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| June 21, 2007 |
Sponsored by: ASPPA and WP&BC
(Click on company name or banner to learn more.)
| The Western Benefits Conference - July 22-25, 2007 |
| Benefits by the Bay, the best of two in one! Jointly sponsored by WP&BC and ASPPA, this conference has been designed with all retirement professionals in mind. Seven industry specific targeted learning tracks, the latest market trends, compliance issues and networking opportunities await. Get early bird registration discounts and learn more at www.asppa.org/wbc or www.westernpension.org |
IRS Expands Project to Ensure Eligible Public School Employees Are Allowed to Participate in Retirement Annuities (Internal Revenue Service)
(From DOL) 401(k) Plans for Small Businesses - A Guide with Hyperlinks
Excerpt: "This booklet highlights some of a 401(k) plan's advantages, some of your options and responsibilities as an employer operating a 401(k), and the differences among the types of 401(k) plans. For more information, a list of resources for you and for prospective 401(k) participants is included at the end of this booklet." (U.S. Department of Labor)
EBSA to Hold Participant Advice Computer Model Public Hearing
Excerpt: "The U.S. Department of Labor's Employee Benefits Security Administration (EBSA) will hold a public hearing on July 31 to assess the feasibility of using computer models to provide advice to participants with individual retirement accounts (IRAs) and similar plans." (PLANSPONSOR.com; free registration required)
Automatic Enrollment May Soon be Standard Feature of 401(k) Plans
Excerpt: "Automatic enrollment continues to gain popularity in 401(k) plans and may soon be the norm, according to results of a survey by the Employee Benefit Research Institute (EBRI) and Mercer Human Resource Consulting." (PLANSPONSOR.com; free registration required)
Pension Relief for Airlines Faulted by Some Legislators
Excerpt: "A pension measure tucked into last month's Iraq war spending bill is causing some leading members of Congress to complain that American Airlines got a break worth almost $2 billion without proper scrutiny." (The New York Times; free registration required)
Overview: PBGC Proposed Regulations on Variable Rate Premiums Under PPA (PDF)
4 pages. Excerpt: "The Pension Benefit Guaranty Corporation (PBGC) has issued proposed regulations that would implement changes made by the Pension Protection Act of 2006 on the determination of variable rate premiums for plan years beginning on or after January 1, 2008. Among other things, the proposed regulations designate premium due dates by three plan sizes and clarify the meaning of vested benefits for premium purposes." (Buck Consultants)
Judge Rules in Favor of Retirees in Oregon Public Employees Retirement System Benefits Dispute
Excerpt: "Retired Oregon public employees won a lower court ruling [yesterday] that bars the state pension fund from trying to retroactively reduce their retirement benefits." (StatesmanJournal.com)
Purchase of Company Assets at Low Price no Fiduciary Breach to ESOP
Excerpt: "The U.S. District Court for the Southern District of Alabama has found that participants of an employee stock ownership plan (ESOP) did not prove a fiduciary breach against the ESOP by a firm that purchased assets of their company at a low price as part of a merger agreement and then sold the assets for a large profit." (PLANSPONSOR.com; free registration required)
Thrift Savings Plan Board Approves Auto Enrollment and Default Option
Excerpt: "The federal Thrift Savings Plan (TSP) board has voted to ask Congress to approve the adoption of an automatic enrollment plan feature. According to a FederalTimes.com news report, the proposal calls for new or rehired civilian and military employees to be automatically enrolled in the plan with a 3% deferral rate." (PLANSPONSOR.com; free registration required)
New Studies on Teacher Retirement Plans Now Available
Excerpt: "The National Education Association (NEA) 2006 survey, 'Characteristics of Large Public Education Pension Plans,' is now available. Another report, this one a working paper by the National Center for the Analysis of Longitudinal Data in Education Research (CALDER), examines how teacher pension rules affect behavior, mobility, and retirement." (National Council on Teacher Retirement)
Survey: Characteristics of Large Public Education Pension Plans (PDF)
172 pages. Excerpt: "The 2006 edition builds on past studies by updating information in the areas of plan membership, assets, plan governance, plan design, Social Security coverage, retirement eligibility, vesting, purchase of service credit, cost-of-living adjustments, state taxation of benefits, employee and employer contribution rates, benefit formulas and limitations, actuarial methods, funding, and board membership." (National Education Association)
Teacher Pensions and Retirement Behavior: How Teacher Pension Rules Affect Mobility and Retirement (PDF)
19 pages. Excerpt: "In order to better understand patterns of retirement and workforce withdrawal induced by these retiree benefit systems, a large longitudinal dataset for mid-career Missouri public school teachers has been constructed, showing that the incentives in the retirement system affect the timing of retirement. In addition, 'retirement' and workforce withdrawal are not necessarily the same thing: many educators continue to teach in public schools even after formally retiring." (National Center for the Analysis of Longitudinal Data in Education Research (CALDER))
Taiwan's New Law Offers Pension Funds More Investment Choices
Excerpt: "Under a new law, pension fund managers can invest in stocks, bonds and derivatives. Until now, such funds could only be invested in bank deposits because there was no supervisory body to monitor the investments." (Watson Wyatt Worldwide)
Employers Can Help Workers Set Up Retirement Plan
Excerpt: "A SIMPLE allows you to set up an IRA (a SIMPLE-IRA) for yourself and each of your eligible employees as long as you have less than 100 employees. Employees can elect to make pre-tax contributions of 100 percent of their pay up to $10,500 in 2007 ($13,000 if age 50 or older)." (Dayton Courier)
Speech: Pension Rights Center at IRS/ASPPA Mid-Atlantic Benefits Conference, May 9, 2006 (PDF)
12 pages. Excerpt: "Given the recent developments in the pension system and the focus on these issues nationally, I think this is a great time to take stock of where we are and ask the big questions about the state of the retirement income system in this country, both today and for the future." (Pension Rights Center)
Projections of Economic Well-Being for Social Security Beneficiaries in 2022 and 2062 (PDF)
Excerpt: "[T]his article projects the retiree populations aged 62 or older in 2022 and 2062 using the Social Security Administration's MINT (Modeling Income in the Near Term) model and assesses their well-being. Because no one measure can fully capture whether future retirees will have adequate resources to meet their needs, we employ several indicators to assess retirement prospects." (U.S. Social Security Administration)
Fees and Expenses of Mutual Funds, 2006 (PDF)
8 pages. Excerpt: "The average fees and expenses that investors paid on mutual funds fell in 2006 to their lowest levels in more than 25 years . . . ." (Investment Company Institute)
Sponsored by: AllianceBernstein Institutional Investments
(Click on company name or banner to learn more.)
