As a result of the indexing rules provided by law, the maximum guarantee limits for single-employer plans that fail in 2024 will be 5.30% higher than the limits that applied for 2023. A table showing the 2024 guarantee limits for various ages and payment forms is available. The guarantee limits for multiemployer plans are not indexed and have not changed.  MORE >>

"SECURE 2.0 has provided new options for plan sponsors when distributing notices to plan participants.... Effective for plan years beginning after December 31, 2022, plan sponsors of defined contribution plans now have the option to forgo providing notices to those eligible but not participating and with no account balance, providing [certain] conditions are met."  MORE >>

"It's not enough to just have the right insurance coverage. Organizations need to institute the right internal governance processes to manage their Fiduciary liabilities.... [1] Prepare proactively ... [2] Gather and document comprehensive records ... [3] Benchmark fees & monitor performance ... [4] Review fiduciary training regularly."  MORE >>

"The [DOL] has denied that it planned to increase investigative efforts targeted at brokerage windows following the release last year of a compliance assistance bulletin [which implied] that investigations would extend to plans that offer cryptocurrency through a brokerage window."  MORE >>

"Despite near-universal practice and IRS guidance allowing forfeitures to reduce employer contributions, lawsuits filed in California allege this violates ERISA fiduciary duties.... It's hard to take a case like this seriously, given that its theory of the law is at odds with both a nearly universal practice and the IRS's regulatory position.... [P]laintiff's claims are made under ERISA, not under the Tax Code, and it is conceivable (although unlikely) that a court might hold that a practice permissible under a qualified plan for purposes of tax qualification might nevertheless be illegal under ERISA." [Dimou v. Thermo Fisher Scientific, No. 23-1732 (S.D. Calif. complaint filed Sep. 19, 2023); Rodriguez v. Intuit, Inc., No. 23-5053 (N.D. Calif. complaint filed Oct. 2, 2023)]  MORE >>

"A second consecutive month of declines in financial markets during September 2023 lowered the estimated funded status of the 100 largest U.S. public pension plans from 75.3% as of August 31, 2023, to 73.2% as of September 30, 2023[.]"  MORE >>

"The proposed methodology [for measuring pension liabilities for single employer plans] represents a significant improvement over the current methodology ... The Committees believe that the use of the prior month-end pricing basis for valuation dates during the following month is reasonable ... The Committees agree that a simplified expense assumption is a good idea but would note that the expense level implied by deferred annuity contracts is typically higher than for immediate contracts."  MORE >>