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Withdrawal Liability Actuarial Assumptions: Did PBGC's New Proposed Regs Get It Wrong?

"[S]ince ERISA Section 4213(a)(1) does require reasonable actuarial assumptions that can be challenged in court, and the newly proposed regulations under ERISA Section 4213(a)(2) give the plan actuary a permitted range of assumptions, (i.e., plan termination assumptions or ongoing funding assumptions or anything in between) a court could logically read these regulations and Section 4213(a)(2) to require that when an actuary chooses an interest rate in the permitted range, it must be a reasonable choice."

Maintaining Grandfathered Plans Under Health Care Reform: Is it Worth the Bother? (PDF)

With high health care inflation ... companies may find that grandfathering the plans (which precludes many cost-saving changes) is too expensive.

Successor Liability Under ERISA (PDF)

One of the murky but interesting aspects of ERISA law ... has been the extent to which liability under ERISA will carry over to successors who purchase the assets rather than the stock of the business. This article explores the current state of the law .... [Published in Tax Mgmt. Comp. Plan. J. (1/7/2011) and updated January 26, 2011/]

Relief for Payments Conditioned on Executing Releases and for 409A Correction Programs (PDF)

3 pages. Excerpt: If you are unsure if your documents or procedures need corrections, prompt attention is advisable, as certain of the transition rules for corrections end on December 31, 2010.

Summary of Four Different Proposed or Final Rules Relating to 401(k) Fee Disclosure or Investment Advice Guidance (PDF)

6 pages.

New York Health Continuation Coverage Extended to 36 Months (PDF)

5 pages. Excerpt: New York State recently passed a law that extends continuation health coverage to 36 months. Thus, group insurance plans that are subject to New York insurance law will have to offer continuationcoverage for a total of 36 months, even though under the Federal COBRA law continuation coverage on termination of employment would only be required for 18 months.

Summary of SEC's Proposed Rules on Enhanced Executive Compensation Disclosure, with Comments (PDF)

2 pages. Excerpt: [The] requirement to discuss role of risk in compensation plans will force compensation committees to consider how risk may play a role in incentive compensation, and to consider companywide compensation plans, both of which have until now generally been considered outside the scope of compensation committees.... [They] are a clear example of how the executive compensation proxy disclosure rules have moved beyond disclosure and into shaping compensation policy.

PPA & WRERA Qualified Plan Guidance: Action Items for 2009 (PDF)

6 pages. Excerpt: Qualified plan amendments or action items required in 2009 relating to the Pension Protection Act of 2006 (PPA) and Worker, Retiree, and Employer Recovery Act of 2008 (WRERA), including; (i) WRERA suspension of 2009 required minimum distributions, with operational compliance required by December 1, 2009, as well as model amendments in Notice 2009-82 which must be adopted by end of 2011 play year; (ii) revised model notices for eligible rollover distributions under Notice 2009-68, which must be put in place by end of 2009 plan year; (iii) sample amendments to add automatic enrollment to plans in Notice 2009-65 needs to be adopted by end of 2009 plan year; (iv) QACA and EACA notices, and qualified default investment alternative notice required at least 30 days in advance of plan year; (v) PPA amendments required by end of 2009 plan year. Also, other recent PPA qualified plan guidance include: (i) rollovers from employer plan or regular IRAs to Roth IRAs have no income limit in 2010, and (ii) contribution of paid time off at end of plan year or on termination of employment permitted.