News Archive

"IRS says [in Notice 2026-9] that it extended the deadline because it and the Treasury Department are still developing model language that may be IRA trustees, custodians, and issuers may use to amend an IRA for compliance with the SECURE 2.0 Act."  MORE >>

"The revised special tax notice incorporates wording recommendations in the GAO report. The GAO report took issue with the old version not clarifying to participants that one of their options was to do nothing at all. In other words, participants may leave their balance in the retirement plan. In addition, the GAO report thought it would be clearer and more concise to list the four distribution options in the beginning with a brief description of the corresponding tax consequences. Both of these changes are included in the new IRS templates."  MORE >>

"The DFVCP was introduced in 1995 in an effort to allow plan administrators to correct delinquent Form 5500 filings for a significantly lower cost than if the DOL discovered the non-compliance first.... The new rules expand the types of entities that can use the DFVCP beyond just employer plans filing the Form 5500. The DFVCP can now also be used by multiple employer welfare arrangements (MEWAs) and Entities Claiming Exception (ECEs)."  MORE >>

"This alert describes upcoming reporting deadlines under the [ACA] and under state laws that require similar reporting.... With respect to health coverage in 2025, the ACA deadlines range from February 28, 2026 to March 31, 2026, and the state deadlines range from January 31, 2026 to April 30, 2026."  MORE >>

"If your plan is fully insured, confirm (or re-confirm) whether the data you maintain requires you to have a Notice of Privacy Practices. If your insurer maintains the Notice of Privacy Practices for plan participants, inquire with your insurer whether the Notice has been updated and where the updated Notice can be found. If your plan is not fully insured ... ensure your privacy policy and any related documents and authorization forms are updated ... by the deadline; [and] post the Notice online (or mail the Notice to participants within 60 days of the update)."  MORE >>

"[The court held] that Kaiser was estopped from denying her participation in a defined benefit pension plan and related supplemental retirement plan after more than a decade of repeated misrepresentations regarding her eligibility.... Kaiser's later offer to make corrective 401(k) contributions did not cure the harm, particularly given Woo's career stage and the fundamentally different nature of the retirement benefits." [Woo v. Kaiser Found. Health Plan, Inc., No. 23-5063 (N.D. Cal. Jan. 26, 2026)]  MORE >>

"Once again, a federal judge has dismissed a suit alleging that the decision to offset employer contributions with forfeitures -- in accordance with the terms of the plan document (not to mention tax law) -- was a fiduciary breach." [Jacob v. RTX Corp., No. 25-1389 (E.D. Va. Jan. 22, 2026)]  MORE >>

"Employers should review their mail-dependent processes now and consider: [1] building additional lead time into mailing schedules for deadline-sensitive documents, [2] requesting manual postmarks at retail locations for time-critical mailings, or [3] transitioning to electronic delivery where legally permissible."  MORE >>

"Section 1333 of the ACA allows states to enter agreements under which Marketplace plans following the rules of one state can be sold in other states in the compact.... No implementing regulations have been released, and no state has sought to use it.... Peter Nelson, who leads the branch of [CMS] that oversees private health insurance and Marketplaces, has pitched an ambitious vision for how compacts could be used. CMS recently requested and received input from the National Association of Insurance Commissioners (NAIC) as a prelude to rulemaking."  MORE >>

"Effective Feb. 22, 2026, employers must frontload at least 32 hours of unpaid ESSTA leave upon hire and on the first day of each calendar year. This unpaid ESSTA leave is in addition to existing paid ESSTA leave accruals that apply to all employees (one hour of safe/sick leave for every 30 hours worked up to 40 or 56 hours, depending on employer size).... In addition to adding more ESSTA leave, the amended law broadens covered uses for paid and unpaid ESSTA."  MORE >>

"The likes of JPMorgan and Betterment are racing to offer solo 401(k)s to a new cohort: Post-pandemic contractors and self-employed DIY savers looking to shelter more income, grow assets tax-deferred or tax-free, all with the click of a button."  MORE >>

"Requirement to report ... Electronic delivery requirements ... Format of statement/return ... Unique account numbers ... Electronic submission of IRS returns ... Submission through FIRE ... Submission through IRIS ... Internal Revenue Code penalties for non-compliance ... Disqualifying disposition of ISO shares ... Disposition of ESPP stock."  MORE >>

"[1] Outsourcing will expand, but auditor accountability will tighten ... [2] AI will influence EBP audits, even when it's behind the scenes ... [3] M&A will continue to reshape the EBP audit landscape ... [4] SECURE 2.0 will shift from awareness to execution ... [5] Cybersecurity and fraud will become frontline risk areas.'

