| BenefitsLink Retirement Plans Newsletter |   |
July 19, 2006
Today's sponsor: Employee Benefits Institute of America Inc. (EBIA)
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Council/ERIC Letter to Conferees on Transition and Funding in Final Pension Reform Bill (PDF)
2 pages. Excerpt: "[The ERISA Industry Committee and the American Benefits Council writes of their concerns on] three critical funding issues for your continuing consideration: transition, at-risk assumptions, and asset smoothing." (American Benefits Council)
NASRA/NCTR Letter of July 14, 2006, to Senators Grassley and Baucus Regarding Their GAO inquiry (PDF)
9 pages. Excerpt: "[T]he National Association of State Retirement Administrators (NASRA) and the National Council on Teacher Retirement (NCTR) [wrote] in reference to [the Senators'] letter dated July 10, 2006, to the Government Accountability Office (GAO) requesting a study of the funding status of public pension plans." (National Association of State Retirement Administrators)
Audio: An AARP 'Prime Time Radio' Interview with Ron Gebhardtsbauer on the PBGC
Excerpt: "In the interview, Gebhardtsbauer offered a primer on the Pension Benefit Guaranty Corp's financial condition and history." (American Academy of Actuaries)
Pension Pointer: Averaging & Smoothing and the Myth of Accuracy (PDF)
4 pages. Excerpt: "This brief examines whether the interest rate and asset values used to determine a plan's funded status should be averaged over time." (American Benefits Council)
Opinion: Pension Crisis-- Another Corporate Swindle
Excerpt: "[Congress] wrote ERISA so broadly that, during the 1980s, top management was able to dip into pension funds and remove the equity set aside for the workers' retirement. This was a bonanza for corporate raiders, speculators and Wall Street conglomerates, which were able to skim millions and billions from pension funds to buy up distressed corporations." (Workers World)
Impact of Pension Benefits Paid by Teacher Retirement System of Texas on Texas Business Activity (PDF)
101 pages. Excerpt: "The study revealed that the payments lead to substantial gains in economic activity in addition to providing for the teachers of the state. This report highlights key findings from [The Perryman Group]'s analysis of the state, regional, and metro area impacts of TRS retirement benefit payments." (The Teacher Retirement System of Texas via National Association of State Retirement Administrators)
Colorado State Pension Officials Say They've Reined in Gifts, Benefits
Excerpt: "Managers of the state's $36 billion pension fund said July 18 they cut back on expensive travel, dinners and gifts after a state audit criticized them for spending thousands of dollars on awards and benefits for themselves and employees." (AP via Aurora Sentinel & Daily Sun Online)
Overview: PBGC Extends Section 4010 Gateway Test Reporting Relief for Certain Plans
Excerpt: "For certain employers maintaining defined benefit plans with large amounts of unfunded benefits, PBGC has extended the reporting relief provided in Technical Update 06-1 . . . for information years ending on or before December 30, 2006. (PBGC Technical Update 06-2)" (RIA News Briefings)
Overview: PBGC Issues Relief for Reporting under ERISA Section 4010
Excerpt: "On July 12, the Pension Benefit Guaranty Corporation (PBGC) issued Technical Update 06-2 extending interest rate relief for reporting under ERISA section 4010 to information years ending on or before December 30, 2006." (Hewitt Associates)
Hewitt Federal Legislation Quick Guide Updated as of July 18, 2006, for Retirement Plans (PDF)
12 pages. This Federal Legislation Quick Guide provides short updates on federal legislation that is currently under active consideration by Congress or has recently been enacted into law regarding retirement plans. (Hewitt Associates)
Opinion: The Itty Bitty Nest Egg Blues -- Financial Forecast Grim for Future Retirees
Excerpt: "By nearly every expert's forecast, half to three-fourths of the next few generations of retirees will live on the edge financially or in desolate poverty. Today's children and most of today's workers almost certainly will pay steeply higher taxes to cover promises to retirees. Taxes will rise while workers are told they need to save more and work into their 70s to avoid the plight." (Teresa Dixon Murray, Newhouse News Service via Star Telegram.com; one-time registration required)
Disaster Relief Relating to PBGC Deadlines in Response to June 21-June 23, 2006, Events in Ohio
Excerpt: "The Pension Benefit Guaranty Corporation is waiving certain penalties and extending certain deadlines in response to the tornadoes, severe storms, straight-line winds, and flooding that occurred June 21 through June 23, 2006, in Ohio. The PBGC is taking this action under its authority in section 4002(i) of ERISA, which was added by the Victims of Terrorism Tax Relief Act of 2001, Pub. L. No. 107-134, 115 Stat. 2427." (Pension Benefit Guaranty Corporation)
