"[S]ponsors won't need to take any immediate action in response to the changes. If a QPAM becomes ineligible to use the exemption in the future, it will need to notify the sponsor, who will have up to one year to assess and implement an appropriate course of action. DOL also confirmed that changes clarifying the scope of a QPAM's authority over plan transactions won't disrupt sponsors' routine monitoring activities and establishment of investment guidelines. The changes take effect on June 17."   MORE >>

"Plaintiffs in these suits have attempted to recast the decision how to apply forfeitures as a fiduciary determination, and claim that it is a prohibited transaction not to apply the forfeitures for the benefit of participants.... These cases may end up revolving on whether the plan language clearly permitted the use of forfeitures to reduce contributions. All plan sponsors should review their plan language to make sure their use of forfeitures is permitted by the plan text. It is preferable to list all three permissible uses in the plan text."   MORE >>

"[T]he assumption some sponsors make that their plan uses Well-Known Vendor X, and so they can simply trust that this large vendor must maintain strong cybersecurity protections, is faulty ... A plan fiduciary still has to ... do their due diligence, document that they've done their due diligence, and make prudent decisions.' "   MORE >>

"[1] Involve the team.... [2] Clearly define 'missing' participants.... [3] Identify procedures to minimize missing participants.... [4] Define search procedures.... [5] Identify search documentation and retention.... [6] Conduct annual policy reviews."   MORE >>

48 pages. "This article analyzes the potential impact of the 2022 SECURE 2.0 Act reform which permits employers to match contributions for student loan repayments, in 401(k) plans. [A] calibrated lifecycle model measures the impact of this reform on heterogeneous households' financial behavior and welfare.... [P]ost-reform, employees will repay more loan debt but reduce own retirement plan contributions, offset by higher employer-matching contributions that take loan repayments into account."   MORE >>

" SB 135 provides that an employer that does not offer a qualified retirement plan would be required to facilitate participation of its employees in the program. Eligible employees would be automatically enrolled in the program and make payroll deductions to an individual retirement savings account. They could opt out ... [A]ny person who earns compensation in Alaska would be eligible to voluntarily enroll in the program."   MORE >>

"How is Social Security financed? ... Who qualifies for benefits? ... How are benefits computed? ... Who is receiving benefits? ... How much do beneficiaries receive? ... What is Social Security's status?" [IF10426, updated May 10, 2024]   MORE >>

38 presentation slides. Topics: [1] Current state of the Social Security Administration: SSA in the news; Staffing; and Key performance metrics. [2] Social Security trust funds: What are the trust funds; Trust fund mechanics; Historical and current numbers; Myths; and Potential solutions.   MORE >>

"[The] reformers have long been an advocate on behalf of retirees who have been angry over reduced and sometimes eliminated cost-of-living adjustments following the passage of a 2012 state law eliminating a 3% COLA and giving the board the authority to set them. Reformers have blamed investment management costs among other administrative costs and have promoted the idea of gutting investment staff and moving to all index funds."   MORE >>

"The amicus brief filed [by the coalition] in support of AT&T argues that: [1] The Ninth Circuit's decision renders standard and ubiquitous contracts ... in American retirement plans presumptively unlawful. [2] The Ninth Circuit's decision will open the floodgates to speculative claims regarding routine matters, multiplying frivolous litigation and costing employees and employers. [3] Allowing claims that all re-negotiations of service provider agreements are prohibited transactions unless proven otherwise will have far-reaching negative consequences for plan sponsors, fiduciaries, and participants." Bugielski v. AT&T Servs., Inc. , No. 21-56196 (9th Cir. Nov. 8, 2023; cert pet. filed Apr. 5, 2024)]   MORE >>

"What types of non-compete clauses are barred by the Rule? ... Who is considered a 'senior executive' under the Rule? ... Can an employer enforce an existing non-compete against a worker that qualifies as a senior executive? ... Are non-disclosure or non-solicitation provisions barred by the Rule? ... What are the notice requirements under the Rule? ... Do employers need to provide notice to former workers? ... Does the Rule have a safe harbor provision for employers?"   MORE >>

"The final rule was published in the Federal Register on May 8, 2024, and the FTC notes that its expected effective date is therefore September 4, 2024.... [T]he rule's effective date is employers' deadline to comply with the rule's notice requirement.... The final rule includes model language to assist employers in sending compliant notices to applicable workers, which can be delivered to workers via hand delivery, regular mail, email, and even text messages."   MORE >>

"One of the primary exemptions under Section 280G permits the company to establish by clear and convincing evidence that a payment is 'reasonable compensation' for services to be provided after the change in control, which includes refraining from providing services due to an enforceable noncompete covenant. To the extent that covenants based on noncompete clauses are unenforceable under the Final Rule, a significant tool used to reduce parachute tax penalties will cease to be available. T"   MORE >>