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"For independent pharmacies, this lawsuit highlights a recurring and frustrating reality: When states attempt meaningful PBM reform, ERISA often becomes the battleground.... [The case] reinforces a key takeaway: lasting and sustainable PBM reform may ultimately require federal action and not just state based regulation." [Pharmaceutical Care Management Association v. Bonta, No. 26-0012 (C.D. Calif. complaint filed Jan. 2, 2026)]  MORE >>

"[S]everal states have also taken actions meant to lower drug costs, enacting various measures including price transparency laws, anti-gouging statutes, outcomes-based contracts, state drug wholesale importation programs, and prescription drug affordability boards (PDABs). Many of these state measures, including PDABs, face significant and ongoing legal challenges from drug manufacturers." [LSB11390 Jan. 27, 2026]  MORE >>

"[T]he current proposal would apply to all PRT business, regardless of the specific investment and risk management strategies employed by the issuing company. However, the ARCS noted in our discussions that evaluating the appropriateness of many of the elements of the proposal requires an integrated analysis of the liabilities, the supporting in force assets held on each valuation date, and the company's investment and asset/liability management (ALM) strategies."  MORE >>

44 pages. "[The authors] compare household finance trajectories for individuals who later develop dementia and those who do not.... [W]ealth divergence between the two groups is not explained by reduced earnings, higher healthcare spending, intentional 'spend-down' to qualify for Medicaid coverage, state-dependent utility, or reverse causation by which wealth declines cause dementia.... [R]esults point to impaired financial decision-making beginning about six years prior to clinically recognizable dementia."  MORE >>

"Preventive care is often covered at no cost, but many employees don't use it due to confusion, access barriers, or uncertainty about what's included. This guide breaks down why annual wellness visits matter and how HR teams can promote preventive care through clear education, better access, and thoughtful communication. The result is healthier employees and more value from employer-sponsored benefits."  MORE >>

"42% of HR teams are actively using AI in some capacity ... often replacing people-facing tasks for automation. Today's benefit leaders will need to be more technically and analytically-minded to keep up with the shift[.]"  MORE >>

"This notice provides guidance relating to amendments under section 501 of ... the SECURE 2.0 Act ... for an individual retirement arrangement (IRAs) under section 408(a), (b), or (h) of the Internal Revenue Code, an employer's SEP arrangement under section 408(k), and an employer's SIMPLE IRA plan under section 408(p). This notice provides that the Department of the Treasury and the [IRS] have extended the deadline to make certain amendments for IRAs, SEP arrangements, and SIMPLE IRA plans to December 31, 2027."  MORE >>

"The plans impacted by this change are ... DB pension plans where participant benefits are communicated as an account balance, which include pay credits and interest credits based on one of the following investable market returns: [1] The return on plans' assets; [2] The return on a subset of the plans' assets that approximates the associated cash balance liabilities; [3] The return on a regulated investment company."  MORE >>

"The rule and related amendments to seven prohibited transaction exemptions (PTEs) were originally scheduled to go live on Sept. 23, 2024. The dismissal of DOL's appeal leaves the court orders blocking the rule in place pending resolution of the legal challenges seeking the rule's invalidation. However, the rule is unlikely to take effect in its current form now that DOL has indicated it expects to engage in further rulemaking."  MORE >>

"[T]he federal reporting requirements no longer require providing Forms 1095-B or 1095-C to individuals. The updated federal requirements instead allow most employers to provide individuals with just a notice that a copy of the form may be requested. However, this new requirement does NOT apply to any of the notice requirements by the states detailed [in this article]."  MORE >>

"This is welcome news because in the past, there was no procedure or relief for MEWAs to file a late Form M-1 under a voluntary compliance program. However, it is not uncommon for a health plan to be (or become) an 'inadvertent MEWA,' either because the various employers involved were related but not in the same controlled group or because of a change in their controlled group status, e.g. in an M&A transaction."  MORE >>

"Rep. John McGuire (R-Va.) on Jan. 21 introduced the Home Savings Act (HR 7185) to remove penalties (and taxes) for withdrawing from a 401(k) account when the money is used for closing costs and down payments associated with purchasing a home.... [The Act] would amend the Internal Revenue Code to permit penalty-free withdrawals from a 401(k) account for up to five years when the funds are used for a down payment or closing costs on a primary residence."  MORE >>