logo logo

Retirement Plans Newsletter

June 10, 2021

3 New Job Opportunities


[Official Guidance]

Employee Plans Compliance Unit Updated Funding Deficiencies Strategy

"EPCU will mail the compliance contact letter and information request to plans identified as reporting a funding deficiency amount. If the sponsoring organization is compliant, the contact will be resolved, and we will issue a closing letter notifying the sponsoring organization. Failure to provide this information, fully fund your plan, or file necessary Form 5330 returns reporting an applicable excise tax, could result in further action or examination of your plan."  MORE >>

Internal Revenue Service [IRS]

Nothing in Life Is Free: Considerations for ERISA Expense Accounts

"Many 401(k) plans contain spending accounts funded by revenue-sharing generated by a plan's mutual fund holdings.... [B]efore utilizing these funds, plan sponsors should ... consider the following questions: [1] Are the funds being held in the trust? ... [2] How are the funds generated? ... [3] How are the funds in the ERISA expense account being used? ... [4] What about disclosure?"  MORE >>

Haynes and Boone, LLP

Court Dismisses Fiduciary Breach Claims Against Directors and Plan Committee Members

"On the threshold issue of fiduciary status, the court noted that all parties appeared to agree that the plan committee was a fiduciary with respect to the challenged actions, and that the plan sponsor had a duty to monitor the committee's actions. However, claims against the other alleged fiduciaries (including the members of the Board of Directors and plan committee) were dismissed because the participants failed to sufficiently allege that those parties were fiduciaries with respect to the contested conduct." [Luense v. Konica Minolta Business Solutions U.S.A., Inc., No. 20-6827 (D. N.J. May 24, 2021)]  MORE >>

Thomson Reuters / EBIA

The '1-2-3s' of Pension Derisking: Three Tactics for Financial Stability (PDF)

"Facing a low ­interest ­rate environment and economic volatility, many large U.S. corporations have renewed their inter­est in pension derisking.... Asset-liability matching and transferring pension risk to an insurer are among the derisking options companies may consider. The most potential for innovative and effective derisking is through changes in plan design, including implementing a cash balance plan or variable annuity plan."  MORE >>

Benefits Quarterly, published by the International Society of Certified Employee Benefit Specialists [ISCEBS]

Why Index Funds and ETFs Are Good for Retirees

"[1] Index funds and ETFs lend themselves well to cash flow extraction.... [2] Maintenance is a cinch.... [3] It's not hard to control a portfolio's risk level with index funds and ETFs.... [4] The tax efficiency stakes may be higher.... [5] A lower-return portfolio cries out for low-cost products."  MORE >>


GAO Priority Open Recommendations: Social Security Administration

"This report outlines [GAO's] 4 priority open recommendations for the Social Security Administration as of May 2021.... These recommendations involve ... ensuring program integrity; and protecting vulnerable beneficiaries. SSA's continued attention to these issues could lead to significant improvements in government operations." [GAO-21-430PR, published Jun. 3, 2021, released Jun. 10, 2021]  MORE >>

U.S. Government Accountability Office [GAO]


Response to Congressional Request for Review of Target Date Fund Risk and Practices (PDF)

52 presentation slides. "Congress should consider requiring clear and simple disclosures of TDF risk at the target date, perhaps even developing rules/standards for straightforward risk assignments to Low, Middle and High Risk Tolerances.... [R]egulators and TDF providers do not even attempt to warn and quantify sequence of return risk and the Risk Zone for the many unsophisticated defaulted investors who want a 'dignified retirement' " [A live presentation is scheduled for Tuesday, June 15.]  MORE >>

Target Date Solutions

Benefits in General

[Official Guidance]

Text of IRS Final Regs: Mandatory 60-Day Postponement of Certain Tax-Related Deadlines by Reason of a Federally Declared Disaster

21 pages. "This document contains final regulations relating to the new mandatory 60-day postponement of certain time-sensitive tax-related deadlines by reason of a federally declared disaster. This document also contains final regulations clarifying the definition of 'federally declared disaster.' These final regulations affect individuals who reside in or were killed or injured in a disaster area, businesses that have a principal place of business in a disaster area, relief workers who provide assistance in a disaster area, or any taxpayer whose tax records necessary to meet a tax deadline are located in a disaster area."  MORE >>

Internal Revenue Service [IRS]

Bringing Details to Light: GAO Report Illuminates DOL Enforcement of ERISA (PDF)

10 pages. "[GAO recently] published the results of a 15-month inquiry into the enforcement of [ERISA] by the [DOL].... The stated purpose of the inquiry was to examine DOL's management of and strategies to improve the ERISA enforcement process, and the immediate and long-term challenges presented by COVID-19. In the process of doing so, the report elaborates or confirms a number of instructive details about the ERISA enforcement process."  MORE >>

Eversheds Sutherland

Employee Benefits Jobs

View job as Senior Document Compliance Consultant
for TIAA Financial Services Senior Document Compliance Consultant

TIAA Financial Services

Telecommute / Charlotte NC

View job as Senior Defined Benefit Plan Specialist
for TPS GROUP Senior Defined Benefit Plan Specialist


North Haven CT

View job as Defined Contribution Pension Plan Administrator
for The Angell Pension Group, Inc. Defined Contribution Pension Plan Administrator

The Angell Pension Group, Inc.


Selected New Discussions

How to Find Out If Trust's TIN Has Been Deactivated?

"I have a plan that hasn't had a distribution is a few years (since 2016). How can I find out if the trust's taxpayer identification number has been deactivated?"

BenefitsLink Message Boards

Waiver of 401(a)(9) Penalties for Employee-Owner Under VCP

"Schedule H to the Form 14568 requires an explanation as to why the IRS should waive penalties under 4974 in the case of an employee-owner who failed to take RMDs on schedule. What are the circumstances that would qualify here? I am not sure why you need an explanation specifically for an employee-owner and not anyone who doesn't take an RMD."

BenefitsLink Message Boards

Press Releases

SageView Advisory Group Welcomes Jeremy Holly as Chief Development Officer

SageView Advisory Group

Webcasts and Conferences
(Retirement Plans or Exec Comp)

Acquiring or Selling the Privately Held Company 2021

June 15, 2021 WEBCAST

PLI [Practising Law Institute]

Last Issue's Most Popular Items

MetLife Fights DOL Subpoena Over Missing Participants


IRS Clarifies COVID-19 Partial Plan Termination Relief But Questions Remain

Trucker Huss

Target Date Funds: A 'Time Bomb' in a Retirement Tool for the Masses?


Unsubscribe  |   Change Email Address

Search Past Issues   |   Privacy Policy

Submit an Article   |   Contact Us   |   Advertise Here

Copyright 2021, 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.

BenefitsLink Retirement Plans Newsletter, ISSN no. 1536-9587.

Links to web sites other than and are offered as a service to our readers. We are not involved in their production and are not responsible for their content.