"[This article focuses] on a prohibited transaction that can arise when broker-dealers, registered investment advisers, and their representatives accept revenue sharing payments from custodians in exchange for investing in certain types of funds, for example, No Transaction Fee (NTF) funds.... [If] the fiduciary advisor provides nondiscretionary advice with respect to the NTF fund investment, then the advisor can comply with the conditions of prohibited transaction exemption (PTE) 2020-02 to avoid treatment as a prohibited transaction."  MORE >>

"AT&T must face a proposed class action claiming it miscalculated married couples' pension benefits, a California federal judge ruled, saying workers leading the suit provided evidence that the telecommunications company's use of decades-old mortality data and interest rates was unreasonable." [Scott v. AT&T Inc., No. 20-7094 (N.D. Calif. Jul. 9, 2025)]  MORE >>

"A plan could be amended to prescribe the order priority of forfeiture use rather than allowing the plan administrator to decide.... Another option that maintains some discretion in how forfeitures are used is to amend the plan to unambiguously vest discretion in the plan sponsor (not the administrator) as a plan funding decision and settlor function.... Finally, a plan sponsor could amend the plan to require that, when forfeitures are used to pay administrative expenses, they may only be used to pay administrative expenses that would have otherwise been borne by the employer[.]"  MORE >>

"Voluntary After-Tax contributions can supercharge 401(k) retirement savings -- but when payroll systems fail to enforce the annual additions limit or cap the After-Tax so that participants receive the full employer match owed them, the results can be costly. This post dives into the hidden compliance risks, real-world consequences, and smart strategies employers can use to prevent excess contributions and protect both their plans and their employees."  MORE >>

"Roth conversions are taxed as income. Many of the new tax breaks can be lost if taxpayers push their income up too high ... These include the $6,000 tax break for seniors, the increased SALT deduction and the breaks for tips and overtime."  MORE >>

"A mid-year compliance check is a cost-effective way to stay ahead of potential risks. With the IRS's expanded self-correction options, plan sponsors can correct many issues independently and avoid triggering audits or disqualification."  MORE >>

"In-plan retirement solutions would be more widespread and used more often were it not for a variety of factors. [1] Portability.... [2] Expense.... [3] Complexity ... [4] Bandwidth ... [T]ools and approaches that can help in presenting and 'selling' in-plan retirement income options: [1] Education ... [2] Recordkeepers ... [3] Surveys."  MORE >>

"Objective: To determine if PBGC adequately reviewed trusteed small, single- employer pension plans. Entrance conference discussion topics: [1] What is PBGC's process for identifying and processing potential fiduciary breach or related fraud cases? [2] What threshold does PBGC use to define small, single-employer plans? [3] How do PBGC's processes for trusteeing plans through final benefit determinations differ for small plans compared to other plans?"  MORE >>

"[T]he Strengthening Benefit Plans Act of 2025 (S 2003) contains two proposals to give defined benefit (DB) plan sponsors more flexibility to use some 'trapped' surplus plan assets for other purposes. One provision of the bill would allow sponsors to transfer DB surplus assets to a defined contribution (DC) plan to fund nonelective contributions. The second would let sponsors use assets previously set aside in retiree health accounts to pay DB plan pension benefits or transfer the amounts to a voluntary employees' benefit association (VEBA) to pay health benefits to non-key employees."  MORE >>

"Moving into the second half of 2025, rates are still showing stability and remain in a favorable position.... Last month, LIMRA reported the total U.S. pension risk transfer premiums totaled $7.1 billion in Q1, down 51% from the historic high ... in Q1 of 2024 but still 10% higher than Q1 of 2023."  MORE >>

"[T]he OBBBA does include some new benefit enhancement options for employee benefit plan sponsors, including provisions related to health savings accounts (HSAs), dependent care assistance programs (DCAPs), student loan repayment assistance, and the creation of 'Trump accounts' designed to increase savings for children. With the exception of the pre-deductible telehealth services safe harbor (effective January 1, 2025), the changes are effective for tax years after December 31, 2025[.]"  MORE >>

"[1] Rates and brackets of individual income tax ... [2] The calculation of the alternative minimum tax (AMT) ... [3] Trigger point for the 20% tax rate on long-term capital gains ... [4] Estate planning and charitable contributions ... [5] Qualified small business stock (QSBS) ... [6] Section 83(i) tax-qualified stock grants for private companies ... [7] Performance-based exception to section 162(m) limit on deductible comp."  MORE >>

"Corporate plans governed by Section 409A offer broad customization and are typically used to support executive retention strategies. Government and nonprofit employers may utilize 457(b) or 457(f) plans, each with distinct regulatory frameworks and tax implications. While 457(b) plans provide a more standardized approach with annual contribution limits, 457(f) plans offer greater flexibility in design but require careful attention to vesting and taxation rules."  MORE >>

"[T]here are some plans written as top hat plans, including retention incentive plans and long-term incentive plans, that do not need to be top hat plans. In other words, some employers, perhaps guided by overly conservative advice, needlessly refrain from offering plans with a deferral element to personnel who do not belong to a select group of management or highly compensated employees."  MORE >>