| BenefitsLink Retirement Plans Newsletter |   |
January 9, 2007
Sponsored by: International Foundation of Employee Benefit Plans
(Click on company name or banner to learn more.)
Overview: PPA Impacts Governmental Employers -- May Provide Better Plan Design Features
Excerpt: "Perhaps the most significant of the changes brought about by the PPA are the new permissive service credit rules. The PPA increases the amount and types of service that may be purchased for an additional or increased benefit under a public employer's pension plan." (Ballard Spahr Andrews & Ingersoll, LLP)
| International Foundation Expands Global Benefits and Compensation Educational Offerings |
| Globalization of nearly all industries is heating up, and the International Foundation is ready with more educational opportunities. The popular Certificate in Global Benefits Management program will be offered three times in 2007, covering the East and West coasts, as well as central U.S. The new Certificate in BRIC (Brazil, Russia, India, China) global course zeros in on what it takes to attract, retain and engage employees in countries experiencing exponential growth. Sign up today, as these courses sell out quickly! |
What Moves the National Retirement Risk Index? A Look Back and an Update (PDF)
11 pages. Excerpt: "This brief looks at the three major factors that have caused the Index to increase since the early 1980s. These factors are: 1) a decline in Social Security replacement rates . . . 2) lower pension replacement rates as a result of the shift from defined benefit to defined contribution plans; and 3) lower annuity payments due to the dramatic decline in real interest rates." (Center for Retirement Research at Boston College)
Alaska High Court Turns Down Non-Resident Retiree COLA Appeal
Excerpt: "The Alaska Supreme Court has rebuffed an appeal by former state employees now living outside Alaska who claimed they deserved the same 10% cost-of-living adjustment (COLA) to their retirement benefits payments as in-state retirees receive." (PLANSPONSOR.com; free registration required)
Who Are the 401(k) Industry's Most Influential Individuals in 2007?
The target page consists of a list of the 50 most influential people in the 401(k) industry, according to The 401kWire. (The 401kWire)
EU Takes Sweden to Top Court Over Pension Funds
Excerpt: "The European Commission said [today] it was taking Sweden to the European Court of Justice for discriminating against foreign pension funds to restrict competition in the sector." (Reuters Limited via Business Insurance)
Overview: DOL FAB Regarding Periodic Benefit Statements
Excerpt: "The guidance is issued in the form of eight issues. A summary of the issues is presented [on the target page]." (ERISAdiagnostics, Inc.)
Working Paper Abstract: Notional Defined Contribution Pension Systems in a Stochastic Context
Excerpt: "Recently, a new variety of public pension program known as 'Notional Defined Contribution' or 'Non-financial Defined Contribution' (NDC) has been created, with the objectives of addressing the fiscal instability of traditional plans and mimicking the characteristics of funded DC plans while retaining PAYGO finance." (National Bureau of Economic Research; paid subscription or individual purchase required to retrieve full-text)
Report on IRA Assets, Contributions, and Market Share (PDF)
Pages 8-14 of 16 pages. Excerpt: "IRAs biggest share of private-sector retirement assets: Individual retirement account (IRA) assets surpass those held in either private-sector defined contribution plans (typically, 401(k)-type plans) or defined benefit plans (pensions), and are likely to become the single largest source of retirement assets outside of Social Security for private-sector workers in retirement." (Employee Benefit Research Institute)
The Challenge of Picking One 'Best' Retirement Plan Adviser of the Year
Excerpt: "Over the next several weeks, [the] judges will be tasked with the challenge of picking one Retirement Plan Adviser of the Year and, in a new category, a Retirement Plan Adviser Team of the Year. (PLANSPONSOR.com; free registration required)
Overview: Cash Balance Plans -- Determination Letter Moratorium End and Initial PPA Guidance (PDF)
5 pages. Excerpt: "In Notice 2007-6 (Jan. 16 IRS Bulletin), the IRS announced that it is beginning to process determination letter applications for cash balance plans that have been subject to an IRS moratorium for many years. The Notice also provides some initial transition guidance and solicits comments regarding the new rules applicable to cash balance and other hybrid pension plans enacted as part of the Pension Protection Act of 2006 ('PPA')." (Groom Law Group)
Opinion: Possible Increase in the $97,500 Limit on Personal Income Subject to Social Security Tax
Excerpt: "Eliminating the cap on payroll taxes would constitute the largest tax increase in U.S. history, estimated by the Heritage Foundation during the last Congress at $1.4 trillion over 10 years. This analysis predicted that such a step would cost nearly a million jobs and more than $55 billion in projected personal savings." (Robert D. Novak via The Washington Post; free registration required)
