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| February 27, 2009 |
| Here are the Web's best new links about compliance and cost aspects of plan operation, design and policy. |
Today's sponsor is SunGard
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| EFAST2 – Are you ready to electronically file 5500 forms? |
| Form 5500 must be electronically filed, beginning January 2010. Modifying your existing procedures and routines and helping your clients understand how to collaborate with you electronically are essential to meet the new requirements of the EFAST2 system. SunGard’s Relius Government Forms 5500 Web Client provides you and your clients an efficient and easy way to gather all necessary information and electronically file 5500 forms and schedules. Contact John Latson at 800-326-7235, ext. 1100. |
[Guidance Overview]
IRS's Final Regs on Automatic Contribution Arrangements
Excerpt: "The Service on Tuesday issued final regulations on automatic contribution arrangements for 401(k) and other eligible plans. The regulations (TD 9447) adopt with modifications the 2007 proposed regulations (REG-133300-07) providing guidance on implementing provisions of the Pension Protection Act of 2006 and the Worker, Retiree, and Employer Recovery Act of 2008." (Journal of Accountancy)
[Guidance Overview]
Employer Brief in AT&T v. Hulteen Filed: Pregnancy Leave and Service Credit toward Pension Benefits
Excerpt: "The Hulteen case involves whether employees who took pregnancy leave before the Pregnancy Discrimination Act made clear that discrimination on the basis of pregnancy was discrimination on the basis of sex should be given the same service credit towards retirement benefits as those who took other temporary disability leave." (Workplace Prof Blog)
Proposals in President's Budget Aim to Boost Retirement Savings
Excerpt: "President Barack Obama's budget blueprint released on Thursday includes proposals for an automatic IRA plan for workers and an expansion of the Saver's Credit. According to a press release from The Retirement Security Project, the Automatic IRA proposal would pursue universal retirement savings coverage by allowing employees not covered by qualified retirement plans to save for retirement through automatic payroll deposit IRAs. The Automatic IRA proposal was introduced in the 110th Congress as the 'Automatic IRA Act of 2007.'" (PLANSPONSOR.com; free registration required)
Text of Obama Budget Outline Description of Retirement Savings Initiatives (PDF)
Pages 84-85. (U.S. Office of Management and Budget via American Benefits Council)
Obama Seeks 'Automatic Pensions'
Excerpt: "President Barack Obama called for establishing automatic workplace pensions . . . as part of his spending plan for the U.S. Labor Department next fiscal year. Obama is proposing a 4.7 percent increase in the Labor Department's budget to $13.3 billion for the fiscal year beginning Oct. 1. That's an increase from an estimated $12.7 billion in the current fiscal year and $11.8 billion in 2008, according to a budget outline submitted to Congress today. The budget 'lays the groundwork for future establishment of a system of automatic workplace pensions, to operate alongside Social Security, that is expected to dramatically increase' retirement and personal savings, Obama's Office of Management and Budget said in its outline, without giving details on the costs." (Bloomberg L.P.)
Hearing: The Challenges Small Businesses Face Funding and Maintaining Retirement Plans in a Struggling Economy
Witnesses giving testimony at the February 25, 2009, hearing were: Stephen Dobrow, Primark Benefits, On Behalf of American Society of Pension Professionals & Actuaries (ASPPA); Jason Speer, Quality Float Works, Inc., On Behalf of the US Chamber of Commerce; Andrew Keeler, Everhart Financial Group, On Behalf of the Financial Planning Association (FPA); Catherine Collinson, Transamerica Center for Retirement Studies; Edward Ferrigno, Profit Sharing / 401(k) Council of America. (U.S. House of Representatives Committee on Small Business)
Public Retiree's Investment Act of 2009
Excerpt: "U.S. Representative Gary Ackerman (D-NY), Senior Member of the House Financial Services Committee, has introduced H.R. 710, the 'Public Retiree's Investment Act of 2009.' The legislation would provide a vehicle for billions of dollars in private capital to be injected into banks and financial institutions, mitigating the need for additional taxpayer bailouts of the financial sector, while simultaneously guaranteeing public pension funds a steady rate of return. The measure, introduced to curtail the ongoing economic meltdown and lack of credit market liquidity, would allow public employee pension plans throughout the nation that choose to invest in banks and financial institutions to earn a guaranteed rate of interest (8.5% per year) fully backed by the United States Treasury." (Cypen & Cypen)
Downturn May Limit Lump-Sum Pension Payments
Excerpt: "The ongoing chaos in the financial markets has created a new set of issues for HR executives at companies with defined-benefit plans. Many employers are discovering that they may be restricted in their ability to provide lump-sum payments to retiring employees. [Published January 19, 2009.]" (Workforce Management; free registration required)
A Company Match Boosts Workplace Savings Plans, According to Study
Excerpt: "Fidelity Investments, the Boston mutual funds giant that is a large provider of workplace retirement savings plans, said that the existence of a company match is a key component in driving participation rates in workplace savings plans. Immediate vesting can also result in double-digit increases in participation in these plans, Fidelity said its new research shows. The research was conducted to determine the plan design components that have the greatest influence on retirement plan participation, Fidelity said." (The Boston Globe)
[Opinion]
Automatic IRAs: Extending Retirement Saving Opportunities to 75 Million More American Workers (PDF)
2 pages. Excerpt: "This policy fact sheet describes the steps that employers can take to facilitate employee saving for the nearly 1 out of every 2 workers -- 75 million working Americans -- who have no employer plan and thus no effective way to save at work. This fact, a steadily declining saving rate since the 1980s, and the expectation that social security will not provide increased benefits, exacerbate the problem of inadequate retirement saving. Research and experience both point to a simple and effective solution: the Automatic IRA." (Georgetown University via The Retirement Security Project)
[Opinion]
PSCA Testimony on February 25, 2009, Before The House Committee on Small Business (PDF)
8 pages. Hearing titled: The Drop In Retirement Savings: The Challenges Small Businesses Face Funding And Maintaining Retirement Plans In A Struggling Economy (Profit Sharing/401k Council of America)
[Opinion]
Groom Law Group Comments on Possible Changes to Administrative Procedures and Rules for IRAs (PDF)
10 pages. Excerpt: "On behalf of a group of financial institutions which offer products and services to individual retirement accounts and annuities, Groom Law Group submitted the [target] letter to the IRS requesting that the Service consider several areas in which the administrative procedures and rules for IRAs for tax purposes, which have not significantly changed in many years, could be improved or supplemented." (Groom Law Group)
[Opinion]
The 401(k) Skimming Scam
Excerpt: "The real problem with 401(k) plans has nothing to do with the current market meltdown. These plans are set up to benefit employers and the mutual fund industry. They profit in every kind of market. It's employees who are the losers." (Daily Finance)
[Opinion]
Notes on Hecker v. Deere
Excerpt: "Perhaps most notable, from an overview perspective, is the fact that the Seventh Circuit simultaneously gave the scope of protection granted to fiduciaries by Section 404(c) pretty much as broad an interpretation as possible, and the scope of fiduciary obligations with regard to investment selection and fee disclosure as narrow a one as possible. Its an interesting double whammy." (Stephen Rosenberg of The McCormack Firm, LLC)
University Conference Services (Sponsor)
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| Navigating Uncharted Waters in Retirement Plan Management |
| An economic storm of epic proportions, steep asset declines, tough decisions on matching contributions and heightened potential for fiduciary liability have many plan sponsors feeling as if they are lost at sea. The Boston Mid-Sized Retirement & Pension Plan Management Conference, May 5–8, 2009, brings together an impressive array of plan management experts who delve into the momentous challenges you face and explore solutions for guiding your plan to calmer waters. |
Newly Posted Events
2009 SouthWest Benefits Association Internal Revenue Service Plan Administration Skills Workshops
in Texas on March 6, 2009
presented by SouthWest Benefits Association
COBRA Provisions of the American Recovery and Reinvestment Act
in Minnesota on March 26, 2009
presented by Employers Association, Inc.
Compensation Issues for Tax-Exempt Organizations
Nationwide on March 24, 2009
presented by ABA Joint Committee on Employee Benefits
Ct Chapter of NIPA-Quarterly Pension Seminar
in Connecticut on March 25, 2009
presented by National Institute of Pension Administrators-CT Chapter
The New COBRA Premium Assistance Law: What You Need to Do to Comply Now
Nationwide on February 24, 2009
presented by EBIA / Thomson Reuters
Wellness Statistics and Strategies
in Minnesota on March 17, 2009
presented by Employers Association, Inc.
Newly Posted or Renewed Job Openings
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DC / 401(k) Compliance Consultant
for The Savitz Organization
in DE, NJ, PA
Manager Fund Accounting (TPA/Insurance)
for Zenith Administrators - National Operations (any Zenith location)
in IL
Pension Administrator
for Dorfman & Associates
in NY
EmployeeBenefitsJobs.com (Sponsor)
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| EmployeeBenefitsJobs.com is where the best employers find the best candidates! |
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- Using the Web for Employee Benefits Research (hypertext article)
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