logo logo

Retirement Plans Newsletter

August 25, 2021

8 New Job Opportunities


[Guidance Overview]

Best Practices for ERISA Fiduciary Responsibilities and Cybersecurity for Retirement Plans (PDF)

12 pages. "[P]rudent selection and monitoring of plan service providers that may handle PII requires critical due diligence of the third-party service provider's systems, data storage, and encryption security.... When employees work from home, companies may face additional risk from employees who take shortcuts to ease working on personal devices or outside of the organization's regular environment.... The main components of a business resiliency program are a business continuity plan, disaster recovery plan, and incident response plan."  MORE >>

Mintz, via Thomson Reuters Practical Law


SPARK Forum - November 7-9, 2021 -- The Breakers, Palm Beach, FL

3 days packed with actionable insights for advisors, recordkeepers and plan providers. Explore latest trends, strategies and ideas to lead through disruption. Join the retirement event with the most senior audience and network with purpose. Register Now.

Sponsored by SPARK

[Guidance Overview]

Exceptional Usefulness and Quality icon Retirement Plan Correction Solution Meltdown: Correcting Automatic Enrollment Failures

"Typically, a company must correct a failure to timely implement a deferral election by making a qualified nonelective contribution ('QNEC') in relation to an affected participant's missed deferral. The QNEC must equal the participant's 'Missed Deferral Opportunity' ('MDO'), which is defined as 50% of the amount the participant elected to defer. However, if certain criteria are met, the QNEC may be reduced to 25% of the MDO. But, for plans with [automatic enrollment] provisions, there is a special deal: the employer may avoid making a QNEC at all if certain conditions are met."  MORE >>

Ferenczy Benefits Law Center

[Guidance Overview]

IRS Expands and Updates Qualified Plans Correction Guidance

"As with previous updates to the EPCRS, these changes should help reduce the cost and burden of common plan failure corrections, and they will provide welcome relief for many plan sponsors with respect to operational plan failures."  MORE >>

McDermott Will & Emery

[Guidance Overview]

Best Interest Standard of Care for Advisors Part 63: Compliance with PTE 2020-02, Acknowledgement of Fiduciary Status

"This article discusses FAQ 13, a DOL question and answer about the requirement for the delivery of a written acknowledgement of fiduciary status ... [T]his language includes much more than is required by PTE 2020-02.... [F]inancial institutions may consider drafting simpler and more direct statements of their fiduciary status. On the other hand, when the DOL provides sample language, there may be a benefit to using it, for example, if a DOL investigation occurs in the future, the investigator will readily recognize and accept this language."  MORE >>

Seventh Circuit: ERISA Does Not Preempt Certain State Law Claims Against 'Dual-Hat' Officers, Directors

"The court determined that ERISA did not preempt the state-law claims against the officers and directors, concluding that ERISA contemplates parallel state-law corporate liability against directors and officers who serve dual roles as both corporate and ERISA fiduciaries. The court found that ERISA did preempt the state-law claims against the employee benefit plan trustee and its financial advisor because those claims would interfere with ERISA's remedial scheme." [Halperin v. Richards, No. 20-2793 (7th Cir. Jul. 28, 2021)]  MORE >>

Holland & Knight

Retirement Plan Census Data: It's Foundational and Fundamental

"[W]ithout accurate and timely employee data, the plan providers can't do their administrative and recordkeeping services effectively. Incorrect or missing census data makes critical tasks impossible -- for example, knowing when employees are eligible for the plan and which ones are highly compensated."  MORE >>


Portfolio Allocation, Income and Spending in Retirement

"De-risking is commonplace: 75% of retirees reduce their equity exposure after they roll over their assets from a 401(k) to an IRA. Required minimum distributions (RMDs) appear to be the dominant withdrawal 'guidance.' The vast majority of retirees -- particularly those with less observable wealth -- do not take distributions before RMD age, and those older than RMD age choose to take only the RMD amount. Income and spending in retirement are highly correlated. As income increases with the start of Social Security and RMDs, spending increases."  MORE >>

J.P. Morgan Asset Management

Does Guaranteed Income Provide a License to Spend?

"Longevity risk (outliving one's savings) is a risk that many rational retirees who rely on savings withdrawals are less likely to shoulder, so they'll tend to spend less so as to preserve those assets. The alternative is to transfer some, if not most, of the longevity risk to a third party ... [A]nnuities, when used to bridge that expense gap, mitigate the risk of the unknown lifespan. This then leads to a retiree who is more comfortable spending down savings on expenditures that exceed basic needs."  MORE >>


Executive Compensation and Nonqualified Plans

Exceptional Usefulness and Quality icon How State Residency Affects Deferred Comp Decisions

"If you live in California, then you're taxed on your worldwide income. There may be an opportunity to claim the other state tax credit in rare circumstances, but the more likely outcome is that you'll owe tax on all of your income. For this reason, it's prudent to evaluate the potential benefits of moving before exercising your deferred compensation."  MORE >>

Moss Adams LLP

Employee Benefits Jobs

View job as Implementation Specialist
for Ubiquity Retirement + Savings Implementation Specialist

Ubiquity Retirement + Savings

Remote / San Francisco CA / AZ / CO / FL / IL / KY / LA / MA / MS / NC / NJ / NV / NY / OH / OR / RI / SC / TN / TX / WA

View job as Implementation Specialist
for Ubiquity Retirement + Savings

View job as Plan Administrator
for Aimpoint Pension Plan Administrator

Aimpoint Pension

Remote / Pompano Beach FL

View job as Plan Administrator
for Aimpoint Pension

View job as Conversion Account Manager
for Nova 401(k) Associates Conversion Account Manager

Nova 401(k) Associates

Remote / Houston TX

View job as Pension Plan Administrator
for Pension Management Consultants,Inc Pension Plan Administrator

Pension Management Consultants,Inc

Remote / Modesto CA

View job as Relationship Manager
for Compass Retirement Consulting Group, Inc./Compass 360, LLC Relationship Manager

Compass Retirement Consulting Group, Inc./Compass 360, LLC

Remote / Stratham NH / MA

View job as Relationship Manager
for MVP Plan Administrators, Inc. Relationship Manager

MVP Plan Administrators, Inc.

Remote / Cary NC

View job as Sr. Actuarial Analyst
for Newport Sr. Actuarial Analyst


Chicago IL

View job as Senior Retirement Specialist
for Alerus Senior Retirement Specialist



Selected New Discussions

Summary of Material Modifications Needed for a Plan Termination?

"Should the plan sponsor send an SMM once the plan has terminated? Who gets one?"

BenefitsLink Message Boards

Press Releases

TRA Hires Mark McCool as Regional Sales Consultant

The Retirement Advantage [TRA]

Webcasts and Conferences
(Retirement Plans / Executive Compensation)

2021 Ascend

November 15, 2021 in NV


Last Issue's Most Popular Items

Step Aside, 3(16): The 402(a) Fiduciary Is the New Flavor of the Week


QPDAC, DIA, QLAC, QPDA, GLWB, FIA, VA, RILA and More: Welcome to the World of DC Lifetime Income

Business of Benefits

What DB Benefits Can Retiring Teachers in California Expect to Receive?


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.