News Archive

"Instead of recalculating the [super catch-up] limit as 150% every year, the IRS will now index that dollar amount ($11,250) to cost-of-living adjustments (COLA).... in 2026, the super catch-up isn't just 150% of the regular catch-up -- it's whatever the indexed amount turns out to be (which, in this case, meant there was no adjustment, and it stayed at $11,250)."  MORE >>

"The IRS is back to work and just announced the 2026 annual limits that will apply to tax-qualified retirement plans ... [including] a surprise increase in the inaugural FICA wage limit for purposes of the mandatory Roth catch-up requirement. Employers maintaining tax-qualified retirement plans will need to make sure their plans' administrative procedures are adjusted accordingly."  MORE >>

"The amended law introduces several key changes. First, New York City employers must provide employees with 32 hours of unpaid safe/sick leave, replacing the two days that were previously available under the Temporary Schedule Change Act (TSCA). The law also expands the uses of leave under ESSTA, codifies the state's paid prenatal leave entitlement, and clarifies how collective bargaining agreements can waive certain ESSTA obligations."  MORE >>

"The Massachusetts Department of Family and Medical Leave (DFML) has issued its 2026 poster, individual notices, and rate sheets for the state's Paid Family and Medical Leave program. The maximum weekly benefit amount and the state average weekly wage will increase slightly going into 2026, but for the third year in a row, the total contribution rates for employers and employees will hold steady. The IRS has issued tax guidance on Paid Family and Medical Payments, [about] which the MA DFML has issued a detailed memorandum[.]"  MORE >>

"[A] recent litigation outcome provides a roadmap for selling -- but not overselling -- ERISA 3(38) services. If used correctly, it may also serve as a blueprint for helping clients to take appropriate steps to fulfill their residual responsibility to monitor a 3(38) fiduciary." [Wanek v. Russell Investments Trust Co., No. 21-0961 (D. Nev. Sep. 25, 2025)]  MORE >>

"Starting on January 1, 2026, employees will be eligible to receive up to twelve weeks of paid medical leave and up to twelve weeks of paid family leave in a single twelve-month period, with payments based on earnings in the prior year.... The program will be run by the State of Minnesota ... [and] is funded through premiums on employee wages, which are split between the employer and employees."  MORE >>

"The court ... [noted] that the duty of notification ultimately lies with the employer, which was also the plan administrator, even if a third-party company is designated to disseminate COBRA notices, because the employer cannot unilaterally delegate its fiduciary duty to a party that has no discretionary authority and is not a fiduciary." [Casillas-Guardiola v. Bayer Puerto Rico, Inc., No. 22-1167 (D. P.R. Sep. 30, 2025)]  MORE >>

"The court reasoned that a participant who meets the wellness program criteria during the plan year under a reasonable alternative standard has the same reward as a participant who meets the criteria at the beginning of the year: the absence of a prospective surcharge. On that reading, the court held that failure to offer retroactive refunds does not itself render the program discriminatory.... The court declined to impose an exhaustion requirement, reasoning that the claims were statutory, not benefit denials." [Williams v. Bally's Management Group, LLC, No. 25-00147 (D.R.I. Nov. 4, 2025)]  MORE >>

21 pages; Nov. 13, 2025. "What's New: Trump account and new Form 4547.... If the child was born after 2024 and before 2029 and meets certain other requirements, the authorized individual may also elect to receive a $1,000 pilot program contribution to the child's Trump account. Both elections can be made on Form 4547, which can be filed at the same time as the authorized individual's 2025 income tax return."  MORE >>

"Although SEPs can be beneficial, there are certain types of small businesses that may want to evaluate a 401(k) plan in comparison to a SEP. Some small business owners may find that a 401(k) plan is better suited to meet their objectives when considering three factors: [1] contribution allocation; [2] maximum contribution deduction; and [3] eligibility and vesting conditions."  MORE >>

"Annuities are a potential solution for this challenge, but when the word 'annuity' comes up, many clients still recall old-school products with high commissions, confusing terms and limited flexibility."  MORE >>

"You're diligently saving, investing, and planning for retirement. Everything seems to be on track, but the curveballs just keep coming -- market downturns, surprise expenses, maybe even a health scare. Such developments raise an important question: Is your financial plan sound enough to withstand significant stressors? Here's how to anticipate -- and account for -- the unexpected."  MORE >>

"A few simple, common-sense changes on the employer side could help expand access to and improve retirement outcomes for millions of workers. [1] Eliminating waiting periods to expand 401(k) access ... [2] Expanding access to part-time workers ... [3] Auto-portability ... [4] Unconditional employer contributions ... [5] Offering financial guidance to support retirement readiness."  MORE >>

