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February 27, 2019 logo logo
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Executive Director
YWCA Retirement Fund
in NY

Associate Pension Analyst
First Western
in Denver CO

401(k) Consultant
Creative Retirement Systems
in Cincinnati OH / Telecommute

Enrolled Actuary
in Woodland Hills CA

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Webcasts, Conferences

Independent Contractors, Interns, Temporary Workers, and Leased Employees: HR Policies and Compliance Tips
March 6, 2019 WEBCAST
Clear Law Institute

Navigating Pre-Approved Plan Documents
March 7, 2019 in CA
Western Pension & Benefits Council

New IRS Guidance on the Section 4960 Excise Tax on Tax-Exempt Organizations
March 7, 2019 WEBCAST
American Bar Association Joint Committee on Employee Benefits [JCEB]

Deduction Limits and Contribution Timing [2019]
April 17, 2019 WEBCAST
FIS Relius Education

Benefits, Rights, and Features Testing [2019]
April 29, 2019 WEBCAST
FIS Relius Education

ERISA Litigation Damages and Remedies: Principles, Methods and Best Practices
May 21, 2019 WEBCAST
Knowledge Group

►See 162 Upcoming Webcasts and Conferences

►See 1489 Recorded Webcasts


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[Official Guidance]

Text of 2018 IRS Publication 575: Pension and Annuity Income (PDF)

49 pages; Feb. 26, 2019. "What's New: Extended rollover period for qualified plan loan offsets in 2018 or later. For distributions made in tax years beginning after December 31, 2017, you have until the due date (including extensions) for your tax return for the tax year in which the offset occurs to roll over a qualified plan loan offset amount."
Internal Revenue Service [IRS]


Thrive: Allocate EMPLOYER MATCH DOLLARS to student loan debt!

Sponsored by Thrive Matching

Thrive is an Employee Benefit game changer! Allocate Employer Matching Dollars to retirement, student loan debt, or a combination of both. The best thing to happen to student loan debt since...EVER! Contact: 888-991-1322

Open MEPs Will Be a Retirement Plan Market Disruptor

"[F]or employers, it will be a matter of how much control they will have and whether they can avoid some fiduciary duties. If a recordkeeper decides to sponsor an MEP, the businesses of [TPAs] and advisers may be impacted. Each employer may use its own adviser, but will the MEP offer one adviser? Likewise, will it use just one TPA or no TPA at all? If a broker/dealer or adviser decides to sponsor an MEP, who will it use for recordkeeping and TPA services or as an investment provider or adviser?"
The Retirement Advantage

It's Audit Time: Do You Know What Your Recordkeeper is Doing?

"[1] Develop a procedures manual with your recordkeeper and in consultation with your ERISA counsel to make sure that plan terms are being followed.... [2] [D]evelop a controls policy for promptly identifying and correcting mistakes.... [3] Ask the recordkeeper to notify you right away if checks or notices are returned as undeliverable ... [4] Make sure the recordkeeper gets correct data for non-discrimination testing.... [5] Review your recordkeeper's cybersecurity procedures and insurance[.]"
Cohen & Buckmann, P.C.

Fiduciary Fallout Gets Personal for Human Resources VP

"HR managers are on the front lines. They are the parties responsible for ensuring that ERISA plans are operated according to a plan's provisions.... [T]ips for reducing your operational risk exposure [include:] [1] Study the plan document ... [2] Monitor all activities that support the plan's benefits to ensure compliance with the plan document ... [3] Be wary of payroll ... [4] Commission an operations risk assessment ... [5] Consider installing an automated operations control system."

Retirement Plan Sponsors: Do You Know Where Your Securities Are?

"[1] When you approve a new investment, review the documents to determine whether you are approving securities lending. This will likely be the case if you are approving a collective investment trust (CIT).... [2] Understand the securities lending program terms.... [3] Determine whether the lending arrangement is in the best interest of plan participants and document your reasons for your conclusion. [4] Make sure all the other requirements of the relevant PTEs are met."
Warner Norcross & Judd LLP


2019 SPARK National Conference -- June 4-5, Falls Church, VA

Sponsored by SPARK

The retirement services industry's leading event for top marketing, sales, administration and record keeping professionals. Comprehensive agenda is designed to meet the needs of 401(k) Plan Providers, Financial Advisors and Record Keepers.

Lifetime Income: Current Policy Initiatives

"There remains widespread concern that sponsor fiduciaries may be held responsible, perhaps for decades, for the financial viability of any annuity carrier selected to offer an annuity under the plan.... Some participants may (often quite realistically) see themselves as likely 'losers' in the annuity tontine -- compromised health (for instance) may make them likely to die before their 'average life expectancy' date."
October Three Consulting

2018 Report Card on Pension Plan Funding

"This article looks at and grades the various drivers of pension plan funded status that occurred in 2018. When plan sponsors pull these factors together they will find opportunities in 2019 to manage volatility, and execute pension risk transfers to lower plan risk and cost. Finally, with the looming sunset of funding relief sponsors will want to have an eye towards future cash calls."
River and Mercantile Solutions