Disaster Relief Relating to PBGC Deadlines in Response to Events Beginning June 23 in Pennsylvania
Excerpt: "The Pension Benefit Guaranty Corporation is waiving certain penalties and extending certain deadlines in response to the severe storms, flooding, and mudslides beginning June 23, 2006, in Pennsylvania. The PBGC is taking this action under its authority in section 4002(i) of ERISA, which was added by the Victims of Terrorism Tax Relief Act of 2001, Pub. L. No. 107-134, 115 Stat. 2427." (Pension Benefit Guaranty Corporation)
Disaster Relief Relating to PBGC Deadlines in Response to Severe Storms and Flooding in New York
Excerpt: "The Pension Benefit Guaranty Corporation is waiving certain penalties and extending certain deadlines in response to the severe storms and flooding beginning June 26, 2006, in New York. The PBGC is taking this action under its authority in section 4002(i) of ERISA, which was added by the Victims of Terrorism Tax Relief Act of 2001, Pub. L. No. 107-134, 115 Stat. 2427." (Pension Benefit Guaranty Corporation)
Disaster Relief Relating to PBGC Deadlines in Response to Severe Storms and Flooding in New Jersey
Excerpt: "The Pension Benefit Guaranty Corporation is waiving certain penalties and extending certain deadlines in response to the severe storms and flooding beginning June 23, 2006, in New Jersey. The PBGC is taking this action under its authority in section 4002(i) of ERISA, which was added by the Victims of Terrorism Tax Relief Act of 2001, Pub. L. No. 107-134, 115 Stat. 2427." (Pension Benefit Guaranty Corporation)
Text of the PBGC's 2005 Annual Report (PDF)
56 pages. Excerpt: "At year-end, the PBGC was responsible for the pensions of nearly 1.3 million people. In addition to the 683,000 already receiving benefits, these include 510,000 people who will begin to receive benefits from the PBGC when they retire in the future and 103,000 who are receiving or will receive benefits through the PBGC's financial assistance to multiemployer plans." (Pension Benefit Guaranty Corporation)
Robert Pozen Says Indexing Can fix Social Security
Excerpt: "With the social security system on track to start running a deficit by 2017 and likely to go bankrupt by 2041, Mr. Pozen proposed a 'progressive indexing' formula as the 'fairest way to achieve solvency in social security.'" (InvestmentNews.com)
Links to Items on Executive Comp, Benefits in General
Hewitt Federal Legislation Quick Guide As of July 18, 2006, on Human Resources and Employment Law (PDF)
8 pages. This Federal Legislation Quick Guide provides short updates on federal legislation that is currently under active consideration by Congress or has recently been enacted into law regarding human resources and employment law. (Hewitt Associates)
We thank and invite your attention to our additional sponsor: The Center for Tax Law and Employee Benefits at The John Marshall Law School
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| You Have the Potential. We Have the Programs. |
| Are you working in human resources? Are you dealing with health insurance plans or pension benefits? Learn how you can broaden your experience with an M.S. degree (for non-lawyers) or LL.M. degree (for attorneys) in employee benefits from The John Marshall Law School in Chicago during an information session from 5 to 7 p.m., Wednesday, August 2. Learn how these unique programs can help advance your career. |
| (Please visit our sponsors. We try to make sure their products and services will be of interest to you. Thanks! --Editor) |
Newly Posted Events
Controlled Groups - Basics and Beyond
Nationwide on August 10, 2006
presented by SunGard Corbel
Newly Posted Press Releases
National 401(k) Day Reminds Workers To Take Charge Of Their Future
(Profit Sharing/401(k) Council of America (PSCA))
PBGC Assumes Pension Plan Of Plymouth Rubber Co.
(Pension Benefit Guaranty Corporation (PBGC))
Milliman Survey Foresees Lowest Health Insurance Rate Increase in 7 Years
(Milliman USA)
401kLoans LLC Announces Efficient New 403(b) Loan Origination and Documentation Solution
(Metrics Partners)
NBCH 2006 eValue8(TM) Results Offer Nationwide Analysis of How Health Plans are Helping Consumers Manage their Health
(National Business Coalition on Health)
Newly Posted or Renewed Job Openings
Administration Specialist (Lincoln, NE and Cincinnati, OH)
for Ameritas Life Insurance Co. and Union Central Life Insurance Co.
in NE, OH
Defined Contribution Retirement Plan Administrator
for Loren D. Stark Company, Inc.
in TX
Institutional Client Services Manager
for Bank of America
in NJ
Senior Plan Administrator/Operations Manager
for Compass Pension Partners
in WA
Handy Links:
- View Today's Active Message Threads
- Using the Web for Employee Benefits Research (hypertext article)
- Employee Benefits Library
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