| June 27th Conference Call; 401k Class Action Litigation Update |
| AllianceBernstein invites you to a conference call discussing developments in the ongoing 401k fee class action lawsuits, as well as the likely impact of evolving fiduciary duty standards on defined contribution plan sponsors. The call will be hosted by General Counsel Laurence Cranch, Senior ERISA Counsel Daniel Notto, and Sean Murphy, a partner in the Securities Litigation Group at Milbank Tweed Hadley & McCloy LLP. Click on the banner above to view detailed dial-in information. |
| (Please visit our sponsors. We try to make sure their products and services will be of interest to you. Thanks! --Editor) |
Links to Items on Executive Comp, Benefits in General
Washington Budget Experts Traveling the Country to Raise an Alarm About Nation's Financial Prospects
Excerpt: "The problem is the skyrocketing cost of government health-care and retirement benefits. By most estimates, they will break the national bank as the baby boom generation retires." (The Washington Post; free registration required)
Overview: Retired Public Safety Officers May Pay for Health Coverage with Retirement Benefits
Excerpt: "In a May 15, 2007 letter to the Ranking Member of the House Committee on Ways & Means, the Department of the Treasury signaled its intention to expand the ability of retired public safety officers to use their benefits from governmental retirement plans to help them pay for health coverage." (The Segal Group, Inc.)
Home Depot to Give Assistant Managers Stock Grants
Excerpt: "Home improvement retailer Home Depot Inc. . . . [yesterday] said it would give stock grants to its 10,000 assistant store managers as it tries to improve employee performance and customers' shopping experience." (Reuters via The New York Times; free registration required)
Overview: Proposed IRS Regulations on Entertainment Use of Business Aircraft (PDF)
3 pages. Excerpt: "The IRS recently issued proposed regulations under Code section 274(e)(2) (and 274(e)(9)) on deducting entertainment use of an employer's aircraft by specified individuals -- officers, directors, more than 10% owners and their family members. 72 Fed. Reg. 33169 (June 15, 2007). We summarize the IRS proposal . . . and highlight a number of issues." (Groom Law Group)
Newly Posted Events
Evolving Fiduciary Responsibilities, along with a 401K Class Action Litigation Update - Webcast
Nationwide on June 27, 2007
presented by AllianceBernstein
Off Target? An In-Depth Look at Target-Date Investing - Webcast
Nationwide on June 21, 2007
presented by Boston University School of Management
Newly Posted Press Releases
Many Companies Weighing Options for Retiree Medical Benefits, Watson Wyatt Finds
Watson Wyatt
Major Employers Increase Health and Disease Management Programs for Employees
ERIC (ERISA Industry Committee)
White Paper Released on Financial Advisor Best Practices: Current Trends in Retirement Advisors & Client Relationship Management (CRM) Systems
McHenry Group, The
Food and Commercial Workers Urge New Jersey Senate to Pass Paid Leave Bill
United Food and Commercial Workers (UFCW)
JPMorgan Chase and McKesson Form Strategic Relationship to Transform and Simplify Healthcare Claim and Payment Processing
JPMorgan Chase & Co.
IHC Launches 'Healthy Advantage' -- An Innovative, Self-Funded Product for Small to Mid-Size Employers in Mid-Atlantic States
Independence Holding Company
Newly Posted or Renewed Job Openings
(Post a Job | View All Jobs)
Defined Contribution Plan Administrator
for Pension Plan Professionals, Inc.
in FL
Compliance and Administration Consultant
for Towers Perrin
in MA
Governance and Compliance Advisory Associate
for Towers Perrin
in MA
Marketing Manager
for Advanced Benefits Consulting
in MO
Benefits Manager
for Insurance Programs
in FL
Governance and Compliance Advisory Associate
for Towers Perrin
in DC
Governance and Compliance Advisory Associate
for Towers Perrin
in PA
Installation Administrator
for Transamerica Retirement Services
in CA
Account Manager - Retirement Plans
for Standard Insurance Company
in CA
Handy Links:
- View Today's Active Message Threads
- Using the Web for Employee Benefits Research (hypertext article)
- Employee Benefits Library
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