Public Agency Participation in ERISA Multiemployer Pension Plans

"Because practically all Taft-Hartley plans originated among unions and employers in the private sector, they are subject to ERISA and participants' benefits are, to some extent, 'insured' by the [PBGC].... What surprises many cities and special districts that participate in these trusts is that, under certain circumstances, the trusts can and must require the participating employers to contribute additional sums -- above and beyond what is called for in the applicable [Memorandum of Understanding]."
Best Best & Krieger LLP

Maximize the Benefit of Nondeductible IRA Contributions

"There are several reasons to choose making nondeductible amounts to an IRA ... For this strategy to make sense, you need to ensure that you are not paying tax on future IRA distributions of nondeductible (previously taxed) contributions. This will require you to calculate the portion of each distribution attributable to deductible and nondeductible contributions and file Form 8606 to track contributions with your federal income tax return."

Personal Experiences Managing the Life Portfolio Beyond Age 60

"[In] practice, the key to retirement well-being is to have a balanced 'life portfolio' where the retiree focuses on 4 key areas: [1] Health (and the activities to maintain and support health); [2] People (family, friends, community organizations, and the ability to create new contacts as needed); [3] Pursuits (work, volunteering, hobbies, community activities, caregiving, travel, etc.); and [4] Places (home and community).... [E]ven with retirement finances well intact, retirees who have a gap in one or more of these areas may still struggle with their personal retirement well-being."
Nerd's Eye View

Benefits in General

[Official Guidance]

ERISA Advisory Council to Meet April 10

"[T]he 195th open meeting of the Advisory Council on Employee Welfare and Pension Benefit Plans (also known as the ERISA Advisory Council) will be held on April 10, 2019. The meeting will take place ... from 9:00 a .m. to noon and from 1:00 p.m. to approximately 3:30 p.m. The purpose of the open meeting is to set the topics to be addressed by the Council in 2019. Also, the Council members will receive an update from leadership of [EBSA]."
Employee Benefits Security Administration [EBSA], U.S. Department of Labor [DOL]

California Appellate Court Affirms Broad Scope of ERISA Preemption in State Law Privacy Case

"[T]he California Court of Appeal held that ERISA Section 514 preempts state law causes of action premised on wrongful disclosure of protected private health information. Although not-binding as precedent, the decision is noteworthy to Plan sponsors and administrators because it demonstrates the expansive preclusive effect of federal law over state privacy and consumer protection statutes that impact ERISA benefit claims." [Weaver v. Healthcomp, Inc., No. F075072 (Cal 5th Ct. App. Jan. 10, 2019; unpub.)]
Seyfarth Shaw LLP

Executive Compensation
and Nonqualified Plans

[Guidance Overview]

How Non-Profit Organizations Can Plan for the Executive Comp Excise Tax

"While the code section is simply written, the guidance takes into account the code and regulations that have been established in the compensation area. These can be complex and lead to more questions than answers. The guidance centers around defining each element of Section 4960 and provides answers to some common questions."
Moss Adams LLP

Winning Say-on-Pay: Top Ten Executive Comp Proxy Tips For 2019

"Companies should [1] clearly set forth the relationship between pay results and actual financial and total shareholder return (TSR) performance.... [2] tell a good story on why their compensation programs benefit shareholders and disclose performance goals and results in a manner that is succinct and easy to follow.... [3] consider litigation trends surrounding non-employee director compensation and changes to 162(m)."
Pillsbury Winthrop Shaw Pittman LLP

Selected Discussions
on the BenefitsLink Message Boards

'Participants with an Account Balance' for Purposes of Form 5500

In regards to Form 5500 line 6g (participants with an account balance), if a plan that is filing on a cash basis, should it still include participants that have a receivable at the end of the year? These participants would have a zero balance without the receivable.
BenefitsLink Message Boards

'Otherwise Excludable' Employees and Maximum Waiting Period

A plan is on a calendar year. Employee is eligible to participate on the date of hire, and the entry date is the first day of the month coinciding with or next following the date of satisfying the eligibility requirements. Employee was hired on 11/25/2015 and is more than 21 years old. Until what date is the employee still considered 'otherwise excludable'?
BenefitsLink Message Boards

Can Plan Sponsor Make a Loan to a Plan?

One-person plan, invested in illiquid assets. There is no cash (annual contribution is paid out annually as RMD). Some kind of payments were due on the real estate holdings (taxes maybe) so the Plan Sponsor put money into plan, separate from annual contribution, and then paid the expenses out of the plan. Owner has informed us of this and that she treats the money as a loan to the plan, although no loan documents were ever set up and no interest payments back to owner ever made. What to do now?
BenefitsLink Message Boards

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Possible Changes on the Horizon for the Escheat and Taxation of 401(k) Funds
ReedSmith, via Lexology; free registration required

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BenefitsLink Retirement Plans Newsletter, ISSN no. 1536-9587. Copyright 2019, Inc. All materials contained in this newsletter are protected by United States copyright law and may not be reproduced, distributed, transmitted, displayed, published or broadcast without the prior written permission of, Inc., or in the case of third party materials, the owner of those materials. You may not alter or remove any trademark, copyright or other notices from copies of the content.

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