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October 19, 2011 Get Health & Welfare News  |  Advertise  |  Unsubscribe  |  Past Issues  |  Search

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Employee Benefits Jobs

Onsite Participant Counselor
for Diversified in MI

Manager of 401(k) Plan Administration
for Oak Enterprises in IL

Senior Implementation Consultant-Daily Plan Specialist
for July Business Services in ANY STATE

Senior Relationship Manager
for July Business Services in ANY STATE, TX

Client Relationship Manager
for July Business Services in TX

Client Service Associate
for July Business Services in TX

Senior Contract Associate
for Prudential in NJ

Client Services and Admin Officer (Record Keeping)
for Fulton Financial Corporation in PA

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Webcasts and Conferences

401(k) Advisor Symposium- Minneapolis
in Minnesota on November 17, 2011 presented by 401(k) Rekon

NY CLE Program: Listen Up! Navigating the Minefield of Employee Communications
in New York on November 10, 2011 presented by WEB (Worldwide Employee Benefits Network ), New York Chapter

The PPA Restatement & Revenue Procedure 2011-49
Nationwide on November 22, 2011 presented by McKay Hochman Co., Inc.


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[Official Guidance]
Social Security Benefits' Cost-of-Living Adjustment Information for 2012
"The 3.6 percent [COLA] will begin with benefits that nearly 55 mil.lion Social Security beneficiaries receive in January 2012." (U.S. Social Security Administration)


Start planning your 2012 continuing education with NIPA!   [Advert.]

Sponsored by NIPA (National Institute of Pension Administrators)

NIPA offers a variety of opportunities to obtain continuing education credits throughout the year, including monthly Webcasts, conference events, certificate courses and more. Join NIPA for a Webcast and start planning your 2012 continuing education.


[Guidance Overview]
IRS Postponement of Plan Amendment Deadlines for Cash Balance and Other Hybrid Plans (PDF)
"We note that Notice 2011-85 does not address the deadline for single employer plans to be amended to reflect the complicated funding-based limits on benefits — including certain distributions and benefit accruals — for plans that do not meet certain minimum funding thresholds (Code Sec. 436)." (Groom Law Group)

Do You Actually Know What's in Your Retirement Fund?
"If you do find that you are in a defined benefit plan, [EBRI's Dallas] Salisbury recommends getting a copy of the plan description and asking a few questions: 'Have you been mailing me a benefits statement that I haven't bothered to look at? Can I get an estimate of what I would currently be entitled to?'" (Cable News Network)

Retirement Plan Providers Trying New Ideas to Help Boost 401(k) Plan Balances
"Some of the changes are driven by the realization that many workers haven't saved enough to get them through retirement. In addition, this summer's market volatility amid concerns of a global economic crisis has reduced their balances yet again . . . ." (The Republic)

Sponsors Report DC Providers Delivering Higher Level of Service vs. Plan Advisers
"Findings from the research show that on an overall basis, plan sponsors with less than $5MM in plan assets are generally highly satisfied with their service contacts at the provider/recordkeeper, but only somewhat satisfied with their dedicated retirement plan advisers." (PLANSPONSOR.COM)


Combined DB/DC Plan Proposals – Fully Tested and Priced Right   [Advert.]

Sponsored by BlazeSSI

GTS creates fully tested combined DB Cash Balance and DC New Comparability plan designs and prepares client-ready reports and charts. Annual unlimited use license or pay-per-plan with unlimited revisions, exclusively from BLAZE SSI Corp.


401(k) Fee Litigation, October 2011
"The focus of these lawsuits against the plan sponsors has evolved over time to include broader challenges to, among other things, the plan sponsors' selection of actively managed mutual funds as plan investment options." (Groom Law Group)

New Jersey Governor Urges Constitutional Amendment on Judges' Pensions
"Angrily reacting to a judge's ruling that the state pension overhaul does not apply to the judiciary, Gov. Christie called Tuesday for a constitutional amendment to make sure judges pay more toward their pensions." (Philly.com)

Answering Your Questions on a Fiduciary Approach to Alternative Investments
"[A recent] session led to many questions from the audience looking for further insights and clarification that we were unable to address in the time allotted. Fortunately, [the speakers] were kind enough to answer the remaining questions, which we are happy to present in [this] Q&A . . . ." (fi360 Blog)

Guaranteed Income in Retirement Trumps Having 401(k) Plan
"When asked to rate several factors that would help ensure a more secure retirement, 86% preferred 'having a guaranteed stream of income in retirement,' while 71% chose 'having a 401(k)/403(b)/457 plan.'" (Employee Benefit News)

Lifetime Retirement Income: Annuities and Beyond (PDF)
"[T]he issue of providing lifetime retirement income from a defined contribution plan may be fairly new for plan sponsors. In the past, DC plans have served as supplemental savings, and we are just now seeing the first wave of retirees who will depend solely on their DC plans for retirement income." (Arnerich Massena, Inc.)

Make the Most of Your Employer's 401(k) Match
"According to a recent report, 29.4 percent of 401(k) participants do not contribute enough to their 401(k) to receive their full employer match — with higher rates of foregone matches seen among younger workers age 20 to 29 (43 percent) and those automatically enrolled into an employer-sponsored defined contribution plan (41 percent)." (FINRA)

A Guide to Rhode Island's Pension Crisis
"There is a $7.3 bil.lion shortfall in the state-run system and a $2.1 bil.lion shortfall at the local level — so about $9.4 bil.lion statewide. That's a lot of money for a small state, more than the entire annual state budget." (LIN Television Corporation)

Outlook Goes from Bad to Worse for CalSTRS Under Proposed Accounting Standards
"A proposed change to pension accounting standards could give more ammunition to conservatives seeking to reduce pension benefits for public sector workers." (The Sacramento Bee)

Most Employers Restore 401(k) Match, According to Analysis
"Seventy-five percent of employers that suspended their matches have now restored them, according to a Towers Watson & Co. study published last week." (Business Insurance)

How Many Investment Options Should 401k Plan Sponsors Offer?
"The clearest reason why this might be important deals with fees. No, not the fees associated with the underlying investments, but the infrastructural costs associated with the mere number of options." (Fiduciary News)

The Effect of Union Membership on Retirement Satisfaction
"The author does not find evidence for a direct union premium since positive union effects disappear after controlling for retirement planning, finances, job characteristics, and duration." (Social Science Research Network)

Top 10 Best States for Workers in Retirement Plans
"The ultimate irony, perhaps, is that many covered by a retirement plan work in states where they might not choose to retire. Here are the top 10 states where the most employees participate in a retirement plan at work." (AdvisorOne)

GAO Testimony on Income Security: The Effect of 2007–2009 Recession on Older Adults
October 18, 2011, testimony before the Subcommittee on Primary Health and Aging, Committee on Health, Education, Labor and Pensions. 'Since 2007, unemployment rates doubled and remained higher than before the recession for workers aged 55 and older. While these rates were not as high as for other age groups, of more concern is that once older workers lose their jobs they are less likely to find other employment." (U.S. Government Accountability Office)

GAO Report: Income Security: Older Adults and the 2007–2009 Recession
"While the recession has affected all age groups, older adults — particularly those close to or in retirement — may face a greater burden because they may not have the same opportunities to recover from its effects." (U.S. Government Accountability Office)

[Opinion]
Will There Be a New, Business-Friendly Definition of Fiduciary?
"The forthcoming reproposal, consistent with President Obama's January 2011 executive order on improving regulation and regulatory review, will provide an opportunity for additional input, review, and consideration." (CFO.com)

[Opinion]
Interpreting Ambiguous Plan Language
"[A]ll that matters is who gets the last say. This means, of course, that the side who wins that split is whichever one the appeals court agrees with." (Stephen Rosenberg of The McCormack Firm, LLC)

[Opinion]
American Academy of Actuaries' Response to GASB's Exposure Drafts on Pension Accounting and Financial Reporting by Employers (PDF)
"We were pleased to see several proposed improvements, both to the current rules and to the preliminary views. These improvements include the board's decisions: (1) to recognize a net pension liability; (2) to stipulate a single actuarial method to calculate liabilities and annual costs; (3) to reduce significantly deferrals of current costs; and (4) to expand the required disclosures." (American Academy of Actuaries)

[Opinion]
American Academy of Actuaries' Comments Regarding Reporting of PBGC Premium Payments on Form 5500, Schedule H (PDF)
"The . . . Pension Committee would like to express its concern regarding what we believe to be an error in the instructions for Form 5500, Schedule H on the reporting of premium payments made to [PBGC] from qualified defined benefit plan assets." (American Academy of Actuaries)

[Opinion]
Testimony on Behalf of American Benefits Council and CIEBA before House Subcommittee Hearing on Over-the-Counter Derivatives Market (PDF)
"[C]ertain proposed regulations affecting ERISA plans could have very adverse effects on plans, none of which were intended by Congress." (American Benefits Council / Committee on Investment of Employee Benefit Assets)

[Opinion]
American Benefits Council Letter to Joint Select Committee on Deficit Reduction on Retirement Policy Measures (PDF)
"Employers need certainty and predictability in their funding obligations so they can maintain their plans while focusing on their core business. The ideal solution would be to enact funding reform that mitigates excessive swings in interest rates and stabilizes the calculation of funding liabilities. Such measures also have the added benefit of raising federal revenue by increasing the amount of taxable corporate income." (American Benefits Council)

Benefits in General; Executive Compensation

[Guidance Overview]
New FASB Disclosure of Requirements for Employers Participating in Multiemployer Plans
"For multiemployer plans that provide non-pension postretirement benefits, the revised disclosure includes only the contributions made, any changes in the business that affected the contributions such as a merger or employee layoffs, and a description of the nature of the benefits and types of employees covered (e.g., retirees, actives, etc.)." (Cheiron, Inc.)

[Guidance Overview]
Employee Terminated Following Spouse's Medical Diagnosis Can Pursue ADA and ERISA Claims
"Proving an ADA association or ERISA § 510 claim is often an uphill battle for the employee, and the outcome of this case remains to be seen. But employers should not overlook these significant employee protections when making employment and benefits decisions." (Thomson Reuters/EBIA)

More Employers Offer Employee Tuition Reimbursement
"In 2009, only 34.9% of employers offered tuition reimbursement to all employees. This increased to 45.3% in 2010, and again in 2011 to 51.7%." (PLANSPONSOR.COM)

Virginia State Official Proposes Cap for Banking of Unused Time Off
"Currently, state employees can roll over more than 400 hours annually." (Governing)

Press Releases



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