"EBRI's data suggests that 401(k)s could collectively preserve a whopping $1.9 trillion in participant retirement savings by enrolling participants who take out loans from their 401(k) into 401(k) loan protection, which protects employees from defaulting. According to the analysis, a typical 401(k) loan default will cost, over the course of a career, more than $150,000 for average borrowers ages 25 to 34, more than $184,000 for borrowers ages 35 to 44, more than $194,000 for borrowers ages 45 to 54 and more than $195,000 for borrowers ages 55 to 64."  MORE >>

"[1] Recordkeeping technology that offers a seamless user experience, regardless of plan size.... [2] Exceptional recordkeeping service and expertise.... [3] A commitment to the needs of the plan sponsor and plan participants."  MORE >>

"Modest positive investment returns were combined with the reduction in liabilities due to a significant increase in discount rates. As a result, the end-of-March index level of 95.9 reflects an increase of 5.0% for the month."  MORE >>

"Discount rates continued to push higher during March largely due to increases in Treasury yields. Even with the war in Eastern Europe, equity markets, while volatile, ended the month in positive territory. The significant rise in discount rates so far in 2022, increases which are pushing close to 1% year-to-date, have fueled funded status increases for almost every pension plan sponsor."  MORE >>

"[The Protecting America's Retirement Security Act of 2022 (HR 7310)] would [1] require the [DOL] to examine fee disclosure regulations for defined contribution plans and explore ways to enhance participants' understanding of fees; [2] expand existing spousal protections for defined benefit and defined contributions plans ... and [3] modify safe harbors in [ERISA] and the Internal Revenue Code to urge plan sponsors to re-enroll non-participants at least once every three years, unless the individual affirmatively opts out each time."  MORE >>

"Retirements accounted for the greatest drop in labor force participation in March, further aggravating an already tight labor market ... That reverses a trend that saw retired workers coming back into the workforce during the latter part of 2021, following a mass exodus of those older workers during the first stages of the coronavirus pandemic."  MORE >>

"With tens of millions of individual participants in 401(k) plans, this law would require an in-person notarized consent for most distributions, putting an immense burden on the recordkeeping system ... If an individual needs to take a hardship distribution due to a medical emergency, repair their home following a disaster, or some other immediate financial need, this law would delay access to needed funds by days or even weeks due to the onerous consent requirements.... [An] employee may be unwilling to disclose a marital issue, preventing access to needed funds."  MORE >>

"The Humana plan fiduciaries did everything possible to ensure that the recordkeeping costs for their large plan were reasonable. They did two requests-for-proposal, which is two more than most plans. But they nevertheless have to spend millions of dollars to defend their sound fiduciary process based on the second-guessing of a plaintiff law firm whose business is to sue benefit plans and claim fiduciary malpractice. Having lost the motion to dismiss, Humana will now face pressure to settle for millions of dollars because the damage model, however counterfeit, is huge." [Moore v. Humana, Inc., No. 21-0232 (W.D. Ky. Mar. 31, 2022)]  MORE >>

"These penalties cover a wide range of benefit plan compliance failures. The DOL has discretion to impose lower penalties in some instances -- such as pursuant to programs designed to encourage Form 5500 filing -- so not all violations will result in the maximum permitted penalty. And while relief granted in connection with the COVID-19 public health emergency allows more time to provide certain disclosures, penalties could potentially be triggered if the terms of that relief are not met."  MORE >>