"These LRMs contain quite a few changes, from simple clarifications and explanatory notes, to more substantive revisions to plan language reflecting changes arising from the PATH, SECURE and CARES Acts. While the LRMs are intended for 403(b) plans that use 'pre-approved' plan documents, sponsors of individually designed 403(b) plans also frequently look to the LRMs for insight into what the IRS views as acceptable plan language."  MORE >>

"With the regulations, however, come detailed rules on how to comply with what appears to be an even more complex regulatory scheme, now with two required beginning dates (RBDs) under a single plan, which depend on when the participant was born, and different death benefit rules depending on the type of plan and when payments to the participant commenced. With plan qualification and a 50% excise tax on participants on the line, the stakes are high to get compliance with these rules right."  MORE >>

"Proposed IRS regulations would implement two significant changes to the rules for required minimum distributions (RMDs) under Internal Revenue Code (IRC) Section 401(a)(9).... Those changes include an increase in the age that triggers RMDs from 70-1/2 to 72 and new limits on life expectancy distributions to defined contribution (DC) plan beneficiaries.... The proposal also reflects various other statutory changes, including updates to the regulations on rollover distributions under IRC Section 402(c)."  MORE >>

"[A] key trend this year is that cybercriminals' focus has moved from acquiring data to compromising organizational operations.... Account takeover attacks are on the rise ... done through member and employer portals."  MORE >>

"One provision designed to encourage retirement savings for low-income workers is the Retirement Savings Contribution Credit (Internal Revenue Code Section 25B), commonly referred to as the Saver's Credit. This In Focus provides an overview of the credit and a brief discussion of the credit's effectiveness, in the context of various policy options, including those under consideration in the 117th Congress." [IF11159, updated Apr. 22, 2022]  MORE >>

"Whether there is an uptick in plan audit and enforcement activity or implementation of increased fee disclosure requirements related to QDROs remains to be seen. Regardless, it would be prudent to revisit plan QDRO services, procedures, and communications, and to evaluate the reasonableness of related fees and fee allocations, to make any desired improvements, and ensure that the plan's QDRO procedures are compliant with applicable guidance and that the process serves the intended goals."  MORE >>

"QLACs' attractions are mixed. Wealthy retirees might appreciate the potential for RMD deferral, but they're less likely to need or value the lifetime income benefit. Meanwhile, less-affluent retirees might appreciate the lifetime income aspect of a QLAC but value the tax features less."  MORE >>

33 pages. "The worst-case mortality scenario in the perturbation analysis corresponds to an improved mortality trajectory, implying that a retiree's aversion against mortality uncertainty is translated into the fear of longevity risk in retirement planning.... Even under the presence of mortality model uncertainty, annuitization can still induce a noticeable increment in utility. The optimal annuity payout pathway increases over time as mortality rate grows and more uncertainty about the future is resolved during the later stage of retirement."  MORE >>

"The Society of Actuaries Retirement Section is pleased to make available material that addresses the challenges in communicating pension risk to stakeholders. The project was a multi-phase effort, including a literature search [report and results] and expert interviews."  MORE >>

"Minimize the taxes on your Social Security benefits ... Consider the benefits of a Roth conversion ... Plan now for your surviving spouse ... Avoid tax risk with a plan."  MORE >>

"[W]hen you are near or in retirement, it's best to limit your risk as much as possible.... [B]uild an income plan based on such factors as the lifestyle you want and the income you need to sustain that lifestyle.... Be proactive with tax planning ... Factor in healthcare, long-term care and estate planning."  MORE >>

"This is a hard time to retire. The market is down 7% from last year and the rate of inflation has risen to 8.5%. Both are brutal to your bottom line when you're on a fixed income.... As bad as things seem, odds are you are in better shape than your parents or grandparents were. And if they got through retirement comfortably, so will you.... Greater access to retirement accounts means people are retiring with more money than before.... More money translates to more income in retirement."  MORE >>

"[H]euristics can often result in errors due to the influence of cognitive biases that may influence a decision-maker's judgment. Common cognitive biases that influence decisions include Confirmation bias ... Anchoring bias ... 'Halo effect' ... [T]hese three cognitive biases often come into play in the fiduciary decision-making process. The most notable example of this is the refusal of plan sponsors to listen to anyone other than their existing plan advisers and their refusal to consider alternative options."  MORE >>

"Prioritize consistent and clear communication ... Keep working for human connection ... Hire hybrid talent with purpose ... Set productivity and workflow expectations ... Don't compromise culture."  MORE >>