Retirement Plans Newsletter |
|
|
| September 16, 2009 \ Compliance \ Costs \ Administration \ Design \ Policy | ||
SunGard's Relius Education – Educational Resources for Employee Benefits Professionals (Advert.)
Retirement Plan Workshops: October-December, 2009
|
[Guidance Overview]
IRS's Retirement Plan Options for Paid Time Off Plans
Excerpt: "The Rulings examine in depth 6 different scenarios as a means of demonstrating various legal principles dealing with the relationship of PTO plans and 401(k) plans. Between them, the Rulings analyze several different types of PTO plans, including plans which do or do not allow carryover of unused amounts, plans which contribute to an employee's account (or pay the employee in cash) for unused amounts at the end of a year, and plans which contribute unused PTO credits to an employee's account (or pay to the employee in cash) upon employment termination." (SunGard Relius)
[Guidance Overview]
Distressed Employers Facing Skyrocketing Pension Contributions: A Non-Bankrup.tcy Solution
Excerpt: "During these financially difficult times, many employers are finding that the skyrocketing costs of funding their pension plans are threatening their viability and ultimate survival. A little-known provision in ERISA, often referred to as the 'Business Continuation Test,' could provide an employer with a non-bankrup.tcy solution to enable it to continue its business operations unsaddled by those pension obligations. While ending a pension plan may be painful for both the company's management and its current and former employees, if it comes down to a choice between death of the plan or death of the company, the company's survival comes first -- even under federal pension law. [Click on the link under 'Items of Interest' on the target page.]" (Keightley & Ashner LLP)
[Guidance Overview]
IRS's Additional Guidance on Tax Consequences of Rollovers from Employer Plans to Roth IRAs
Excerpt: "EBIA Comment: In addition to providing additional guidance on the tax consequences of rolling over ERDs to Roth IRAs, Notice 2009-75 includes helpful background on rollovers of pre-tax funds to Roth IRAs (known as conversion rollovers). Note also that the IRS has released two updated model rollover notices under Code Section 402(f) -- one of which applies only to ERDs from designated Roth accounts. In addition to other changes, both model notices include the updated rollover and taxation rules for rollovers to a Roth IRA . . . ." (Employee Benefits Institute of America)
[Guidance Overview]
DOL Approval of Use of a Summary Prospectus to Comply With ERISA Section 404(c)
Excerpt: "EBIA Comment: This FAB is welcome news, since it allows plans and their fiduciaries to use a Summary Prospectus -- a short-form document, written in plain English in a clear and concise format -- for purposes of ERISA 404(c) compliance. Any plan participant (or beneficiary) desiring additional information about a mutual fund investment alternative may access the more detailed statutory prospectus via the website address, e-mail, and toll-free number that must be included in a required legend at the beginning or on the cover page of the Summary Prospectus. Providing a Summary Prospectus also allows plans and their fiduciaries to save paper and postage." (Employee Benefits Institute of America)
[Guidance Overview]
IRS's Guidance on Expanding Automatic Enrollment and Contributing Unused Leave Amounts to 401(k) Plans
Excerpt: "EBIA Comment: This new guidance is helpful in a number of ways. First, the IRS anticipates that the pre-approved automatic enrollment language will allow employers to amend their plans to adopt automatic enrollment more quickly -- and without the need for case-by-case approval from the IRS. Also, the new rulings on contributing unused PTO amounts will be of great interest to 401(k) plan sponsors, who will need to carefully consider how to design plan features to fall within the umbrella of this guidance. (For example, careful planning will be needed to ensure that the variable contribution amounts resulting from PTO-based contributions do not cause nondiscrimination testing violations.) Last, employers and administrators will appreciate having the streamlined and updated model rollover notices in hand, given that the prior safe harbor explanation was over seven years old." (Employee Benefits Institute of America)
Hybrid Plan Sponsors Concerned About Lack of Regulatory Guidance