"One in five (18%) adults now report having ever taken a GLP-1 agonist, including 12% who say they are currently taking this type of medication (a 6 percentage point increase from 18 months ago). Even though most GLP-1 users say their insurance covered at least some of the cost, over half (56%) of users say these drugs were difficult to afford, including one in four who say they were 'very difficult' to afford."  MORE >>

"While this latest development is a relief, it is clear that the issues surrounding the funding of Medicare telehealth -- and telemedicine prescribing -- are not going away every time Congress kicks the proverbial can down the road.... In 2025, we know the consequences of letting the flexibilities expire -- providers do not get paid, access to quality care is diminished, and questions of retroactive payment create uncertainty."  MORE >>

With the shutdown ended, the [IRS] has finally issued Notice 2025-67, setting out the limits on benefits and contributions for 2026. Maximum deferrals under a 401(k) or 403(b) plan rose from $23,500 to $24,500, while maximum benefits under a defined benefit plan rose from $280,000 to $290,000. This page includes a chart showing details, and limits from 1996 to 2026.  MORE >>

"If reading all these rules has you thinking about eliminating Roth provisions or catch-ups from your plan, I don't blame you, so here are some of the most common considerations ... [1] Plans do not have to offer a Roth option. [2] Plans cannot require that ALL catch-up contributions be ROTH contributions. [3] Plans cannot make Roth available only for catch-up contributions. [4] Plans cannot make Roth available only to catch-up eligible participants. [5] Catch-up eligible participants who are not High Earners are not precluded from making catch-up contributions in a plan that does not have a Roth feature."  MORE >>

"With the issuance of the final forms and instructions ... filers should have all the tools they need to prepare for filing the 2025 forms. Filers should note the Paperwork Burden Reduction Act and the Employer Reporting Improvement Act changes, including that forms can be delivered electronically with consent, the date of birth can be used if a TIN isn't available, and ACA penalty assessments have a six-year limit starting with returns due after December 31, 2024"  MORE >>

"The GCPCA attests to a health plan's (or insurer's) compliance with the prohibition against 'gag clauses' in any agreements with providers, provider networks, or entities offering provider network access -- including downstream agreements entered into by plan service providers.... An attestation of compliance with the gag clause prohibition must be made by December 31 each calendar year."  MORE >>

"Sponsors will need to amend plan documents implementing the Roth catch-up rule no later than December 31, 2026 ... With respect to safe harbor 401(k) plans, the IRS indicated that a midyear plan amendment implementing this feature does not constitute a prohibited midyear change that would jeopardize safe harbor status."  MORE >>

"[E]mployers that already sponsor a qualified retirement plan ... are not required to enroll employees in New York Secure Choice.... [E]mployers are neither required nor permitted to make employer contributions to an eligible employee's Roth IRA in the New York Secure Choice program.... [An] employer's role is limited to facilitating employee participation in the program."  MORE >>

"On January 1, 2026, parents of newborns receiving inpatient care in a neonatal intensive care unit (NICU) will be eligible for up to 12 weeks of leave while their newborns are in NICU. This leave is in addition to the 12 weeks of parental bonding leave already available under Colorado's FAMLI Act. Colorado is the first state to offer special Neonatal Care Leave."  MORE >>

18 pages, rev. Oct. 30, 2025. "[This document] contains general and program specific testing information for use with ACA Assurance Testing System (AATS).... Software Developers must pass IRS AATS scenarios for the forms and tax year that the software package will support.... Transmitters and Issuers must pass a one-time communication test for the forms they will file."  MORE >>

"The plaintiffs-appellants assert that en banc review should be granted because it 'will [] further ERISA's goals of establishing a uniform regulatory regime over employee benefit plans.' They point out that 'a total of seven other circuits have rejected an exhaustion requirement for fiduciary breach and statutory claims under ERISA' and argue that if the case had of been brought in 'virtually any other circuit, Plaintiffs would have been permitted to proceed on the merits.' " [Bolton v. Inland Fresh Seafood Corp. of Am., Inc., No. 24-10084 (11th Cir. Oct. 15, 2025; pet. for rehearing filed Nov. 5, 2025)]  MORE >>

"87.4 percent of eligible employees contributed to their 401(k) accounts up from 86.9 percent the previous year.... Average employee deferrals were 7.7% of pay (down from 7.8% in 2023), and employer contributions averaged 4.8% (down from 4.9%) for a total savings rate of 12.5% of pay.... 2.7% of participants took a hardship withdrawal in 2024, up from 2.1% in 2023 -- while plan loan usage declined ... 20 percent of plans now offer [Roth employer contributions], up from 13 percent in 2023, with a third of plans considering adding it."  MORE >>