"The Issue Snapshot includes audit tips that reflect elements of reviewing a plan for excess deferrals, such as determining if the plan sponsor is a member of an affiliated service or a controlled group to determine if employees can participate in more than one plan. The IRS also recommends inspecting the plan document to determine the maximum elective deferrals participants can make, including catch-up contributions, and inspecting payroll and tax reporting records to ensure each participant complies with the annual deferral limit in effect for the year."  MORE >>

"The [IRS] reminds individual retirement arrangement (IRA) owners age 70½ and older that they can make up to $105,000 in tax-free charitable donations during 2024 through qualified charitable distributions. That's up from $100,000 in past years. For those age 73 or older, qualified charitable distributions (QCDs) also count toward the year's required minimum distribution (RMD)."  MORE >>

"In this instance, the court properly applied bedrock principles of policy interpretation to come to the right result -- the insuring agreement could be triggered without a third-party claim, particularly here where the 401(k) plan's qualified status was in jeopardy, which in turn made North American 'legally obligated' to make the corrective payments." [North American On-Site, LLC v. Zurich American Ins. Co., No. 22-12495 (11th Cir. Oct. 28, 2024)]  MORE >>

"A federal bankruptcy court ... denied a motion from Yellow Corp.'s largest shareholder, MFN Partners, to reconsider its ruling that the defunct less-than-truckload carrier is on the hook for claims from pension funds potentially totaling billions of dollars. The claims stem from Yellow's abrupt withdrawal from the multiemployer plans covering its former employees. Judge Craig Goldblatt's Tuesday opinion echoed the court's Sept. 13 ruling, which said [the PBGC] had the authority to set up guidelines to ensure a 2021 federal bailout package wouldn't be used to allow an employer to escape withdrawal liability." [In re Yellow Corp., No. 23-11069 (Bankr. Del. Sep. 13, 2024; reconsideration denied Nov. 12, 2024)]  MORE >>

"The arguments have evolved over the past three to five years from straightforward claims of excessive fees to allegations of specific gaps or failures in the decision-making process of the fiduciary committee. Lawsuits also challenge ancillary services offered to participants, such as managed accounts."  MORE >>

"The House has passed a bill (HR 82) to repeal the Social Security government pension offset and windfall elimination provision, the farthest the repeal effort has advanced over the four decades since those provisions became law.... The bill now moves to the Senate, where its fate is uncertain. A counterpart bill (S 597) there has 62 cosponsors -- more than enough to overcome a potential filibuster -- but it is unclear whether that chamber will call a vote before the current Congress ends. If it doesn't the process would have to start anew in January."  MORE >>

"[1] Give businesses flexibility to change their plan type ... The language of SECURE 2.0 does not allow plan sponsors to change from a standard 401(k) plan to a Starter 401(k).... [2] Raise the annual Starter contribution limit."  MORE >>

"[1] Tax cuts could affect benefits credits ... [2] End to fiduciary rule ... [3] ESG rule repeal ... [4] Preventive care policy shifts ... [5] Rollback of trans healthcare protections."  MORE >>