Excerpt: "The Pension Protection Act of 2006 (PPA) established new rules for the operation and administration of hybrid pension plans, but plan sponsors are still waiting for guidance. The lack of final (or in a number of cases even proposed) guidance leaves hybrid sponsors in a difficult position -- required to act without knowing the rules for doing so. Watson Wyatt recently conducted a survey to identify the issues most important to these plan sponsors." (Watson Wyatt Worldwide)
Higher Education Retirement Savers Respond to the Market (PDF)
Excerpt: "Data from a recent survey of 1,002 near-retirees (age 50 to 70) in the higher education sector who are saving for retirement indicates realism among this group as they adjust their savings in response to the financial market meltdown. The survey measured the self-reported attitudes and actions of respondents and did not examine actual investment outcomes or objective measures of retirement preparedness." (TIAA-CREF Institute)
Hard Times Lead to Hardship Withdrawals from 401(k) Plans
Excerpt: "Tapping 401(k) retirement funds to meet expenses is a last resort for many investors, but the relentless economic downturn took its toll this year, as hardship withdrawals saw double-digit increases, according to record keepers. Hardship withdrawals among the 2.8 million participants in 1,500 plans served by Bank of America Merrill Lynch increased 23 percent year to date through August 31 compared with the year-earlier period, said Kevin Crain, managing director of plan participant solutions at Bank of America Merrill Lynch, the institutional retirement, philanthropy and investments business unit at Bank of America. In addition, in-service withdrawals, used by employees who are still at their jobs and contributing to the plans, were up 27 percent through August 31." (Workforce Management; free registration required)
[Opinion]
Plunging Pensions Are Trouble for Taxpayers
Excerpt: "This is the crux of the matter. When pension plans fail, taxpayers are the funders of last resort. The problem is that all kinds of pension plans -- Social Security, state and local pensions, the Pension Benefit Guaranty Corporation -- are all sinking into fiscal insolvency. And, then there is Medicare and Medicaid. What happens if they all go broke?" (Seeking Alpha)
DATAIR Employee Benefit Systems, Inc. (Advert.)
DATAIR 5500 / PBGC / 1099-R / 5300 / FAS 158 Software Pension Reporter System. Easy to use PC based software for EFAST2 electronic filing. Full instructions and expert support. Choose from 4 modules:
|
Links to Items on Executive Comp, Benefits in General
FASB Excludes Pensions from Its Definition of Financial InstrumentsExcerpt: "The Financial Accounting Standards Board (FASB) decided at its August 19, 2009, meeting to exclude pension benefits and other postretirement benefit obligations from changes the FASB is considering to its definition of financial instruments. Specifically, the FASB has excluded 'employers' and plans' obligations for pension benefits; other postretirement benefits, including health care and life insurance benefits, postemployment benefits, and employee stock option and stock purchase plans; and other forms of deferred compensation arrangements as defined in the following . . . ." (Wolters Kluwer)
Employee Ownership Update for September 15, 2009
NCEO Executive Director Corey Rosen discusses a new wide-scale employee ownership program in Pakistan; another court decision stating that an ESOP trustee cannot be indemnified for breaches of fiduciary duty that involve an ESOP if the indemnification comes out of corporate assets; and a new survey showing a sharp increase in restricted stock plans globally. (National Center for Employee Ownership (NCEO))
[Opinion]
Comments on Proposed Amendments to Requirements for Compensation and Corporate Governance Disclosures (PDF)
16 pages. Excerpt: "On July 17, 2009, the Commission published in the Federal Register proposed amendments to its rules regarding compensation and corporate governance disclosures (the 'Proposed Rule').1 This letter sets forth the comments of Frederic W. Cook & Co., Inc. with respect to the proposed amendments. In addition, the Proposed Rule generally requested comments on what other changes in proxy disclosures would improve the disclosure process with respect to executive compensation. This letter also responds to that request." (Frederic W. Cook & Co., Inc.)
