"This article focuses on the information that is needed to make a compliant rollover recommendation ... [A] best interest comparison of the participant's alternatives ... would compare the services, investments and expenses in the plan and the IRA in light of the participant's needs and circumstances. While the DOL guidance could be clearer, it does seem difficult to do a comparative analysis of costs without considering the investments and services in the plan and the IRA."  MORE >>

"[1] The RMD rules are more complicated than ever.... [2] Roth IRAs are even more attractive.... [3] Think twice before naming a trust as an IRA beneficiary.... [4] Good advice is essential."  MORE >>

"D9 [the successor to participating employer Division 9] filed the action in federal court, seeking a declaration that it did not owe any Withdrawal Liability to the IUPAT Fund, despite never initiating arbitration and never making an interim payment.... [T]he court held that ... the IUPAT Fund failed to connect the dots between Division 9 and D9.... The necessity of the employer's declaratory action, although ultimately successful, is a chilling reminder that all correspondence from MEPPs should be taken seriously, especially demands for Withdrawal Liability." [D9 Contractors, Inc. v. Int'l Painters & Allied Trades Indus. Pension Fund, No. 20-5140 (E.D. Wash. Mar. 2, 2022)]  MORE >>

"Nearly three-quarters (74%) of retirement plan participants said they would increase their contribution rate if offered sustainable investments, compared to 69% in 2021 ... [Participants] said they want their investments to be aligned with their values (87%), and that they see environmental, social and governance investments as a driver of performance (78%)."  MORE >>

"The House bill would enhance the credit by allowing 100% of the plan startup costs to be utilized in the year of credit for employers with 50 or fewer employees.... The House bill would also provide additional credit for small employer contributions made to a qualified employer plan."  MORE >>

"Like a Swiss Army Knife, an [ESOP] is a multi-purpose tool. It is a: [1] Tax-qualified, broad-based retirement plan; [2] Strategy to expand employee-ownership to help workers build wealth and 'think like shareholders'; [3] Shareholder exit strategy.... [This article] will attempt to provide a clear explanation of what an ESOP is and how an ESOP may be used to achieve a variety of business objectives, noting potential pitfalls, risks, and solutions along the way."  MORE >>

"The average top-100 corporate plan today is 96.4% funded. Currently, over 70% of the plans studied were at their highest-funded levels ever since the Great Recession. But the strategies that work for bridging a funding gap are not necessarily appropriate for better funded plans[.]"  MORE >>

"Last month, AME leaders stopped making payments to retirees after discovering alleged financial irregularities in the church's pension fund.... Church officials allegedly gave sole authority over the pension fund to the former head of retirement services for the AME with little or no oversight, according to [one] lawsuit. That led to investments in the purchase of Florida land, a loan to a solar panel installer and investment 'in a now non-existent capital venture outlet.' " [Alexander v. Harris, No. 22-00707 (D. Md. complaint filed Mar. 22, 2022)]  MORE >>

"AARP Foundation attorneys will act as co-counsel in a class-action lawsuit alleging the African Methodist Episcopal Church mishandled nearly $90 million in retirement funds ... The AME stopped making payments to retired ministers covered by its pension plan earlier this year after a 2021 audit found that two-thirds of the denomination's retirement funds had been lost in risky investments in a venture capital company and a real estate deal." [Alexander v. Harris, No. 22-00707 (D. Md. complaint filed Mar. 22, 2022)]   MORE >>

"[An American Academy of Actuaries (AAA) Issue Brief] provides excellent non-quantitative guidance 'intended to explain many considerations in retirement planning generally' ... [T]he general guidance set forth by the AAA can be important in establishing and testing key elements of a model that may be used in personal retirement planning."  MORE >>

"The share of people age over 55 either working or looking for a job ... rose to 38.9% in March from 38.4% in October, according to the [DOL]. More than 480,000 people in that age group entered the labor force during the past six months ... That was more than the 180,000 who entered the labor force in the six months before the pandemic struck."  MORE >>

"[T]wo articles that say participants could avoid $2 trillion in retirement savings 'leakage' if every borrower was automatically enrolled in insurance against plan loan defaults.... Apparently, this study did not consider how participants with commercial loans respond to an interruption of wages at separation.... [S]ince 70+% of separations may be voluntary, many who default will not qualify for insurance proceeds ... Seems like a candidate for moral hazard."  MORE >>