"The 2024 relief can be divided into two parts. [1] Extended effective date of regulations.... [2] No 2024 RMD payments under the 'at least as rapidly' rule for certain beneficiaries.... As with the prior guidance, the Notice  allows for flexibility in implementing these provisions without triggering plan qualification issues or excise taxes[.]"   MORE >>

"In light of the proposed IRS regulations and the somewhat unclear DOL order against Sypris , and the pending lawsuits, ... [plan sponsors should] ensure that their plans are operated in accordance with their plan documents. Employers should also be aware that there still remains the issue of whether there is a potential DOL violation for using forfeitures to reduce employer contributions instead of paying plan expenses, even though doing so is expressly permitted by the IRS and is a common practice under defined contribution plans."   MORE >>

"This report provides [IRS] data on contributions to IRAs in 2020. Congress has an interest in contribution data because tax expenditures for retirement plans (estimated to be $25.0 billion for IRAs and $117.8 billion for DC plans in FY2024) are one of the largest categories of revenue losses attributable to provisions in the tax code." [R48051 Apr. 25, 2024]   MORE >>

"28% of people have zero savings for their retirement, 39% are not contributing to a retirement fund, and 30% don't see a future where they can retire. [The analysis] points to underutilization of retirement accounts for the lack of savings, noting that a Bureau of Labor Statistic (BLS) report found that while 69% of private industry workers have access to an employer-sponsored retirement plan, only 52% participate for a take-up rate of 75%."   MORE >>

"Many plans do not offer Roth options and need to update their systems to flag incomes at or above the limit to be sure they are in compliance. This problem is particularly acute for governmental plans, which tend to have more complicated and less centralized payroll systems, and in many cases require updates to state legislation and collectively bargained labor contracts in order to make the necessary changes."   MORE >>

"Future retirees anticipate drawing from more funding sources than today's retirees, as only 28% of current retirees receive four-plus sources, compared to nearly half (48%) of future retirees who expect to have four-plus.... Too many future retirees anticipate having work as an income source, and those who will be able to work often underestimate the role work can play.... [N]early 8 in 10 (79%) households age 65-plus own their primary homes ... 47% or 17.3 million of these households have at least as much net equity in real estate as investable assets."   MORE >>

"Consistent with the proposal, the term ' IRA' includes health savings accounts (HSA) and certain other tax-advantaged trusts and plans. The final regulation includes owners of HSAs in the definition of ' retirement investor.' "   MORE >>