"[T]he IRS indicated that CP 283-C penalty notices distributed by the agency may have been issued in error. The bulletin further advises plan sponsors that if Form 8955-SSA was timely filed, there is no need to respond to penalty notices dated prior to September 1, 2023."  MORE >>

Topics include:

• Single Employer Program: Reportable events experience; Standard termination audit experience; De-risking; Missing participants experience.
• Multiemployer Program: Special Financial Assistance.
• Regulatory Agenda.
• Fiduciary Education Project.
• Other: Early warning program; Foreign controlled group members; SECURE 2.0.

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"Plans may continue to offer or not offer designated Roth contributions and catch-up contributions without the new Roth catch-up contribution requirement applicable to high-paid participants until 2026 The IRS intends to issue future guidance on implementing the required Roth catch-up contribution for high-paid participants"  MORE >>

"[IRS Notice 2023-54 provides:] [1] the pending RMD regulations (for all plan types) will not be effective before the 2024 distribution calendar year; [2] relief for errors with respect to the [SECURE 2.0] 'required beginning date' change ... and [3] no 2023 RMD payments need to be made for beneficiaries receiving 'specified RMD' payments ('at least as rapidly' rule relief)."  MORE >>

"PBGC staff reported that reportable events filings during fiscal year 2022 (ending September 30, 2022) were down about 30% from the preceding fiscal year ... PBGC staff addressed common errors detected in standard termination audits, including the rollover of small benefits (valued at $5,000 or less) to IRAs for non-responsive participants rather than, as required, payment to PBGC's Missing Participants program ... PBGC staff reported that 78 initial or supplemental applications for SFA had been approved since the advent of the program (covering 574,000 participants and accounting for $47.4 billion in SFA)[.]"  MORE >>

"The [DOL] has sent a new, proposed fiduciary rule to the Office and Management and Budget (OMB) for review. The text of the proposal is not yet public. OMB must first conduct an interagency review process. The proposal will then be returned to DOL and published in the Federal Register. The entire process can be completed in a matter of weeks, but it typically takes a number of months."  MORE >>

"For plan years beginning on or after January 1, 2023 ... when counting the number of participants in the plan to determine if an audit is needed, only participants/beneficiaries who have an account balance must be taken into account. This is a change from the current rule which requires that you count all employees eligible to participate in the plan whether or not they actually participate in the plan. Plans may continue to use the '80 to 120 Participant Rule' to avoid audits."  MORE >>

"It's not a profitable economic opportunity to sign up new participants in multi-vendor K-12 public school 403(b) plans, as currently structured. Enrollments are subsidized by predatory ancillary sales and mostly unneeded exchanges.... Let's talk about the economics of signing up new employees."  MORE >>

"[If] you are pursuing a benefits claim under an ERISA-governed plan, you cannot seek any other damages besides the benefits due under your plan, as well as an award of pre-judgment interest and/or attorneys' fees, at the discretion of the court. Unlike ordinary insurance litigation, extra-contractual bad faith damages are unavailable under ERISA.... Equitable relief may be sought when a claim for benefits is not available under the plan's terms, or in addition to a claim for benefits, so long as the alleged injury and/or requested relief is not duplicative. "  MORE >>