Plan sponsors invest much time and effort in improving employee financial literacy. They offer educational content, provide opportunities for group and individual consultation, and encourage participants to approach retirement planning… Read More
Retirement Plans
The Risk of 401(k) Lawsuits
When a giant organization with extensive resources gets sued for alleged ERISA compliance failures — especially if the organization’s own service offerings include reviewing for such violations — that could… Read More
Retirees’ Retirement Asset Withdrawal Rate: Will Your Money Last?
For many years the investment advisory community has proposed that if retirees withdrew their retirement assets at the rate of 4% annually there is a high probability that assets would… Read More
Every Plan should have a Committee Charter and Here’s Why
Although not legally required by ERISA, a retirement plan committee charter is a very important document for plan governance that may help fiduciaries avoid potential liabilities. Committee Charters are one… Read More
What’s Your Take on Financial Wellness Programs?
A recent comprehensive TIAA survey of financial wellness plan participant perceptions may be helpful to plan sponsors who have, or are considering implementing, a wellness plan for their employees. Employees’… Read More
What is an appropriate interest rate for plan loans?
Both, ERISA and the IRS requires that DC plan loans reflect a “reasonable rate of interest”. DOL Reg Section 2550.408b-1 states that “a loan will be considered to bear a… Read More
ERISA 3(38) Fiduciary Services
Most companies and organizations’ human resources departments and C-suites are seeking efficiencies and risk mitigation for their entities. For those, and a myriad of other, reasons 3(38) fiduciary discretionary investment… Read More
When Does a Participant Loan Become a Deemed Distribution?
A recent IRS Issue Snapshot (link below) affirms that a participant loan is a legally enforceable agreement and terms of the loan agreement must comply with Internal Revenue Code (IRC… Read More
5 Tactics to Increase Retirement Plan Participation
Employees fail to enroll in their retirement plan for a variety of reasons. They may be intimidated if it’s their first time around or they might not fully understand and… Read More