"[The final regs] [1] Permit[] an employer that is part of a controlled group or affiliated service group to aggregate compensation across multiple entities for purposes of determining whether a participant is required to make catch-up contributions on a Roth basis. [2] Clarify[] that a plan offering the age 60-63 catch-up may utilize other permitted practices, including limiting total deferrals to 75% of compensation, without violating the universal availability requirement.... [3] Permit a plan administrator to utilize the correction method until the last day of the plan year following the close of the plan year for which the excess contribution was made; and [4] Clarify the treatment of in-plan Roth rollover corrections for purposes of plan qualification requirements."  MORE >>

"Revenue Ruling 2025-15 is consistent with past IRS rulings that have concluded that withholding and reporting obligations apply at the time a distribution check is distributed to the distributee. This is true even if the check is received but not cashed by the distributee (Revenue Ruling 2019-19) or includes an excess payment that the distributee may be obligated to repay later (Revenue Ruling 2002-84).... [A] number of questions remain regarding plan administrators' obligations when plan participants go missing or fail to receive the check."  MORE >>

"The Supreme Court has twice declined to review ERISA arbitration cases, offering no signal that it plans to resolve the growing appellate divide.... [T]he appellate circuits remain divided on broad applicability of the doctrine. Notably, the Supreme Court has not yet been asked to weigh in on a decision upholding individual arbitration provisions ... [T]hat opportunity may arise if the Ninth or Eleventh Circuits affirm a recent Central District of California ruling that found individual arbitration requirements enforceable under ERISA Section 502(a)(2)." [Yagy v. Tetra Tech, Inc., No. 24-1394 (C.D. Calif. May 17, 2024)]  MORE >>

"The implementation of this provision is extremely complex ... There are many nuances and intricacies that play out depending on the organization's current structure and systems in place ... 44 percent of respondents ... stated they are struggling with payroll logistics and only five percent are ready to go. Forty percent are still working on it but feel confident they will be ready by January 1st."  MORE >>

"One potential fatal flaw of target-date funds is the one-size-fits-all approach that fails to consider relevant investment criteria like the participant's risk tolerance or investment experience. With managed accounts, portfolios may be tailored to account for these variables among participants, as well as whether accounts are sufficiently large enough to prudently accommodate wider diversification and alternative assets."  MORE >>

"More than nine out of ten (92%) plan sponsors work with advisers for consultation and management -- up two percentage points from last year ... While 74% of those who felt participants are saving enough for retirement reported high satisfaction with their advisers, 58% of those who felt participants are not saving adequately still reported high satisfaction."  MORE >>

"The boilerplate forms provided by financial institutions generally do not handle multigenerational planning well and rarely accommodate the special considerations that arise in second marriages, special-needs situations, minor beneficiaries or those with serious drug or alcohol problems."  MORE >>

"[J]ob satisfaction is higher for employees in ESOPs than for observationally similar workers in non-ESOP firms and for [work from home (WFH)] workers than for their non-WFH peers.... ESOPs raise satisfaction by increasing worker participation on collective workplace or firm decisions while WFH raise satisfaction by increasing worker flexibility in their individual work activity.... ESOPs had more extensive WFH than non-ESOP firms during the COVID-19 pandemic."  MORE >>

"Mark Lee Greenblatt who served as Interior Department inspector general, 2019-25 ... opines, 'There's no downside to having independent inspectors general for public pensions.' ... It's no mystery why not a single public pension in America -- not a single one -- has followed Warren Buffett's sagely advice to invest index funds. Not a single public pension in America -- not a single one -- has outperformed, or even met, the index rate of return. Indeed, it seems there's no downside to looting public pensions. "  MORE >>

"This period includes several important dates related to health and welfare plans, and timely action and accurate documentation are vital to maintaining compliance and avoiding potential penalties.... [This] fourth quarter guide is categorized by federal and state deadlines in chronological order, with additional notice requirements due at open enrollment."  MORE >>

"AI tech itself isn't the end goal -- better outcomes are. And AI is only one tool ... High-tech has to meet up with high-touch.... Personalization must be redefined to meet people 'in the moment.' ... Remove friction from the benefits experience."  MORE >>

"Creating programs for benefits education and financial literacy based on employee segments such as gender, life stage and income can help companies attract and retain female workers. Employers should consider leveraging AI to develop targeted resources. Doing so would lighten the burden on HR and save businesses from having to significantly alter their benefits packages."  MORE >>