IRS Announces Pension Plan Limitations for 2007 — Summary: The Internal Revenue Service has announced cost of living adjustments applicable to dollar limitations for pension plans and other items for Tax Year 2007. Located at: 401khelpcenter.com. Click on headline for full article.
Plan Amendments for 2006 — Summary: This is a summary, as of October 27th, of the plan amendments for plan year 2006. Many of these are optional; some are required. Located at: McKay Hochman. Click on headline for full article.
401k Plans and the Pension Protection Act — Summary: Good review of the Pension Protection Act as it relates to 401k plans. Located at: Reinhart Boerner Van Deuren (PDF File). Click on headline for full article.
Fee Lawsuits Shouldn't Scare Employers Into Low-cost Options — Summary: Suits have been filed against nine companies alleging violations of pension laws for allowing 401k participants to be overcharged by retirement plan managers and employers should be prepared to deal with the issues involving understanding 401k expenses. Located at: Workforce.com. Click on headline for full article.
Legislation Works to Eliminate the Pension Gap for Women — Summary: Senator Gordon Smith introduced legislation that addresses the unique challenges that women face in planning for retirement. The bill also will encourage small businesses to enter and remain in the employer retirement plan system through tax incentives and simplification of some of the onerous retirement plan rules. Located at: American Benefits Council (PDF File). Click on headline for full article.
Summary of the PPA Issues Impacting 457 Plans — Summary: This is a summary of the key provisions of the PPA impacting governmental 457b and 401 plans and is meant to assist governmental plan sponsors in understanding key provisions. Located at: ICMA-RC (PDF File). Click on headline for full article.
Research
PSCA Releases 49th Annual Survey of 401k Plans — Summary: The Profit Sharing/401k Council of America has released its "49th Annual Survey of Profit Sharing and 401k Plans," which provides the most up-to-date information available on current practices and trends in profit sharing and 401k plans. Located at: 401khelpcenter.com. Click on headline for full article.
Best Practices for the Design of Defined Contribution Plans — Summary: This is a statement on "Best Practices for the Design of a Defined Contribution Plan" produced by the Financial Economists Roundtable out of discussions held at their annual meeting in July, 2006. Located at: Loyola University (PDF File). Click on headline for full article.
Employer Costs for Retirement and Savings Plans — Summary: Summary of employer costs per hour worked for retirement and savings benefits, private industry, by selected categories. Located at: Bureau of Labor Statistics. Click on headline for full article.
Fiduciary Issues
A Fiduciary Primer: Three Duties — Summary: The duty of loyalty, the prudent man obligation and the exclusive purpose requirement: If a fiduciary fails to meet these high standards, s/he may be held personally liable for any losses to the plan that result from his/her breach. Located at: Plansponsor.com (free registration may be required). Click on headline for full article.
Automatic Enrollment News — Summary: Significant changes have been made to automatic enrollment arrangements by the Pension Protection Act of 2006. The key provisions of the PPA include preemption of state law and a nondiscrimination safe harbor. Located at: Reish Luftman Reicher & Cohen. Click on headline for full article.
DOL and IRS Issues
Proposed Regulation Relating To Default Investment Alternatives — Summary: U.S. Secretary of Labor Elaine L. Chao announced a proposed rule to make it easier for fiduciaries of 401k plans and other participant-directed defined-contribution plans to adopt automatic enrollment design features. This is a summary of the proposed regulation. Located at: U.S. Department of Labor. Click on headline for full article.
