GOP and Democrats Clash Over Modifying 401(k) Plans
Excerpt: "The Obama administration is looking for ways to make 401(k) and other defined-contribution plans more like those rapidly disappearing defined-benefit plans, which guarantee retirees a pension for life. One idea under consideration is to encourage or require employers to offer annuities or other 'lifetime-income products' as an option in their 401(k) plans. Some folks, intentionally or not, are confusing this idea with a more radical concept to create guaranteed retirement accounts, which would give the government a far greater role in retirement savings."
(San Francisco Chronicle)

IRS Asking 401(k) Plan Sponsors to Answer Questionnaire
Excerpt: "The IRS announced last week that it will be looking at 1,200 401(k) plans by way of a plan compliance questionnaire. Letters from the IRS are expected to go out at the end of May. . . . Answering the questionnaire is 'technically voluntary,' but an IRS spokesperson made it clear that they want the information."
(Fisher & Phillips LLP)

Louisiana Government Retirement Overhaul Proposals Aim to Save Money
Excerpt: "In its original form, the bill would expand from three years to five years the period at the end of employment used to measure average compensation for figuring retirement benefits, which would likely be lower under that method. The bill also makes various changes to accrual rates, survivor benefits and eligibility."
(New Orleans Times-Picayune)

Why Don't People Annuitize? The Role of Advice Provided by Retirement Planning Software
Excerpt: "This study investigates whether users of 25 free retirement planning programs available on the internet are advised to annuitize, in situations where it clearly would be advisable to do so. Our main conclusion is that the programs generally do not advise it, which contributes to other reasons why people do not annuitize."
(Pension Research Council; registration required to download working papers)

Results of the 2009 Survey of the Funded Status of Multiemployer Defined Benefit Plans (PDF)
30 pages. Excerpt: "'The survey covered areas such as the assets, liabilities, participants, investments, and contributions to these plans both before and after the 2008 market crash. The purpose of this survey was to assess the impact of the market contraction and gather information that would be helpful to members of the multiemployer community, lawmakers, federal regulators, and the public . . . ."
(National Coordinating Committee for Multiemployer Plans)

The Shrinking Tax Preference for Pension Savings: An Analysis of Income Tax Changes, 1985-2007
Excerpt: "We examine the change over time in the value of pension investing, accounting for changes in the tax schedule and in the treatment of equity and bond income. We find that changes in U.S. tax law, especially the treatment of equity income, have led to sizeable changes in the value of the pension tax preference."
(Center for Retirement Research at Boston College)

[Opinion]
Vanguard Responds to Request for Information on the Topic of Retirement Income (PDF)
23 pages. Excerpt: "Broad definition of retirement income. We are pleased to see the Departments use the term 'lifetime payments' to describe their policy objective as opposed to the more limited term 'annuity payments.' This is a critical distinction in that retirement income strategies appropriately include nonguaranteed or portfolio-based strategies, as well as annuity-based programs."
(The Vanguard Group, Inc.)

[Opinion]
Vanguard Officers Comment on Proposed Participant Investment Advice Rule (PDF)
6 pages. Excerpt: "The comments are intended to help the DOL craft final rules that allow for flexibility in the offering of responsible, fundamentally sound, and cost-effective participant investment advice programs."
(The Vanguard Group, Inc.)

[Opinion]
More Plan Sponsors Offering 401(k) Plan Participants the Option of a Self-Directed Brokerage Window
Excerpt: "This trend is alarming to those who believe that self-directed brokerage windows represent a fiduciary quagmire and see it as the antithesis of investment prudence, running counter to the emerging view of many investment experts that participants should be removed entirely from the investment process."
(Workforce Management; free registration required)

New Federal Rules Target MEWA's
Excerpt: "[Health] reform legislation contains several provisions directed at Multiple Employer Welfare Arrangements ('MEWA's'). A new criminal enforcement section contains broad language prohibiting false statements. [One section] prohibits false statements about a MEWA as to: the MEWA's financial condition or solvency, the benefits provided, or the regulatory status of the MEWA under state or federal law, including specifically the exemption of the MEWA from state regulatory authorities."
(Roy Harmon via Health Plan Law)

"Fundamentals of 401(k) and Other Qualified Plans" - Atlanta
in Georgia on June 16, 2010
presented by SunGard Relius

"Fundamentals of 401(k) and Other Qualified Plans" - Irvine
in California on June 16, 2010
presented by SunGard Relius

"The New 5500-EZ: At last!" Web Seminar
Nationwide on June 8, 2010
presented by SunGard Relius

Advisory Council on Employee Welfare and Pension Benefit Plans Meeting
in District of Columbia on June 29, 2010
presented by U.S. Department of Labor, Employee Benefits Security Administration (EBSA)

Click to post your webcast or conference

Statement of Assistant Secretary of Labor Phyllis C. Borzi Calling on Employers and Benefit Plans to Make Young Adult Coverage Available Immediately
U.S. Department of Labor, Employee Benefits Security Administration (EBSA)

Veteran Great-West Retirement Services Employee To Manage Clients' Defined Contribution Education, Enrollment and Communication Needs
Great-West Retirement Services

NBCH’s Community Coalitions Health Institute Awards Community Health Partnerships Seed Grants
National Business Coalition on Health

ACI Consulting Administrator Jeff Esmond Receives New Certification
Actuarial Consultants, Inc.

Scott Holsopple Named Smart401k CEO
Smart401k

Click to post your press release

Defined Contribution Operations Manager
for New York Life Retirement Plan Services
in MA

Retirement Plan Analyst (Retirement Plan Administration)
for BeneTrends, Inc.
in PA

Benefits Analyst I
for Milliman
in WA

Benefits Analyst II
for Milliman
in WA

Actuary needed to manage our Wisconsin office
for Summit Benefit & Actuarial Services, Inc.
in WI

Senior Plan Consultant
for BPA, A BPAS Company
in PA

Click to post your job on EmployeeBenefitsJobs.com | View all jobs | RSS feed of all jobs

• View Today's Active Message Threads
• Using the Web for Employee Benefits Research (hypertext article)
• Employee Benefits Library

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

Jeanette Hull, News Editor
jeanette.hull@benefitslink.com

David Rhett Baker, J.D., Editor and Publisher
david.baker@benefitslink.com

Copyright 2010 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:

• How to Sponsor an Issue
• Privacy Policy
• Archive of Previous Newsletters