Webcasts and Conferences
"EFAST2: The Future of Form 5500" in Bostonin Massachusetts on October 22, 2009
presented by SunGard Relius
"EFAST2: The Future of Form 5500" in Des Moines
in Iowa on October 22, 2009
presented by SunGard Relius
"EFAST2: The Future of Form 5500" in Philadelphia
in Pennsylvania on October 22, 2009
presented by SunGard Relius
"EFAST2: The Future of Form 5500" in Washington, D.C.
in District of Columbia on October 20, 2009
presented by SunGard Relius
"ERISA Workshop" in Boston
in Massachusetts on October 23, 2009
presented by SunGard Relius
"ERISA Workshop" in Des Moines
in Iowa on October 23, 2009
presented by SunGard Relius
"ERISA Workshop" in Philadelphia
in Pennsylvania on October 23, 2009
presented by SunGard Relius
"ERISApalooza"-Full Day Retirement Industry Update with Sal Tripodi, APM
in Massachusetts on September 29, 2009
presented by ASPPA Benefits Council of New England
"Plan Forms, Notices, and Amendments: Streamlined, Effective, Timely" in Boston
in Massachusetts on October 22, 2009
presented by SunGard Relius
"Plan Forms, Notices, and Amendments: Streamlined, Effective, Timely" in Des Moines
in Iowa on October 22, 2009
presented by SunGard Relius
"Plan Forms, Notices, and Amendments: Streamlined, Effective, Timely" in Philadelphia
in Pennsylvania on October 22, 2009
presented by SunGard Relius
"Plan Forms, Notices, and Amendments: Streamlined, Effective, Timely" in Washington, D.C.
in District of Columbia on October 20, 2009
presented by SunGard Relius
The Changing HIPAA Landscape: What You Need to Know - And What You Should be Doing Now - About the New HIPAA Privacy and Security Rules
in District of Columbia on September 23, 2009
presented by Venable LLP
The Changing HIPAA Landscape: What You Need to Know - And What You Should be Doing Now - About the New HIPAA Privacy and Security Rules
in Maryland on October 1, 2009
presented by Venable LLP
(Click to post your webcast or conference)
Press Releases
Watson Wyatt Identifies Open Enrollment Benefit Trends for 2010Watson Wyatt
Watson Wyatt Data Services Releases 2009/2010 Financial Services - Survey Report on Insurance Industry Management Personnel Compensation
Watson Wyatt Data Services
PBGC Moves to Protect Pensions at Stant and Standard-Thomson
Pension Benefit Guaranty Corporation (PBGC)
U.S. Department of Labor Sues Owner of Defunct Florida Home Health Care Company to Obtain Restitution of Funds to Company’s Pension Plan
U.S. Department of Labor, Employee Benefits Security Administration (EBSA)
The SPARK Institute Recommends Simple Universal 401(k) Plan For Small Plan Employers To ERISA Advisory Council
SPARK Institute
Business Roundtable Report Shows Health Care Costs Will Skyrocket to Nearly $29,000 per Employee in the Next Decade Without Effective Reform
Business Roundtable
CRC Accreditation Distinguishes Retirement Planning Professionals
International Foundation for Retirement Education (InFRE)
100 Best Sales Tips Released by Leading Retirement Plan Industry Marketing Firm
Venture (k) Corp.
Overlap Inc. Makes Major Push into Retirement Plan Marketplace
Overlap Inc.
Chestnut Global Partners and Burke Consulting Introduce Workplace Outcome Survey Tool to Measure and Validate Efficacy of EAP Services
Chestnut Global Partners
Economic Conditions Signal Long-Term Shift in Rx Benefit Approach
Medco Health Solutions, Inc.
(Click to post your press release)
Employee Benefits Jobs
Senior Pension Sales Consultantfor Executive Benefits Design Group
in ANY STATE, AK, AL, AR, DC, DE, GA, HI, IA, ID, IL, IN, KS, KY, LA, MD, MO, MS, MT, ND, NE, NM, OH, OR, SC, SD, TN, TX, VA, WV, WY
(Click to post your job opening | View all jobs |
RSS feed of all jobs )
EmployeeBenefitsJobs.com (Sponsor)
(Click on banner to learn more.)
| Where the best employers find the best candidates! |
Handy Links:
- View Today's Active Message Threads
- Using the Web for Employee Benefits Research (hypertext article)
- Employee Benefits Library
Subscribe to the BenefitsLink Health & Welfare Plans Newsletter, Too!
Sign-up form is at https://benefitslink.com/newsletter (free).
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 2009 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: