McKay Hochman Consulting

Defined Benefit Plan Coding Specialist
Prudential
in CT, MA

Manager of Health & Welfare Vendor Relations
University of California Office of the President
in CA

Document Specialist
Verisight
in CA, MN

Post Your Job

View All Jobs

RSS Feed: All Jobs

The New Tools in the EPCRS Box
April 28, 2015 WEBCAST
(SunGard Relius)

Big Changes Ahead: Prepare Your Canadian Drug Benefit Plan Now
April 30, 2015 WEBCAST
(International Foundation of Employee Benefit Plans [IFEBP])

Tribal Plans
May 1, 2015 WEBCAST
(SunGard Relius)

Conflict of Interest Proposal: How it Works and What it Means
May 5, 2015 WEBCAST
(ASPPA [American Society of Pension Professionals & Actuaries])

Affordable Care Act - Containing the Chaos
May 12, 2015 WEBCAST
(Business Insurance)

Spring 15 Retirement, Annuity, and Life Insurance Benefit Planning
May 14, 2015 in NY
(New York State Bar Association)

Wellness & Benefits: A Winning Combination
May 20, 2015 WEBCAST
(myInertia LLC)

View All Webcasts and Conferences

[Guidance Overview]

DOL Proposes Sweeping Expansion of Fiduciary Duty Rules
"The DOL mentioned and solicited advice with regard to, but did not formally propose, a 'streamlined' exemption which would allow advisers to receive compensation in connection with a plan's or IRA's purchase of certain high-quality, low-fee investment options, which might include mutual funds which are index funds or certain target date funds." (Ropes & Gray LLP)  

[Advert.]

P&I Alternatives in DC Conference | May 19 | New York

Register for this FREE, one-day event to hear top industry experts and peers discuss the growing trend of incorporating alternatives into DC plans and its potential for helping you improve retirement outcomes.

Why Labor Department Gets a Say on IRA Advice
"Why does Labor's rulemaking extend to IRAs? That dates back to a 1978 agreement between the Labor and Treasury departments that is sometimes referred to as the 'peace treaty,' says Norman Stein, a law professor at Drexel University.... Under that division of labor, the Labor Department defines when advisers to retirement plans and to retirement savers are 'fiduciaries' who must put clients' interests first.... The proposal ... says IRAs and workplace plans should have similar protections, given that both benefit from tax incentives to encourage retirement security. In that way, IRAs are more like workplace plans than other investment accounts, the Labor Department proposal says." (The Wall Street Journal; subscription may be required)  

Governmental Plan Determination Letters: Last Chance?
"From February 1, 2015 through January 31, 2016, the [IRS] is accepting requests for determination letters regarding the tax qualification of most governmental retirement systems.... [T]his may be the last chance for state and local retirement systems and other governmental plans to obtain formal IRS reassurance that their plans are qualified. This article discusses why a determination letter is important, and what needs to be done to obtain one." (Calhoun Law Group, P.C.)  

What Does it Take to be a Non-ERISA 403(b) Plan?
"Plan sponsors who wish to maintain non-ERISA plans may not process distributions, approve hardship distributions or loan requests, review qualified domestic relations order (QDRO) requests received by the plan, authorize plan-to-plan transfers or otherwise make any discretionary determinations regarding plan administration.... [W]hile an annuity provider or other responsible third party selected by a person other than the employer can make these types of administrative decisions, if a Third Party Administrator (TPA) is retained by the employer to provide these services to the plan, the plan will no longer be a non-ERISA plan." (Retirement Management Services)  

Seven Ways You Can Mess Up Your Required Minimum Distribution
"[1] Using the wrong table to determine your life expectancy factor.... [2] Taking your RMD from the wrong type of account.... [3] Failing to adjust your prior year-end balance for an outstanding rollover or transfer.... [4] Failing to adjust your prior year-end balance for a recharacterization of a Roth IRA conversion made in the year after conversion.... [5] Taking your RMD from your spouse's retirement account.... [6] Forgetting to take your RMD altogether.... [7] Failing to timely correct any mistakes you uncover." (Slott Report)  

[Advert.]

3 Live Spring Workshops – Stay-up-to date and Earn CE credits

PPA Workshops help prepare staff for plan restatements. 401(k) Plan Workshop offers solutions to help with complicated 401(k) plan issues. With the recent changes, the Form 5500 Workshop helps you meet the new challenges. Earn CE credits. Register Now.

A Look at the End-of-Life Financial Situation in America (PDF)
"[A]mong all those who died at ages 85 or above, 20.6 percent had no non-housing assets and 12.2 percent had no assets left. Among singles who died at or above age 85, 24.6 percent had no non-housing assets left and 16.7 percent had no assets left. Data show those who died at earlier ages were generally worse off financially: 29.8 percent of households that lost a member between ages 50 and 64 had no assets left. Households with at least one member who died earlier also had significantly lower income than households with all surviving members." (Employee Benefit Research Institute [EBRI])  

PBGC Premiums Start to Factor Into Pension Decisions
"[T]he penalty on a funding shortfall will soon be running at almost 3% a year.... HATFA's funding relief uses an adjusted discount rate to produce a lower liability, but the shortfall used for the PBGC premium calculation does not use that adjusted discount rate; you could be fully funded for the HATFA calculation, yet still find yourself paying a substantial variable-rate premium to the PBGC. So this is a big enough penalty that in many cases it will change the balance in the funding decision[.]" (Russell Investments)  

Pension Funded Status Drops by $6 Billion in March (PDF)
"The funded status of the 100 largest corporate defined benefit pension plans dropped by $6 billion during March as measured by the Milliman 100 Pension Funding Index (PFI). The deficit increased to $349 billion from $343 billion at the end of February due to the dual effect of a decline in the benchmark corporate bond interest rates used to value pension liabilities and flat asset performance during March. As of March 31, the funded ratio fell to 81.0%, down from 81.2% at the end of February." (Milliman)  

Coal Companies Get Reprieve on Pension Costs
"The United Mine Workers of America 1974 pension plan ... is underfunded by about $2 billion ... The plan will require coal companies and other members to increase contributions by 10%, to $6.05 per union employee per hour worked, and maintain that rate until 2027 ... Benefit cuts for future retirees also are planned. A previous plan called for contributions to increase in stages from a minimum $12.50 in 2017 to as much as $26.50 as early as 2022 ... The United Mine Workers plan has roughly 12 retirees for every active worker[.]" (The Wall Street Journal; subscription may be required)  

House Panel Backs 401(k)-Like Plan for Military Personnel
"Under the existing defined-benefit plan, most officers and enlisted personnel who serve 20 years receive annual retirement pay equal to half of their average basic pay over their last three years of service. The [proposed] legislation would ... reduce that figure from 50 percent to 40 percent, in part to fund a 401(k)-like Thrift Savings Plan for the more the 80 percent of service members who leave the military without getting any retirement benefit." (Military.com)  

[Opinion]

A House Divided?
"In the retirement industry, the government has ready-made allies in the brother vs. brother conflict wrought by the Great Fiduciary Debate. Yes, statists can sprinkle in fresh gunpowder to spark a more heated exchange, but it is the beauty of insiders revealing each others' best kept secrets that remains the most effective way to discredit the entire private retirement industry." (Christopher Carosa, via National Association of Plan Advisors [NAPA])  

[Opinion]

ICI Submission to Senate Finance Committee Working Group on Savings and Investment (PDF)
74 pages. "It is important to assess Americans' retirement prospects and the role that the current system plays in helping American workers reach their retirement goals.... The current retirement tax incentive structure is the foundation of the U.S. retirement system's success.... Reform options should build on the existing system -- not put it at risk. (Investment Company Institute [ICI])  

[Guidance Overview]

Practical Advice for Compliance with Recent Amendments to Section 162(m) Regulations
"Public companies that want to preserve both the flexibility of their pre-IPO equity plans ... and the tax deductibility of their equity award grants may want to consider the following grant practices: [1] Grant performance-based restricted stock in lieu of performance-based RSUs during the reliance period.... [2] Grant only stock options during the reliance period. [3] Grant a lesser number of RSUs with modified vesting schedules such that all or a portion of the RSUs will be settled in stock during the reliance period.... Public companies that want flexibility with their plans can have a single limit for all equity grants or separate limits for different classes of equity[.]" (Orrick)  

Measured Matters: The Use of 'Big Data' in Employee Benefits
"This article summarizes the presentations and discussion at the Dec. 11, 2014, EBRI policy forum held in Washington, DC, on the topic 'Measured Matters: The Use of "Big Data" in Employee Benefits': the use of massive amounts of data and computer-driven data analytics to determine how people behave when it comes to health and retirement plans, which programs work or do not, and how to get better results at lower cost." (Employee Benefit Research Institute [EBRI])  

2015 Global Employee Benefit Trends: Shifting Dynamics of $50 Oil (PDF)
7 pages. "In a market where operators can ask or demand that a drilling company renegotiate a rig contract, cost control becomes a critical consideration.... Wringing savings out of plan suppliers/vendors and cost shifting to employees will be a staple of consideration. U.S. cafeteria plan requirements may limit all but the very desperate from making mid-year plan changes, leaving 401(k) contributions as the most significant available cost reduction lever (after actual headcount reductions) available to employers." (Ascende)  

Chuck Gouge joins ERISApedia.com as Director of Sales & Marketing
Burrmont Compliance Labs LLC

AXA Equitable Introduces New Way to Meet Required IRS Distributions While Guaranteeing a Legacy for Beneficiaries
AXA Equitable

US Labor Department Sues Jessup, Maryland-based Contractor to Recover Nearly $19,000 to 401(k) Plan
Employee Benefits Security Administration [EBSA], U.S. Department of Labor

View All Press Releases