Search the News Archive

Deloitte & Touche 401(k) Survey Sheds New Light on 401(k) Reform Debate

Excerpt: It is not clear whether either the Boehner or Bingaman proposals would make 401(k) plan sponsors more interested in offering investment advice to participants. The real barrier to more sponsors offering advice may be a lack of employee interest.

Chicago's Unfunded Pension Debt Rises Again: Now at $37 Billion

"Chicago's unfunded pension liability rose by another 5.2% in 2023 -- from $35.4 billion to $37.2 billion -- thanks to 'changes in pension assumptions and legislation,' according to the certified annual financial report for 2023 by the accounting firm of Deloitte & Touche."

Radioshack Workers Will Lose Their Jobs and Their Retirement

"While most employers make matching contributions in cash, too many large companies still make a stock match. According to a survey by Deloitte & Touche, 13 percent of employers use their shares to make matching contributions. Contrary to the advice of retirement experts, employees at some of the largest U.S. corporations have as much as 70 percent of their retirement savings invested in company stock ... What should you do if you're one of the more than 9 million Americans whose employers match in company stock? Limit it to 10% of your assets ... And you might want to consider looking for a new job at an employer that values compensating their valuable employees over artificially boosting their company's share price."

Ninth Circuit: 'Reopening' a Claim, After the Statute of Limitations Has Run, Does Not Waive That Defense

"If the statute of limitations has already run, does the claim administrator 'waive' the statute of limitations defense by agreeing to reopen a claim? NO.... Even when MetLife 'reopened' the claim in 2009, five years after claim denial, the 2004 statute of limitations defense applied, barring the 2011 lawsuit. This also is a good case to review because it discusses how an appeal denial letter should be written, when considering the statute of limitations defense." [Gordon v. Deloitte & Touche, LLP Long Term Disability Plan, No. 12-55114 (9th Cir. Apr. 11, 2014)]

Ninth Circuit Finds Reconsideration of Benefit Denial Does Not Extend Statute of Limitations (PDF)

Summary provided by the Court: "[U]nder federal law, the plaintiff's claim accrued no later than the date her administrative appeal right expired, and the ERISA plan insurer's reconsideration of her claim did not revive the statute of limitation. The panel held that the ERISA plan was not estopped from asserting a statute of limitation defense based on the insurer's representation that the plaintiff could bring an ERISA action. Turning to California law for guidance, the panel held that the plan did not waive its statute of limitation defense based on the insurer's representation. Dissenting, Judge Reinhardt wrote that the plan waived its right to invoke the statute of limitation by inviting the plaintiff to reopen her case, submit new documents, and appeal if dissatisfied." [Gordon v. Deloitte & Touche, LLP Long Term Disability Plan, No. 12-55114 (9th Cir. Apr. 11, 2014)]

Wellness Survey Final Data –- June 18, 2005

The ERISA Industry Committee and Deloitte & Touche USA sponsored the survey.

Tech Firms Resist Rules On Stock Option Expensing

Excerpt: An overwhelming majority of technology companies plan to resist expensing stock options unless required to do so by regulators, according to a report released Tuesday by the accounting and consulting giant Deloitte & Touche [sic].

California Legislature Approves Bill Mandating Employer-Provided Health Coverage

Excerpt: The California legislature has approved a controversial pay-or-play bill that would require most California employers to provide health coverage directly to their employees (and, in the case of large employers, their dependents) or contribute to a state-operated fund that would purchase coverage for them.

Plans Can Provide Profiles Instead of Prospectuses in Most Cases Under ERISA 404(c)

Excerpt: With respect to the regulation's requirement that 404(c) plans provide a prospectus to participants upon request, the Advisory Opinion states the plan can provide a Profile if that is the fund's most recent prospectus. But if a participant specifically asks for a 10(a) prospectus, the plan must provide the most recent 10(a) prospectus to satisfy this requirement.

Health FSAs Can Reimburse Participants' Nonprescription Drug Costs

Excerpt: The revenue ruling does not specify an effective date, so it presumably applies to expenses incurred at any time. Of course, neither health FSAs nor HRAs can reimburse participants for expenses they incurred before the plan was established or before they became participants.