"The multiplier for 2023 is 1.07745. The adjusted maximum amounts are $2,586 for section 4071 penalties and $345 for section 4302 penalties."  MORE >>

"Beginning with taxable years starting on or after January 1, 2024, ... catch-up contributions for 'higher-paid participants' must be made as Roth contributions.... This new rule introduces a new definition of compensation and a new group of participants for recordkeepers to track, which will significantly complicate plan administration.... Plan sponsors who allow catch-up contributions but have resisted adding Roth deferrals may face a difficult decision -- either stop allowing any catch-up contributions beginning in 2024 or add Roth deferrals to the plan."  MORE >>

"A participant who misses the deadline for taking an RMD will owe the IRS an excise tax on the shortfall. SECURE Act 2.0 reduces the excise tax rate from 50% of the RMD shortfall to 25%. The penalty is further reduced to 10% if [certain] requirements are met:"  MORE >>

"No specific deadline for self-correcting failures ... Expanded definition of failures eligible for self-correction ... Expanded availability of self-correction ... Expansion of retirement vehicles eligible for self-correction ... Specific additional relief for self-corrected plan loan failures ... Permanent safe harbor for correcting certain elective deferral failures involving automatic contribution features ... New relief and rules for correcting plan overpayments."  MORE >>

9 pages. This article summarizes the changes that impact: [1] Access to retirement plans; [2] Withdrawals and distributions; [3] Individual Retirement Accounts (IRAs); [4] Small employers, SIMPLE plans and SEPs; [5] Pooled Employer Plans (PEPs) and Multiple Employer Plans (MEPs); [6] Employee Stock Ownership Plans (ESOPs); and [7] 403(b) plans and governmental plans.  MORE >>

"The changes outlined [in this chart] will require all existing plans to make operational changes in order to administer their plans in compliance with mandatory provisions in the law, some of which take effect as early as 2023."  MORE >>

"The proposal updates the agency's regulation governing electronic participant elections ... IRS has granted immediate reliance on the proposal, which has a few substantive changes -- including an apparent narrowing of the scope -- from the 2020 temporary relief that expired Dec. 31, 2022. Comments are due March 30."  MORE >>

"SECURE 2.0 will statutorily permit prudent and reasonable rules for withdrawals from a qualified plan that plan sponsors will have to implement or choose to implement immediately or over the next few years. [This article describes] seven key provisions of the new law regarding withdrawing funds from a qualified plan, and any subsequent optional or required repayments ... [A] few of the actions by participants executing the distributions may require a review of their personal federal income tax filings. State of residence personal income tax rules could also be affected."  MORE >>

"When paying a dividend, the corporation pro rates the payment, in cash, to all shareholders; so if a plan owns 99% of the corporation, the plan would receive 99% of the total dividend paid out. The ROBS participant would then be able to invest the dividend in traditional (non-ROBS) 401(k) investments offered within their retirement plan. In this way, dividends help the ROBS owner leverage their company investment to diversify their retirement savings."  MORE >>

"The relentless growth of PERS debt means yet another rate hike for Nevada public employees -- most of whom are now paying the highest PERS rates in the nation."  MORE >>

"50% of respondents say they had to pause saving for retirement at some point in 2022. Furthermore, 41% of those surveyed have stopped contributing to retirement funds like 401(k)s or individual retirement accounts. What's more, almost one-third (32%) have had to withdraw money from their retirement savings to keep up with rising expenses and rethink their financial plans."  MORE >>

"Employers continue to absorb healthcare premiums and other costs.... Virtual primary care will continue to take off as the next generation of telehealth.... Companies may need to manage through significant change as they right-size their organization in line with current market conditions.... Employers continue to reduce expenses in defined contribution plans.... The pace of defined benefit plan terminations increases.... Pension plan sponsors begin to implement income distribution options in their defined contribution plans."  MORE >>