logo logo

Retirement Plans Newsletter

August 15, 2022

4 New Job Opportunities 4 New Job Opportunities


[Guidance Overview]

Proposed QPAM Amendment Would Expand Criminal Disqualification Rules and Add Contractual Protections for Plans

"[T]he amendment would codify the DOL's interpretation that foreign crimes substantially equivalent to the enumerated U.S. offenses result in disqualification. The amendment would also add categories, short of actual crimes, permitting the DOL to strip a manager of QPAM status. The Amendment would require QPAM management agreements to indemnify plan clients against losses resulting from the QPAM's disqualification, and impose a mandatory one-year winding down period following disqualification to help plans mitigate disruptions from changing advisors."  MORE >>

Debevoise & Plimpton LLP

Seventh Circuit: Alight Solutions Must Respond to DOL Subpoena in Investigation of Cybersecurity Breaches

"[T]he court found that whether Alight is a fiduciary does not impact the DOL's investigatory authority under 29 U.S.C. Section 1134(a)(1).... The court also found that Alight's estimate that complying with the subpoena 'would require thousands of hours of work' did not demonstrate undue burden.... Lastly, the court found that the district court did not err by denying Alight's protective order ... Alight did not show how its disclosure to the DOL would result in disclosure to a third party." [Walsh v. Alight Solutions LLC, No. 21-3290 (7th Cir. Aug. 12, 2022)]  MORE >>

Roberts Disability Law

Using a Pension Plan to Improve Workforce Retention

"Even though we are using the retirement plan for improving retention, some of the solutions are not just for older more experienced employees. There are useful tools for retaining early and mid-career employees as well."  MORE >>


Annuity Purchase Update, August 2022

"The average Annuity Purchase Interest rates slightly dipped this past month, with the average duration 7 rate at 3.78% and average duration 15 at 3.93%.... [A]nnuity purchase costs relative to pension accounting value (GAAP PBO) has narrowed ... Pension Risk Transfer market activity is at a record high in the first half of 2022, with the number of transactions nearly double than the first half of 2021."  MORE >>

October Three Consulting

GAO Will Investigate the Troubled TSP Recordkeeper Transition

"Since June 1, when the TSP moved its recordkeeping services to a new provider ... participants have reported difficulty setting up and logging into their accounts, finding account information and historical documents, and confirming their beneficiary choices ... Officials have said the contractor that operates the ThriftLine greatly underestimated the influx of calls they would receive and didn't have enough staff to handle demand."  MORE >>

Government Executive

How Should Purchasing an Annuity Affect Your Retirement Portfolio Investment Mix?

"Changes in your present value of essential expenses, your present value of non-financial floor plan assets or your accumulated savings can affect how you allocate your accumulated savings between risky and non-risky investments."  MORE >>

Ken Steiner, FSA Retired


Why Old Fashioned Good Faith, and Not Regulation, Is the True Key to a Well-Run ESOP

"When those running an ESOP are acting in good faith, mistakes may happen, but overall, the goals of the ESOP structure ... are accomplished.... Valuation is a regulated activity ... but it also is, in many ways, subject to the honor system -- with much of the litigation involving ESOPs originating from someone trying to manipulate valuation[.]"  MORE >>

Stephen Rosenberg, The Wagner Law Group


How Woke Capital Politicized Your Retirement Account

"BlackRock and other giant firms use your money to advance ESG ideas you may not agree with, even if you own index funds. Vivek Ramaswamy has brought an alternative to the market."  MORE >>

The Wall Street Journal; subscription may be required

Benefits in General

ERISA Ruling Rightly Addresses Civil Procedure Hurdle

"[I]nstead of plenary hearings, ERISA claims are mostly conducted as record review proceedings. That means courts generally disallow the introduction of any evidence not previously introduced during the claim process. On July 29, a federal appellate court ruled that a district court's preclusion of additional evidence proffered by the plaintiff in an ERISA benefits case was erroneous." [Harris v. The Lincoln National Life Ins. Co., No. 21-13186 (11th Cir. Jul. 29, 2022)]  MORE >>

DeBofsky Sherman Casciari Reynolds P.C.

