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September 20, 2001 - 12,361 subscribers
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ASPA: Extension of September 15 Minimum Funding Contribution Might Occur, But Contribute if You Can
Excerpt: "[T]he current IRS guidance does not apply to minimum funding obligations under IRC section 412. According to IRS, they did not have any legal authority to allow any extension for minimum funding. Consequently, in theory, calendar year plans would still be subject to the September 15 deadline that just passed. ASPA's Government Affairs Committee has been working with Congress to give IRS the authority to extend this deadline." (ASPA)
PBGC To Provide Relief For Those Affected By Recent Terrorist Attacks
Press release. Excerpt: "The PBGC is now working out the details of its relief package, which will include extension of deadlines and waiver of penalties. The package will be coordinated with similar relief measures being taken by other federal agencies. Specific measures will be announced as soon as possible. In the interim, pension practitioners and others with questions about particular PBGC requirements should contact the agency's Problem Resolution Officer at (202) 326-4136." (Pension Benefit Guaranty Corporation)
IBM Cash Balance Pension Lawsuit Gets Class Action Status
Excerpt: "It means that if and when the case is tried, the results would affect all individuals who have been in the IBM Personal Pension Plan any time after Dec. 31, 1994. Plaintiffs seek to force IBM to amend the plan to remedy alleged illegalities, chiefly that the revised plans failed to provide as large a pension benefit as required." (The Poughkeepsie [N.Y.] Journal)
Market Reopening Shows High Transfer Activity by 401(k) Participants
Participants in IRC Sec. 401(k) plans reacted to September 17th's market reopening with high investment transfer activity, moving their assets from large U.S. equity into the most conservative asset class available to them, reports Hewitt Associates. The Hewitt 401(k) Index tracks the daily transfer rates of nearly 1.5 million U.S. employees with $71 billion collectively in assets. (Spencernet)
President Selects New Members of PBGC Advisory Committee, Names Chairman
Excerpt: "President Bush has selected Matthew K. Fong of Hacienda Heights, Calif., Barry D. Wynn of Spartanburg, S.C. and Betsy S. Atkins of Coral Gables, Fla. for appointment to the Advisory Committee of the Pension Benefit Guaranty Corporation (PBGC). The President designated Mr. Fong as Chairman of the panel." (Pension Benefit Guaranty Corporation)
Analysis: Qualified Plan Guidance for EGTRRA
Excerpt: "IRS Notice 2001-56 gives specific guidance on the application of the $200,000 limit on compensation, the determination of the top-heavy status of a plan and the reduction to 6-months of the suspension on employee contributions following a hardship distribution. IRS Notice 2001-57 provides sample 'good faith' amendments ..." (Kilpatrick Stockton LLP)
Opinion: the Lock Box and Other Delusions
Excerpt: "Another widespread misconception is that the Social Security surplus can somehow be secluded in a 'lock box' by using it to pay off government debt. Lower debt, so the argument goes, means lower future interest payments. Wrong.... [P]ast Social Security surpluses have been spent, not used for debt retirement. And future surpluses will soon disappear." (Cato Institute)
Analysis: Reimbursing the Employer for Plan Expenses
5 pages. Excerpt: "When a company absorbs most (if not all) of the expenses relating to the administration of an employee benefit plan, it may decide the plan needs to cover the expense of administration itself. If services are provided by third parties, this is a fairly straightforward matter. But, if the employer has provided services to the plan without reimbursement, and now decides to reimburse the cost of those services from the plan, the process is more complex." (Andersen)
Overview: Military Leave and Reemployment Rights
4 pages, September 19, 2001. Excerpt: "This Alert discusses the employment and benefit rights of reservists who are called to active duty. These rights are governed by the Uniformed Services Employment and Reemployment Rights Act (USERRA), which applies to virtually all employers, regardless of size ... Although USERRA was enacted on October 13, 1994, DOL has not published USERRA regulations. Instead, its Veterans' Employment and Training Service has posted informal guidance on the Web." (Aon Consulting)
Private Sector Employee Benefits Issues in the Wake of the September 11 Tragedies (PDF)
Excerpt: "Disaster recovery plans and participant outreach activities are well underway. We hope the following checklists of benefit administration issues that may come to the fore in a time of crisis will be useful for plan sponsors throughout the country, although many of the items are likely to be most relevant for employers directly affected by the attacks, such as those with operations in the New York metropolitan area." (The Segal Company)
Public Sector Plan Issues in the Wake of the September 11 Tragedies (PDF)
Excerpt: "Disaster recovery plans and participant outreach activities are well underway for many plans. We hope the following checklists of administrative issues that may come to the fore in a time of crisis will be useful for plans throughout the country, although many of the items are likely to be most relevant for funds directly affected by the attacks, such as those with operations in metropolitan New York." (The Segal Company)
Multiemployer Issues in the Wake of the September 11 Tragedies (PDF)
Excerpt: "Disaster recovery plans and participant outreach activities are well underway for many plans. We hope the following checklists of administrative issues that may come to the fore in a time of crisis will be useful for plans throughout the country, although many of the items are likely to be most relevant for funds directly affected by the attacks, such as those with operations in metropolitan New York." (The Segal Company)
Refresher on Special Rules for Military Reservists
Excerpt: "In light of the active duty call-up of military reservists under Operation Noble Eagle, this Legal Alert briefly summarizes the application of certain special rules to an employer's group health plans and its qualified retirement plans." (Kilpatrick Stockton LLP)
PWBA Announces Form 5500 Extensions
The U.S. Department of Labor's Pension and Welfare Benefits Administration has announced an extension of the deadline for filing Form 5500s and Form 5500-EZs, and has issued general guidance on ERISA compliance regarding employee benefit plans affected by the September 11 terrorist attacks. (Spencernet)
Newly Posted or Renewed Job Openings (Post Yours!)
| Trust Analyst | for Paragon Consulting Group in CA |
| Taft-Hartley Benefit Funds Administrator (CORRECTED) | for A family of Taft-Hartley benefit funds in the Washington DC area (CORRECTED) in DC |
| 401(K) Plan Administrator | for Sample & Bailey, CPAs, P.C. in CO |
| Compliance Testing Analyst | for ADP in NJ |
| Conversion Analyst | for ADP in NJ |
| Client Service Representative - Series 6 License Required! | for ADP in NJ |
| Compensation Consultant | for Monarch Personnel in TX |
| Implementation Specialist | for Mellon Financial Services in NJ, NY |
| Benefits Consultant | for Johnson & Johnson in NJ, NY, PA |
| Pension Consultant | for Mid-atlantic Pension and Profit Sharing Consulting Firm in MD |
| Pension Representative | for Third-Party Administrator in WA |
Newly Posted Conferences (Post Yours!)
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Fargo | in ND on December 4, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Columbus | in OH on December 4, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - San Antonio | in TX on December 4, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Raleigh | in NC on December 4, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Nashville | in TN on December 4, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Charlotte | in NC on December 11, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Sioux Falls | in SD on December 11, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Cleveland | in OH on December 11, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Knoxville | in TN on December 11, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Charleston | in SC on December 18, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Pittsburgh | in PA on December 18, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Austin | in TX on December 18, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Cincinnati | in OH on December 18, 2001 presented by A.E. Roberts Company |
| FMLA; Coordinating FMLA, ADA, and Workers' Comp; COBRA; HIPAA; and Section 125 - Memphis | in TN on December 18, 2001 presented by A.E. Roberts Company |
Newly Posted Press Releases
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Copyright 2001 BenefitsLink.com, Inc., but you may freely distribute this email newsletter in whole. This newsletter is edited by David Rhett Baker, J.D.
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