"Current QPAMs and asset managers who anticipate relying on the QPAM Exemption in the future are advised to review their existing compliance procedures to determine whether they will continue to satisfy the QPAM Exemption's requirements (including the updated financial thresholds and notice requirement), create or revisit their existing recordkeeping policy to align with the six-year required maintenance of records and accessibility for examination, [and] prepare to notify the DOL of their intent to continue to act as a QPAM[.]"  MORE >>

"While SECURE 2.0 provided the basic framework to establish PLESAs, the IRS was required to issue regulations to address remedies that employers can use to prevent misuse of these types of accounts. [DOL FAQs] supplement Notice 2024-22 and are meant to help employers and participants understand and benefit from the new law."  MORE >>

"The regulations are already being challenged by an advocacy group for independent insurance professionals claiming that the final rule creates heavy compliance burdens and hurts their ability to make commissions by unlawfully turning insurance agents into ERISA fiduciaries.... The DOL responded to these and other numerous comments during the regulatory process and made certain changes and clarifications ... that narrow the contexts in which a covered recommendation will constitute ERISA fiduciary investment advice." [Federation of Americans for Consumer Choice Inc. v. DOL, No. 24-0163 (E.D. Tex. complaint filed May 2, 2024)]  MORE >>

"At the time of his enrollment in the plan [in 1987], Rolison named his-then-girlfriend and cohabitant as the sole beneficiary. The couple broke up in 1989 -- but Rolison never changed the beneficiary designation.... Judge Mehalchick noted that Rolison was aware of how to change his beneficiary designation, but that 'even with notice and directions how to do so, Rolison never designated a new beneficiary for his P&G investment plan.' " [The Procter & Gamble U.S. Business Services Co. v. Estate of Jeffrey Rolison, No. 17-0762 (M.D. Penn. Apr. 29, 2024)]  MORE >>

"In most cases, ESOP plan design starts with the assumption that distributions should resemble the form and timing for distributions from profit sharing plans or other plans sponsored by the employer.... Often, single sum distributions are called for in the document to allow distributees to take advantage of capital gain treatment for the appreciation in the stock's value -- a sound, but often impractical planning point because of the financial pressure a single sum distribution can place on the company."  MORE >>

"Ann Y. Orr has been designated by President Biden to serve as the acting director of the [PBGC].... Since June 2021, Orr has served as the chief policy officer overseeing the coordination of policy development, research, and legislative affairs, as well as agency communications and interactions with PBGC stakeholders."  MORE >>

"The lawsuit was filed as a result of violations under [ERISA] and the pension plan's failure to honor the settlement agreement, which was negotiated to guarantee continued payments to participants and beneficiaries of the plan, following the PBGC's 2017 determination the plan should be terminated." [PBGC v. Fay Construction Co. Inc., No. 24-1860 (E.D. Penn. complaint filed May 1, 2024)]  MORE >>

"Having a [written information security plan (WISP)] protects businesses and clients while providing a blueprint of action in the event of a security incident. In addition, a WISP can help if other events occur that can seriously disrupt a tax professional's ability to conduct normal business, including fire, flood, tornado, earthquake and theft. The Security Summit developed a plain language sample plan that tax pros can use for guidance in making their own WISP. The sample plan is available on the IRS website]."  MORE >>

"While the exceptions for government and church plans serve important policy objectives, they also present challenges and potential consequences."  MORE >>

"The compensation at issue relates to Merrill Lynch's WealthChoice Contingent Award Plan, which holds a portion of each advisor's commissions for eight years, called the 'vesting period.'... Milligan contends that WealthChoice is an employee benefit pension plan, per ERISA, and not a bonus incentive plan that can be forfeited subject to managers' discretion. The firm disagrees.... The charges are similar to others filed by advisors who moved firms, and may be part of a growing trend." [Milligan v. Merrill Lynch, Pierce, Fenner & Smith, Inc., No. 24-0440 (W.D. N.C. complaint filed Apr. 30, 2024)]  MORE >>