What Freelancers Should Look for in Benefits: A Checklist

"With so many people opting to strike out on their own, ... some professional groups are setting up systems ... offering group health insurance and, in some cases, retirement funds. Similarly, the Freelancer's Union has arranged health, dental, disability and liability insurances (among others) for members. And various popular workforce management services offer health insurance options as well."  MORE >>


Employee Benefits Jobs

View job as Retirement Plan Administrator
          for Carpenter Morse Group Inc. Retirement Plan Administrator

Carpenter Morse Group Inc.


View job as Retirement Plan Administrator
          for Carpenter Morse Group Inc.

View job as Defined Contribution Plan Administrator
          for MGKS Defined Contribution Plan Administrator


Remote / AZ

View job as Defined Contribution Plan Administrator
          for MGKS

View job as Defined Contribution Plan Administrator (Entry Level)
          for MGKS Defined Contribution Plan Administrator (Entry Level)


Phoenix AZ

View job as Defined Contribution Plan Administrator (Entry Level)
          for MGKS

View job as Pension Consultant
          for Pension Associates Pension Consultant

Pension Associates

Remote / Stamford CT

View job as Pension Consultant
          for Pension Associates

Selected New Discussions

Getting Back a Small Overpayment That Shouldn't Have Been Deposited in the First Place

"The plan sponsor calculates and deposits the employer contribution per pay period. For this particular participant, they calculated it incorrectly and deposited $30 too much for the 2021 calendar plan year. Unfortunately, the plan has immediate distributions; by the time we got to do the reconciliation, the participant had terminated and taken a distribution. Sure, the plan could try and get the money back because it was an excess distribution... but that would be returning money to the plan that didn't belong there in the first place. Similarly, if the participant balks at returning it, we'd normally instruct the plan sponsor to deposit $30+earnings to the forfeiture account... but, again, that's $30 that shouldn't have been there at all. Is there any justification for letting this go? I need a justification because it's an audited plan, so I have to be able to back this up to the audit team. Thanks."

BenefitsLink Message Boards

How to Enforce RMD Requirements in a DB Plan?

"Any thoughts on what to do if a plan participant who should be receiving RMDs does not apply for benefits in a defined benefit plan, even after numerous reminders? The application would include an election of a specific form of benefits and providing bank account information for the deposits. I'm assuming that one should then start providing benefits in the form of a joint and survivor annuity, or a life annuity if the person is not married, using paper checks. (It's actually a governmental plan, so a joint and survivor annuity does not have to be the default form, but that would at least satisfy the RMD requirements.) But if the person later wants to select a lump sum form, can they be permitted to do so if the plan otherwise does not permit a change of elections after beginning to receive benefits? Alternatively, can they be forbidden from making the election (because obviously there is the potential for adverse selection if participants can elect a lump sum after starting a J&S)? Also, what happens if checks are sent but never cashed? There are procedures for dealing with missing participants, but I have not located any for dealing with participants whose whereabouts are known but who simply ignore checks."

BenefitsLink Message Boards

Webcasts and Conferences
(Retirement Plans / Executive Compensation)

Don't Forget the Disclosures: What's Required to Keep Plan Participants and Beneficiaries Informed

August 24, 2022 WEBCAST

Multnomah Group

2022 Annual Meeting

October 16, 2022 in TX

Conference of Consulting Actuaries

Last Issue's Most Popular Items

2023 IRS Limits Forecast Update


Employee Deferrals and Employer Contributions on Bonus Payments May Pose Challenges (PDF)

Groom Law Group, via Bloomberg Tax Management Compensation Planning Journal

BlackRock 401(k) Investment Suits Send Message 'Nobody's Safe'

Bloomberg Law

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.