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2016
Nov 07

Let’s Play Ball! It’s Time to Step Up to the Plate to Review Fiduciary Status and Fiduciary Duties

Are you a fiduciary for your company or organization’s retirement plan? If yes, you may find it challenging to “cover all the bases” in understanding your fiduciary duties. Some common duties that get overlooked include failing to identify the plan’s fiduciaries and insufficiently training fiduciaries on their responsibilities.

2016
Oct 05

IRS Eases Pain for Correcting Certain Plan Administration Errors

We all know that nobody is perfect. The good news is, so does the IRS. The IRS acknowledges that retirement plan administrators are not infallible, and provides correction for certain administrative errors. While corrective actions can still be arduous and time consuming, the IRS has relaxed some of its rules. This article provides an in-depth look at the recent updates as to how the IRS will handle certain plan administration errors.

2016
Sep 06

Is a Nonqualified Deferred Compensation Plan Right for Your Company?

Nonqualified deferred compensation plans enable key employees to defer a higher proportion of their current income to later years when they retire. While nonqualified plans often are perceived as only for top executives, they may also be right for upper-level staff. This article discusses what plan sponsors need to know about nonqualified deferred compensation plans.

2016
Aug 02

How to Ask the Right Questions Regarding Your Service Provider’s Data Security System

Maintaining data security is a significant part of running any business. Breaches are inevitable — although not at every organization. This article reviews questions to ask when reviewing data security with service providers.

2016
Jul 12

ESOPs Facing Tougher Scrutiny

Employee Stock Ownership Plan (ESOP) fiduciaries are facing closer scrutiny by the Department of Labor (DOL), while federal courts, including the U.S. Supreme Court, are weighing in on ESOP cases. This article reminds ESOP sponsors to take a fresh look at how their ESOPs are structured and overseen by fiduciaries.

2016
May 31

Be Careful What You Toss: Plan Record Retention Requirements

As far as the IRS is concerned, you cannot be overly cautious with saving too many retirement plan documents. Plan sponsors, on the other hand, might reasonably feel the need to free up file storage space every now and again by purging documents that are no longer needed. This article examines where to draw the line and also looks at IRS rules for documentation of hardship withdrawals and participant loans.

2016
May 03

Give Employees More Bang for Their Buck: How to More Effectively Use Default Deferral Rates and Auto-Escalation Clauses

According to a Plan Sponsor Council of America survey, only 46% of defined contribution plans automatically enroll participants. The most common default deferral rate for those that do is 3%. Are plan sponsors telling employees that they can afford to retire by saving just 3% of their salary each year? Some participants may think so. This article discusses how to use default deferral rates and auto-escalation clauses to boost participants’ retirement savings.

2016
Apr 05

Understanding Welfare Plan Form 5500 Filing Requirements

Welfare plans commonly provide employee benefits, such as medical, dental, life insurance and disability benefits. All welfare plans covered by ERISA are subject to the annual Form 5500 reporting and filing requirements. However, not all ERISA welfare plans must file Form 5500 if they meet one of the exceptions under the law. As a plan sponsor, this article will help you determine whether you need to file Form 5500.

2016
Mar 02

Retirement Plan Loans: The Pros and Cons

According to the Employee Benefit Research Institute, more than one-fifth (or 21%) of all 401(k) plan participants eligible for loans have loans outstanding at any given time. Looking out for the best interests of plan participants might involve discouraging them from borrowing against their savings, at least in the absence of a personal financial crisis. This blog summarizes plan loan requirements that all plan fiduciaries should know.

2016
Feb 02

Tibble Case Puts Focus on Fiduciaries’ Ongoing Duties

During 2015, the U.S. Supreme Court clarified the ongoing duty of retirement plan fiduciaries to monitor plan investments. Tibble v. Edison International has been percolating through the federal court system since 2007. The article reviews the case’s focus on the timing of lawsuits against plan fiduciaries for breaches of their fiduciary duty.

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