The July 31, 2024 ERISA 4044 Yield Curve is now available [XLSX]. This yield curve is used for 4044 calculations where the valuation date is on or after July 31, 2024 and before August 31, 2024. PBGC will update the Interest Assumption webpage monthly to reflect future yield curves.  MORE >>

"The information on Form 5498 is submitted to the IRS by the trustee or issuer of your individual retirement arrangement (IRA) to report contributions, including any catch-up contributions, rollovers, repayments, required minimum distributions (RMDs), and the fair market value (FMV) of the account."  MORE >>

"Things to keep in mind include: [1] Once RMDs begin for an IRA owner they must continue for a beneficiary upon the IRA owner's death; [2] Generally, there is not a deadline for a spouse beneficiary to treat a decedent's IRA as his/her own IRA ... [3] In a case where an IRA owner passes away without having fully satisfied his/her RMD for the year and there are multiple beneficiaries one of them can satisfy the RMD; and [4] The IRS will eventually release updated model documents and mandate an amendment of IRA agreements."  MORE >>

"The SEC Staff Bulletin ... covers recommendations to retail investors by broker-dealers and investment advisers. For rollover purposes, recommendations to participants are considered to be advice to retail investors. [This article describes] the differences between the DOL and SEC (and SEC staff) positions."  MORE >>

"Rules for aggregating annuity contracts.... Direct distributions to beneficiaries from see-through trust. ... Spousal election to be treated as the participant."  MORE >>

"[E]ven though the new DOL fiduciary rule is stayed, you will have to undertake a similar best interest process for rollover recommendations -- whether under the current DOL position or the SEC guidance. This article describes that process."  MORE >>

"The court admitted that burden-shifting was often employed under trust law because of 'the trustee's superior (often, unique) access to information about the trust and its activities.' However, 'ERISA is not the common law.' The court stated that it was obliged to 'give effect to the plain meaning of the statute' first, and only reluctantly incorporate trust law principles." [Pizarro v. Home Depot, No. 22-13643 (11th Cir. Aug. 2, 2024)]  MORE >>

46 pages. "The Defendants here sent statements to Pessin and the putative class members that included only one of two alternative calculations of their benefits, and the calculation they provided to Pessin did not reflect the amount he was actually entitled to receive.... Pessin adequately alleged that the JPMC Board breached its fiduciary duty through its failure to monitor the performance of the JPMC Benefits Executive with respect to the Benefit Statements. The district court therefore erred in dismissing Pessin's ERISA Section 404(a) claim against the JPMC Board in that narrow regard." [Pessin v. JPMorgan Chase U.S. Benefits Executive, No. 23-0025 (2d Cir. Aug. 13, 2024)]  MORE >>

"This duty is grounded in the principle of prudence ... aiming to spread investment assets across various asset classes to reduce exposure to any single risk or investment. Section 404(c) of ERISA requires Plan Sponsors offer participants at least three types of investments to satisfy the requirements of diversification: a money market or cash-like vehicle (i.e., stable value), a bond fund, and an equity fund."  MORE >>

"[C]reating a plan based on how long a client will live is most effective when both mortality and longevity risk factors are considered. Actuarial science offers tools that can help advisors assess these considerations so that they can adjust mortality assumptions and longevity expectations as part of an ongoing process of monitoring and updating a plan."  MORE >>

"Today, August 14, marks the 89th anniversary of Social Security.... [It's] clear that Social Security needs a modern upgrade to reflect new demographic and economic realities.... Opponents of benefit changes operate under the implicit assumption that the current program design cannot be improved. But we have ample evidence that it's time to retire the old benefit formula and replace it with one that more appropriately addresses the realities of 2024 rather than those that existed in 1935 when Social Security was introduced."  MORE >>

"[I[ndividuals and businesses in Vermont that were affected by severe storms and flooding that began on Aug. 8, 2024 ... now have until Feb. 3, 2025, to file various federal individual and business tax returns and make tax payments.... [I]ndividuals and households that reside or have a business in Addison, Bennington, Caledonia, Chittenden, Essex, Franklin, Grand Isle, Lamoille, Orange, Orleans, Rutland, Washington, Windham, and Windsor counties qualify for tax relief."  MORE >>

"[1] Determine if the FTC ban covers your industry.... [2] Determine which workers are exempt from the notice.... [3] Determine how to deliver the notice.... [4] Understand the difference between a non-compete, a non-solicit and a non-hire provision.... [5] Do not just adopt the Sample Notice you find online.  ... [6] Come up with a plan for what agreements you are going to put in place for new employees who join the company after September 3, 2024, if the Final Rule is not enjoined."  MORE >>