News Archive

"By taking an integrated approach to managing health and retirement programs, employers can unlock meaningful tax efficiencies across health savings accounts (HSAs), flexible spending accounts (FSAs), transportation benefits, and retirement plans like 401(k)s and 403(b)s. The real driver of these savings? Increasing employee participation in tax-advantaged plans."  MORE >>

"Individual plan participants entangled in 401(k) excessive-fee and investment-underperformance lawsuits had a median recovery of just $67.79 in 2025, even as law firms representing plaintiffs averaged $1.59 million per case in fees ... While supporters of such complaints argue that litigation (and the threat of litigation) deter misconduct and force better plan practices, critics say the figures show workers gain little, while employers face mounting costs that ultimately shrink retirement benefits and plan services."  MORE >>

"Plan sponsors rely on providers because they cannot realistically master this level of detail themselves.... Providers who want to avoid being swept into the catch-up mess should focus less on marketing readiness and more on structural honesty. First, stop oversimplifying.... Second, document limitations clearly.... Third, help sponsors build internal processes.... Finally, resist the urge to promise protection."  MORE >>

"That estimate is contained in [Fidelity's] 2026 State of Student Debt study, which shows that, under Fidelity’s student debt repayment program, participants receive an average of $1,900 in employer contributions based on their student loan payments. ... [T]he average student loan borrower takes more than 10 years to repay their loans – if that individual received an employer contribution through the program for 10 years, that $1,900 annual contribution could grow to nearly $200,000 at retirement age."  MORE >>

"[T]he Home Savings Act [HR 7185] ... would amend the Internal Revenue Code of 1986 to permit penalty-free withdrawals for up to five years when used for down payments or closing costs on a primary residence."  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 >>

"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 >>

"Thinking about leaving your job? Make sure you understand the vesting schedule that applies to your retirement plan. It may pay to stick it out a little longer to become more 'vested' in your plan. Otherwise, you may lose out on valuable benefits."  MORE >>

"According to the 2023 PRRL data, 2 percent of all contributing participants made catch-up contributions, which represents 5 percent of all eligible participants. Among those participants, 24 percent earned more than $150,000. Although this group represents a small portion of all contributing participants, half of the plans received catch-up contributions from those earning over $150,000."  MORE >>

"The rumored Trump Administration proposal to permit savers to invest a portion of their 401(k) retirement accounts in their personal residences took a hit from the president himself on Thursday. In a press scrum aboard Air Force One ... the President said he's 'not a huge fan of it.' "  MORE >>

"SECURE 2.0 expanded the small employer retirement plan startup costs credit.... SECURE 2.0 added ... the employer contribution credit, for certain employer contributions ... An eligible employer may claim a $500 auto-enrollment credit for the first taxable year in which it includes an eligible automatic contribution arrangement (EACA) in a qualified employer plan ... Military spouse participation credit."  MORE >>

"The flexibility to use either the W-2 correction method or the in-plan Roth rollover correction method is helpful, but both approaches present challenges.... The safe harbor for BRF nondiscrimination requirements may help mitigate some administrative complexities.... [O]perational challenges will require careful planning and close coordination among payroll, recordkeeping, and plan administration teams."  MORE >>

10 pages. "This article provides a detailed discussion of the final regulations ... regarding the catch-up contributions for people ages 60-63 and those catch-up provisions related to Roth amounts.... While the Age 60-63 increased catch-up limit appears relatively easy to navigate, it is clear that Congress's activities in relation to Roth catch-up contributions has created quite the hornet's nest of issues."  MORE >>

"President Donald Trump will announce affordability reforms, which will include permitting retirement plan investors to take penalty-free distributions for a down payment on a home ... Retirement savers are currently permitted to spend up to $10,000 from an IRA for a down payment on a home without a tax penalty, though they would owe ordinary income tax if applicable. Savers can also take a loan from their 401(k) to pay for a home. Permitting such distributions would likely require new legislation."  MORE >>

"Just as annual limit increases prompt plan checkups and fresh strategy conversations, SECURE 2.0's mid-year SIMPLE IRA 'off-ramp' gives advisors a timely way to help growing employers pivot into a more robust retirement plan without waiting for the next calendar year. Thanks to SECURE 2.0, employers can now replace a SIMPLE IRA mid-year with a safe harbor 401(k)."  MORE >>

"Long-term, Part-time employees became eligible for the first time in 2024 for for-profit corporations and in 2025 for nonprofit corporations.... [A]uditors will request backup for LTPT employee identification, eligibility, and their effective opportunity to defer during next year's audits. This blog will explain the rules and the best practices for employers challenged by the proper administration of LTPT employee eligibility."  MORE >>

"This notice provides two safe harbor explanations that plan administrators may use ... to provide certain information to recipients of eligible rollover distributions. One safe harbor explanation is for distributions that are not from a designated Roth account, and the other safe harbor explanation is for distributions from a designated Roth account. These safe harbor explanations modify the two safe harbor explanations provided in Notice 2020-62 ... [to] take into consideration certain legislative changes made by [SECURE 2.0] and implement a recommendation from the U.S. Government Accountability Office (GAO)."  MORE >>

"Advisors should work with plan sponsors to determine how the increased limits may impact plan administration. For traditional 401(k) plans, your clients may need to consider whether the increased deferral limits could impact nondiscrimination testing results. Sponsors who offer safe-harbor, matching, and profit-sharing contributions should monitor matching formulas and safe-harbor contributions to determine whether adjustments are necessary."  MORE >>

"[T]he effects of economic volatility on 401(k) values extend well beyond retirees. Because these accounts serve a dual purpose -- funding both retirement and, at times, current spending -- workers who are years away from retirement also feel the impact. This Article examines the ... consequences of economic volatility ... on 401(k) plan participants, including the ways in which inflation and recessionary pressures may drive pre-retirement withdrawals."  MORE >>

"38% of employees say they've tapped their retirement funds -- and a third (33%) plan to do so within the next year.... Addressing these issues requires more than simply offering a retirement plan; it calls for a holistic approach to benefits.... [1] Help employees maximize existing benefits ... [2] Introduce emergency savings accounts ... [3] Make financial advice more accessible ... [4] Keep conversations open."  MORE >>

"This article walks through the amendment process employers should expect in 2026 to help clarify what decisions matter, which ones don’t, and when action is required."  MORE >>

"[Continental Army] Commander: We're fighting for freedom. And part of that freedom ... is the freedom to retire with dignity. So we're going to start accounts called 401(k)s. Soldier 1: What's a 401(k)?"  MORE >>

"[1] Speak in plain language ... [2] Focus on financial wellness ... [3] Make enrollment simple ... [4] Personalize education and support ... [5] Use technology to connect ... [6] Provide educational resources."  MORE >>

"PSCA asked about the student loan match ... in Jan. 2025.... 2.6% answered that they had implemented the feature or definitely would, and 74.7% responded that they will not be adding the feature at all. ... [R]espondents answered that they didn't want to deal with the admin, they didn't have a match, or they didn't have a sizeable employee population with student loans."  MORE >>

"51% have either stopped or reduced their retirement savings in the past six months due to the current economic environment. 59% are prioritizing saving for healthcare expenses over other financial goals due to anticipated premium hikes."  MORE >>