Free Curriculum on Investor Education & Protection May Be Helpful in Workplace Investment Education (PDF)
At p. 4 of 5-page document. Excerpt: "The Investor Protection Trust (IPT) recently released 'The Basics of Saving and Investing: Investor Education 2020,' a curriculum entirely focused on investor education and protection. 'The Basics' guide is geared towards high school teachers; however, its content and language lends itself to all kinds of investor education and protection initiatives including college courses, workplace education, after school programs, seminars for adults . . . ." (Volunteer Leadership via BenefitsLink.com)
Legislation Aims to Get Retirement Savings Started Early
Excerpt: "A U.S. Senator has a solution to the problem of retirement saving procrastination -- [start] at birth. Senator Jeff Sessions (R-Alabama) plans to introduce new legislation that would establish savings accounts at birth for every American - and he'd fund them with a $1,000 contribution from the federal government, beginning in 2008." (PLANSPONSOR.com; free registration required)
Annual Social Security Statistical Supplement, 2006
Excerpt: "[SSA] has begun posting the Annual Statistical Supplement, 2006 . . . . Subsections of the Supplement will be posted in HTML on a flow basis as they become available. Once an entire section is available, the PDF will be added to the Web site and an e-mail notification message will be sent out. Section 6 (OASDI Benefits Awarded, Withheld, and Terminated) is now complete and available in both HTML and PDF . . . ." (U.S. Social Security Administration)
Links to Items on Executive Comp, Benefits in General
Criminal Conviction Upheld for Owner Who Diverted Funds Withheld for 401(k)s and Health Benefits
Excerpt: "EBIA Comment: Although ERISA may not define plan assets, DOL regulations clearly define amounts withheld from employee pay as plan assets. This criminal conviction is a harsh reminder of ERISA's trust and exclusive benefit rules, which generally require that participant contributions be deposited in trust as soon as possible . . . and be used exclusively for plan purposes." (Employee Benefits Institute of America Inc.)
Overview: Compensation Disclosure Rules for 2007 Proxy Season: Changes to Equity Award Reporting (PDF)
2 pages. Excerpt: "The stated purpose of the recent amendments is to more closely conform the dollar amount of equity based compensation reported under the SEC's executive and director compensation disclosure rules to the related expense reflected in the financial statements under FAS 123R." (Powell Goldstein LLP)
Overview: SEC Final Rules Providing Some Companies Additional Time to Comply with Section 404 (PDF)
4 pages. Excerpt: "There are now six separate categories of public companies with different compliance dates, as well as a special dispensation for newly public companies." (Morgan, Lewis & Bockius LLP)
The Survey of Multiemployer Fund Office Administration, Technology and Staffing (PDF)
4 pages. Excerpt: "[The survey] yielded a considerable amount of data about such issues as: Fund office procedures, Performance of fund offices compared to industry norms, State of existing technology, and Organizational structure and staffing levels of fund offices." (The Segal Group, Inc.)
2006 Employee Benefits Legislative and Regulatory Year in Review and the Outlook for 2007 (PDF)
35 pages. Excerpt: "This comprehensive report rounds up the key legislation and regulatory guidance enacted in 2006 and forecasts the outlook for legislative and regulatory activity in 2007." (Hewitt Associates)
Milliman's Monthly Benefit News and Developments, January 2007 (PDF)
2 pages. The newsletter provides a summary of the previous month's legislative, regulatory, and judicial information on employee Benefits. (Milliman)
Opinion: An Alternative to 'Employee' Benefit Plans
Excerpt: "[Scott Macey suggests] a program under which benefit programs are disassociated from employer sponsorship. The plans could be developed and provided by major financial, administrative, insurance and other companies." (Pension & Benefits Blog)
Listing of IRS Published Guidance for January 2006 -- December 2006
The target page links to guidance published by the Service relating to retirement plans: Treasury Regulations; Revenue Rulings; Revenue Procedures; Notices; and, Announcements. (Internal Revenue Service)
Overview: Updated Procedures: Letter Rulings, Determination Letters, & Other Employee Plan Guidance
Excerpt: "EBIA Comment: Employers and their advisors seeking plan-specific guidance from the IRS will need to familiarize themselves with this bulletin. Those new to the process will benefit from practical tools in the bulletin, such as sample formats for letter ruling requests, checklists to ensure that ruling requests are complete, and definitions of basic terms." (Employee Benefits Institute of America Inc.)
