"Since payroll and recordkeeping services are generally provided by separate firms, the sponsor of a plan must often navigate between the preferences and service offerings of two vendors with differing objectives.... While the separate election approach may still work for some, sponsors should be fully aware of its operational risks and participant implications.... [T]he single election approach is a more robust solution, especially in the context of the Roth catch-up mandate. However, some payroll providers have voiced concerns about its complexity."  MORE >>

"Not all tax-related deadlines during the relief period are covered by IRS's extension. Examples include: [1] Making minimum required contributions under IRC Section 430; [2] Correcting failed minimum coverage and nondiscrimination tests; [3] Sending annual auto-enrollment and safe harbor notices; [4] Distributing Form 1099-R."  MORE >>

"[T]he court concluded that the plaintiff's theory was overly broad and implausible because it would require that the Company, as fiduciary, choose to pay administrative costs with forfeited funds every time it was 'given the option between using forfeited funds to pay administrative costs or reduce employer contributions.' The court emphasized that this result was contrary to the plan language and ERISA, and would impermissibly 'stretch the fiduciary duties of loyalty and prudence beyond the law and to create benefits beyond what was promised in the Plan itself.' " [Hutchins v. HP Inc., No. 23-5875 (N.D. Calif. Feb. 5, 2025)]  MORE >>

"In 1965, the late R&B great James Brown won his first Grammy Award with the classic song, Papa's Got a Brand New Bag. Sixty years later, a small but growing number of independent contractors and gig workers can sing a similar refrain. Their 'brand new bag' is a Portable Benefits Account, enacted in two states this year and pending in a few others."  MORE >>

31 pages. This installment contains tables summarizing information on PBGC"s Single-Employer and Multiemployer Insurance Programs, including tables which incorporate time-series data on PBGC's finances and operations involving Traditional and Special Financial Assistance payments. This year's Data Tables have been revised by consolidating/removing certain tables. The Pension Insurance Data Tables provide a comprehensive, longitudinal source of information on PBGC"s insurance programs. Excel (XLSX) format also available.  MORE >>

"Corporate pension funded status decreased in Q1 2025 by 2.1%. Bonds experienced positive returns as interest rates across the Treasury yield curve fell, notably in the 2- to 10-year range, causing bond prices to rally. As such, declining discount rates caused liabilities to increase."  MORE >>

"Ed will be fondly remembered by many in the NTSA, as well as by teachers and administrators who attended ASBO meetings over the years. He never missed an ASBO, whether it was during his tenure with the IRS, or later as a guest speaker."  MORE >>

"Approximately 200 employees of the Employee Benefits Security Administration have accepted recent resignation or retirement offers. EBSA had funding for about 889 full-time employees (FTE) in fiscal year 2024."  MORE >>

"To ensure the ability to quickly dispel a prohibited transaction claim, plan fiduciaries should consider taking the following steps: ... [1] Assess the viability of the plan sponsor covering recordkeeping costs instead of the plan.... [2] Maintain comprehensive documentation ... [3] Review and update fiduciary processes ... [4] [Be] prepared to articulate and demonstrate the applicability of an exemption at an early stage in the litigation." [Cunningham v. Cornell Univ., No. 23-1007 (S.Ct. Apr. 17, 2025)]  MORE >>

"What plans does ERISA cover (and exclude)? ... Key legal differences in ERISA vs. Non-ERISA plans ... Special considerations applied to different types of benefits (health, disability, and retirement) ... Determining ERISA plan status: how to know if ERISA applies ... Recent legal developments and impact ... When to seek legal guidance for an ERISA or non-ERISA claim."  MORE >>

"Jeffrey D. Mamorsky ... died on April 21 at age 79. Jeff was a trailblazer in the field of employee benefits law, and his contributions to the legal profession and the lives of countless individuals over the past five decades were both profound and enduring."  MORE >>

"While standard group long-term disability coverage may appear sufficient on paper, it often falls short of providing true lifestyle protection for high-earning executives.... Individual disability insurance (IDI) and high-limit disability policies can effectively bridge the coverage gap.... Additional solutions that provide complete income protection ... might include executive carve-out plans, guaranteed standard issue programs or excess disability coverage, depending on the executive team's needs."  MORE >>