Why 401(k) Loans Can be a Smart Move – "As a new paper from the Michigan Retirement Research Center points out, using 401(k) loans to pay off high-interest rate credit card debt can save money." (U.S. News & World Report)

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[Official Guidance]
Text of Brief for Secretary of Labor As Amicus Curiae for Plaintiffs-Appellants vs. Wachovia Corp., et. al. – "This case is about pension plan fiduciaries who allegedly knowingly allowed the plans to purchase stock from the sponsoring employer at inflated values and to continue to hold stock during a period when the company's risky and undisclosed lending practices predictably lead the stock to lose much of its value." (U.S. Department of Labor)

[Guidance Overview]
DOL's Final Regulations on Fee Disclosure to DC Plan Participants – "The new rules specify that, in a participant-directed plan, the plan administrator has an affirmative fiduciary duty to provide participants and beneficiaries with enough information to make informed decisions about their investment choices." (The Segal Group, Inc.)

[Guidance Overview]
PBGC Issues 2011 Plan Year Guidance on Reportable Events (PDF) – "When the final regulations are issued, they will supersede the guidance in this Technical Update." (Prudential Retirement)

[Guidance Overview]
IRS Issues Revised Multiemployer Plan Amortization Extension Procedures (PDF) – "The revised submission and notification rules apply to all amortization period extension requests submitted on or after January 1, 2011." (Prudential Retirement)

Transcript of Phone Forum on Basics of Roth Conversions for Retirement Planning (PDF) – The forum covered the impact of life events on retirement planning and the basic rules applicable to Roth conversions, loans, cashouts, rollovers and required minimum distributions. (U.S. Internal Revenue Service)

SEC Fiduciary Report: Who Won? Advisers? Brokers? Or 401k Plan Sponsors? – "[T]he report doesn't answer the basic question: Will the SEC create a 'watered down' version of fiduciary services?" (Fiduciary News)

Confusion About Life Expectancy of Baby Boom Generation Bedevils Fiscal and Retirement Planning – "One obvious way to finance a longer retirement is to save more, either by spending less or working longer." (Bloomberg BusinessWeek)

Can California Local Government Employers Reduce Benefits Plan Costs? – "Our discussions with local government managers and their advisors suggest a tremendous amount of confusion and misinformation about their ability to align employee benefits costs with their fiscal realities. This article discusses one source of much of the confusion . . . ." (Chang, Ruthenberg & Long PC)

Illinois Method for Pension Funding Questioned – "The method, enacted last year, is based on sharp cuts in benefits for state workers who have not yet been hired. Although the cuts will not produce an appreciable savings until far in the future, Illinois has begun funding its plans as if its current workers were already earning the smaller benefits of the future." (The New York Times; one-time registration required)

SEC Probing Illinois Underfunded Pension Fund's Accounting and Disclosures – "The state's governor's office confirmed to the [WSJ] that the Illinois inquiry is focused on public statements concerning an overhaul measure passed in 2010 meant to help shore up the retirement system." (PLANSPONSOR.COM)

State and Local Pension Funding: Under Focus in the House – "In December 2010, [several members of the House] proposed H.R. 6484, a bill that would revoke Federal tax benefits for bonds issued by a state or political subdivision that was not compliant with new reporting requirements regarding state and local government employee pension plans." (Deloitte via BenefitsLink.com)

Fiduciary News Trending Topics for ERISA Plan Sponsors: Week Ending 1/21/11 – "Each Monday, we'll give you a quick synopsis of the major news events and trends impacting ERISA plan sponsors, 401k fiduciaries and those in the business of supporting these fine folks." (Fiduciary News)

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SEC Adopts Shareholder Say-on-Pay Rules – "[The 'say-on-pay' rules are] designed to give shareholders greater input over executive compensation after many investors expressed outrage during the financial crisis at lavish pay practices." (Business Insurance)

DOL Settlements Involve Contributions for Health Plan, ESOP, and 401(k) Plan – "In three separate cases, [DOL's EBSA] has obtained court orders involving the assets of two bankrupt companies and restored $34,000 to an ongoing 401(k) plan." (Wolters Kluwer)

[Opinion]
SEC Issues Final Rules on Shareholder Say on Pay – "[I]t may be time to convene another meeting of Compensation Committee and/or Board, not because the Final Rules are very different [from] the proposed rules (which they are not), but because it is the end January and we need to make final decisions on our proxy statements." (Michael S. Melbinger via Winston & Strawn LLP)

Prudential Updates ‘Highest Daily’ Annuity Optional Benefits Prudential Financial, Inc.

401kTest.com Added an HCE Refund Calculator to Our ADP/ACP Testing Site 401kTest.com

Aon Hewitt Survey Shows Employers Offering Workers More Help to Meet Retirement Goals Aon Corporation

DATAIR Employee Benefit Systems, Inc.

Director, Pension Administration
for Pension Consultants, Inc. in CT

Implementation Project Manager
for The Newport Group in FL

Retirement Plan Administrator
for TPA Firm in NC, SC

Initiatives Director
for Prudential in IA

Pension Plan Operations Representative
for Transamerica Retirement Services Corporation in CA

Form 5330 - Completion and Processing Tidbits Phone Forum
Nationwide on March 24, 2011 Internal Revenue Service (IRS)