Newly Posted Events
"Getting It Right -- Know Your Fiduciary Responsibilities," A Compliance Assistance Seminar
in New Jersey on February 8, 2007
presented by U.S. Department of Labor, Employee Benefits Security Administration (EBSA)
401(k) Testing for the 2006 Plan Year -- What You Need to Know - Webcast
Nationwide on January 23, 2007
presented by ASPPA (American Society of Pension Professionals & Actuaries)
Corporate Executive Healthcare Alliance
in Illinois on June 25, 2007
presented by Q1 Productions
Journey deep into the world of IRAs
in Illinois on January 30, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Wisconsin on January 30, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Illinois on January 31, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Wisconsin on January 31, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Wisconsin on February 1, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Missouri on February 1, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Illinois on February 6, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Indiana on February 6, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Missouri on February 7, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Kentucky on February 7, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Montana on February 7, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Kentucky on February 8, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Minnesota on February 8, 2007
presented by Wolters Kluwer Financial Services
Journey deep into the world of IRAs
in Montana on February 8, 2007
presented by Wolters Kluwer Financial Services
Pandemic Preparedness - What Companies Need To Know
in New York on January 16, 2007
presented by New York Metropolitan Area Chapter - ISCEBS
Newly Posted Press Releases
Ernst & Young LLP Issues 2007 Outlook for U.S. Healthcare Provider Sector
Ernst & Young, LLP
Workscape Teams with WebMD to Provide Online Wellness and Benefits Decision- Support Tools for Employees
Workscape
Study Finds Most Respected U.S. Companies Make Widespread Use of Nonqualified Retirement Plans
The Todd Organization
Newly Posted or Renewed Job Openings
Actuarial Benefit Consultant
for Fidelity Investments
in MA, NC, NY
Plan Administrator
for Third Party Administration Firm
in FL
Regional Service Coord
for Standard Insurance Company
in CA
Client Relationship Manager-Paramus, NJ
for Transamerica Retirement Services
in NJ
Defined Contribution Administrator/Consultant
for Madison Pension Services, Inc.
in NY
Pension Plan Administrator
for The LBA Group - Retirement Planning Services
in FL
Senior Programmer Analyst
for CitiStreet
in NJ
Enrollment Specialist
for CitiStreet
in NJ, TX
Customer Service Representative
for Administrative Systems, Inc.
in CA
Retirement Plan Fiduciary
for Sentinel Fiduciary Services, LLC
in FL
Actuary
for United Actuarial Services, Inc.
in IN
Defined Contribution Consultant/Manager
for Pension Services Company
in NJ
Pension Administrator
for Preferred Pension Planning Corporation
in NJ
Handy Links:
- View Today's Active Message Threads
- Using the Web for Employee Benefits Research (hypertext article)
- Employee Benefits Library
NOTE TO AOL MEMBERS: PLEASE DO NOT REPORT THIS EMAIL AS SPAM. This email is not unsolicited. We do not send unsolicited email. This email is coming to you because you asked to receive it by entering your email address on our web page at
https://benefitslink.com/newsletter/
These emails are sent each workday except federal holidays.
This email has been published by:
BenefitsLink.com, Inc.
1298 Minnesota Avenue, Suite H
Winter Park FL 32789
(407) 644-4146
Fax: (407) 644-2151
David Rhett Baker, J.D., Editor
Copyright 2007 BenefitsLink.com, Inc.; except that you can forward this email in full (including this boilerplate part) or otherwise reprint this email in full (including this boilerplate part) without obtaining our permission.
Anyone can receive these emails; just have them sign up at this web page: https://benefitslink.com/newsletter/
Other useful links: