans."  MORE >>

"Group Health Plans: [1] Preventive care for 2025 and 2026 ... [2] [ACA] reporting ... [3] Mental Health Parity and Addiction Equity Act of 2008 requirements ... Retirement Plans: [1] SECURE 2.0 Act mandatory Roth catch-up contributions for high earners -- January 1, 2026 ... [2] Plan amendment deadlines."  MORE >>

"Ultimately, the objective of the Executive Order is to dissuade proxy advisors from making recommendations based on DEI and ESG initiatives. The utilization of the ERISA fiduciary statutory scheme as a tool for dissuasion has direct and significant impacts on service providers to retirement plans. From a practical perspective, service providers and fiduciaries to ERISA plans should consider the following:"  MORE >>

"This [article] provides an overview of President Trump's recent Executive Order directing regulatory agencies to take action to enhance 401(k) plan access to such strategies, and continues by summarizing some prior history, moves on to outline concerns of plan fiduciaries and then offers some of the reasons proponents and opponents have concerning alternative assets in 401(k) plans."  MORE >>

"Following a review of the DFVC Program, as modified in 2002 and 2013, the Department has determined to expand the penalty relief to plan MEWAs, non-plan MEWAs, and ECEs who are required to file the Form M-1.... The Department, to encourage voluntary compliance with ERISA's reporting requirements, is extending to plan and non-plan MEWAs and ECEs that are required to file Form M-1 the same $750 maximum penalty amount currently available to small plans filing a late Form 5500, and to filers of apprenticeship and training plans and top hat plans. In addition, top hat and apprenticeship plans will no longer be directed to the DFVC payment calculator. All plans eligible to pay a flat $750 fee will follow a link to a gov.pay site.... The DFVC Program described herein shall be effective December 19, 2025."  MORE >>

"Key developments include: [1] Rapid growth in auto portability adoption. [2] Public support for auto portability from leading DC recordkeepers. [3] A reframing by industry thought leaders of the 'forgotten' 401(k) accounts issue through the lens of portability."  MORE >>

"HIPAA requires covered entities to post and provide individuals with a copy of the provider's NPP no later than the first day services are delivered. The NPP must contain the elements, information and statements specified in 45 CFR 164.520 ... By February 16, 2026, covered entities must update their NPP to also address the following: [1] Notice of Rights Concerning Substance Use Disorder Records.... [2] Limits on Use of SUD Records.... [3] Impact of Other Laws.... [4] Fundraising."  MORE >>

"OBBBA ... introduced several changes affecting HSAs, including a permanent safe harbor for pre-deductible telehealth and remote care, the designation of [ACA] Exchange bronze and catastrophic plans as HSA-compatible, and clarification that qualifying Direct Primary Care Service Arrangements (DPCSAs) do not disqualify individuals from HSA eligibility."  MORE >>

"Proxy advisors who provide recommendations and analysis to shareholders (including ERISA plan fiduciaries) regarding how to vote proxies on corporate matters may not fit neatly within the traditional fiduciary framework. However, the Executive Order directs the DOL to consider whether proxy advisors to ERISA plans should be ERISA fiduciaries because of their 'relationship of trust and confidence' with their clients."  MORE >>

"43 percent of individuals interviewed between ages 56-75 combined work and benefits for at least some period of time ... [T]wo-thirds of them claimed before the FRA -- typically right at age 62 -- while another 30 percent claimed between the FRA and age 69 -- typically right at the FRA. This pattern suggests different circumstances and different reasons for claiming."  MORE >>

"Effective January 1, 2026, Connecticut's paid sick leave law will apply to employers with 11 or more employees, lowering the threshold from 25 employees in 2025. Then, starting January 1, 2027, the law will cover almost all remaining employers with at least one employee."  MORE >>

"Data from the National Financial Educators Council (NFEC) found that participants say they lose out on $948 from their lack of personal finance knowledge, for a combined total of $246 billion in lost revenue. Further, close to half (48.6%) of survey respondents say that an inadequacy of their own financial prowess had led to losses of $500, while 14.6% report setbacks of $2,500."  MORE >>

"If you're running behind on retirement savings, you'll probably want to contribute the extra amount, even though there's not a current tax advantage.... A person who is currently age 50 and maxes out on both catch-up and super catch-up contributions could therefore end up with something in the neighborhood of $200,000 (assuming a 5% annual return) in the Roth 401(k) by age 65. And because contribution limits are adjusted for inflation each year, the total would likely be higher than that."  MORE >>

"The PSDA Revised Guidelines both add new obligations and provide additional guidance to employers that provide paid sick leave to employees in the City. The Revised Guidelines will take effect on January 1, 2026 (when both the accrual rate and the amount of paid sick leave available under the PSDA will increase)."  MORE >>

"By breaking down silos between medical and disability data, absence management leaders can uncover actionable insights that improve employee outcomes and reduce organizational risk. This analysis sets out to: [1] Quantify how chronic and complex conditions influence both medical spend and absence patterns. [2] -- Identify which conditions have the greatest impact on cost and workforce availability. [3] Translate these findings into practical strategies for absence programs."  MORE >>