BenefitsLink.com logo
EmployeeBenefitsJobs.com logo

Retirement Plans Newsletter

October 27, 2022

6 New Job Opportunities 6 New Job Opportunities

 

[Guidance Overview]

IRS Issues Important Guidance with Respect to Required Minimum Distribution Regs

"This transitional relief may be an indication that the IRS is not considering modifying its position on the timing of distributions during the 10-year period with respect to the death of an employee, IRA owner, or eligible designated beneficiary, or it may simply be a recognition by the IRS that taxpayers did not anticipate the IRS's taking the position it adopted in the proposed regulations."  MORE >>

The Wagner Law Group

[Sponsor]

Please take EI’s Retirement Plan Compliance survey today!

Help the Enterprise Iron team understand how recent legislative changes surrounding Plan Documents have impacted our industry. The data will be used during our upcoming session at The SPARK Forum on November 7th. Take the survey now. Thank you!

Sponsored by Enterprise Iron

Court Finds No ERISA Liability for Plan Provider Who Delivered Self-Interested Rollover Advice

"Although the Court declined to impose ERISA's fiduciary obligations onto TIAA, the decision proved informative. First, the plaintiffs' bar is targeting service providers, and potentially plan sponsors, for representations and fees relating to rollovers. Second, much of the Court's reasoning was based on whether to apply retroactive effect to current DOL guidance, and had that guidance applied, the outcome may have been different." [Carfora v. Teachers Insurance and Annuity Association of America, and TIAA-CREF Individual & Institutional Services, LLC, No. 21-8384 (S.D.N.Y. Sep. 27, 2022)]  MORE >>

Jackson Lewis P.C.

U.S. Bias Has Demolished Retirement Accounts in 2022

"Around 41% of U.S. retirement accounts' mutual fund investments are in funds focused on U.S. stocks, and another 40% is held in hybrid funds and bond funds.... [T]his home bias had actually helped U.S. advisors in the recent past, because companies in the U.S. have delivered a good return. But ... the same strategies that helped U.S. investors over the past decade are now harming them."  MORE >>

ThinkAdvisor

Milliman Pension Buyout Index, October 2022

"Estimated competitive retiree buyout cost, as a percentage of accounting liability, increased by 320 bps from 96.9% to 100.1% during September"  MORE >>

Milliman

Market 'Fear Factor' Has Retail Annuities Booming. Can In-Plan Options Catch the Tailwind?

"Market volatility is contributing to record sales of retail annuities. But in-plan annuities to provide guaranteed income in retirement are mostly still on the horizon due to lack of product maturity and adviser hesitancy."  MORE >>

planadviser

[Opinion]

Thinking ESOPs: Courts Are Not Conducting the 'Context-Specific' Inquiry That Supreme Court Opinions Require

"In ESOP cases, at the pleading stage, courts should be forcefully petitioned to conduct the context-specific inquiry into a complaint's allegations that Congress intended, ERISA demands, and the Supreme Court has required.... [C]ourts should be provided education materials to help them understand precisely what ESOPs are, and what they are not, because the character and aims of an ESOP are vital to understanding the scope of an ESOP fiduciary's fiduciary obligations."  MORE >>

Faegre Drinker

[Opinion]

Imagining a World Without QPAM

"There are some clues sprinkled throughout the preamble that shed some light on the underlying biases that seem to be driving the DOL's efforts. An examination of these clues reveals, however, that the DOL's 'solutions' are likely unwarranted; there is nothing so broken as to require such a radical fix."  MORE >>

Fried Frank

Benefits in General

Recent Successful Challenges to IRS Actions and Positions (PDF)

14 page.s "With respect to both the notice and comment period requirements of the Administrative Procedure Act and its expansive reading of the substance-over-form doctrine, the IRS has suffered appellate court losses with respect to employee benefit plans in recent years. Situations in which these types of challenges can be made are not a staple feature of the employee benefits practice of most practitioners, but in a situation in which it appears IRS may have exceeded its authority, it is important to know the types of procedural and substantive challenges to IRS actions that can be successfully advanced."  MORE >>

The Wagner Law Group, via New York University 2022 Review of Employee Benefits and Executive Compensation

Employee Benefits Jobs

View job as Senior Plan Consultant
            for Sentinel Benefits & Financial Group

Senior Plan Consultant

Sentinel Benefits & Financial Group

Remote / Wakefield MA

View job as Senior Plan Consultant for Sentinel Benefits & Financial Group

View job as Plan Consultant
            for Sentinel Benefits & Financial Group

Plan Consultant

Sentinel Benefits & Financial Group

Remote / Wakefield MA

View job as Plan Consultant for Sentinel Benefits & Financial Group

View job as Senior Defined Contribution Consultant
            for Loren D. Stark Company

Senior Defined Contribution Consultant

Loren D. Stark Company

Remote

View job as Senior Defined Contribution Consultant for Loren D. Stark Company

View job as Documents Consultant
            for Newport, an Ascensus Company

Documents Consultant

Newport, an Ascensus Company

Remote / Minneapolis MN

View job as Documents Consultant for Newport, an Ascensus Company

View job as Enrolled Actuary
            for FuturePlan, by Ascensus

Enrolled Actuary

FuturePlan, by Ascensus

Remote

View job as Enrolled Actuary for FuturePlan, by Ascensus

View job as Intermediary Sales Consultant
            for T. Rowe Price

Intermediary Sales Consultant

T. Rowe Price

Owings Mills MD

View job as Intermediary Sales Consultant for T. Rowe Price

Selected New Discussions

Excess Deferral But W-2 Is Correct - 5330 Needed?

"Client, through payroll error contributed more than $26,000 for 2021; but took the deduction for only $26,000 and that is what the W-2 shows. Error most probably made with the last payroll in December, but all deposits for 2021 were made in 2021. Just because it does not make sense to take the excess out of the plan then put it back in one week later I don't think negates the fact that there was an excess, but it was cured in less than a week. Still need a 5330 and payment of the excise tax? Of course the accountant told the client not to worry about it, leave it alone because it was not an over-deduction, count the contribution for 2022, and hope they don't get audited."

BenefitsLink Message Boards

Plan Does Not Want to Make Safe Harbor Contribution -- What Happens?

"I have a plan that is asking if they can not to a Safe Harbor (3% NE) contribution for 2022. Their document states that there will be a SH contribution But only if the plan sponsor provides a follow-up notice. I have not seen that language before on an adoption agreement. I'm not sure if that qualifier gets them out of having to make one,Edited: they did not distribute the notice last year Also, if they are supposed to make the contribution and do not, The plan is out of compliance, but I'm not sure what would happen after that."

BenefitsLink Message Boards

Press Releases

The Plan Sponsor University Announces New Service for 401(k) and 403(b) Plan Sponsors

The Plan Sponsor University [TPSU]

Finnegan Honored With ASPPA’s Harry T. Eidson Founders Award

ASPPA [American Society of Pension Professionals & Actuaries]

Last Issue's Most Popular Items

2023 Quick Benefit Facts (PDF)

Mercer

IRS Provides Relief for 2021 and 2022 Post-Death Required Minimum Distributions Under 10-Year Rule

Morgan Lewis

2023 IRS Limits for Retirement, Social Security, and Health Benefits; 2023 PBGC Premiums

Milliman

Unsubscribe  |   Change Email Address

Search Past Issues   |   Privacy Policy

Submit an Article   |   Contact Us   |   Advertise Here

Copyright 2022 BenefitsLink.com, 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 BenefitsLink.com, 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 BenefitsLink.com and EmployeeBenefitsJobs.com are offered as a service to our readers. We are not involved in their production and are not responsible for their content.