DOL Releases Proposed Rules on MEPs
|
In This Issue
Multiple Employer Plans (MEP) DOL Releases Proposed Rules on MEPs Abstract: The proposed rule would make it easier for small businesses to offer retirement savings plans to their workers through Association Retirement Plans, which would allow small businesses to band together to offer 401k plans to their employees. Source: 401khelpcenter.com The New Proposed MEP Regulations - Meh! Abstract: The Department of Labor issued proposed regulations on October 22, 2018, that represent the first major step in changing its restrictions on multiple employer plans. However, it is just the first step, and does not change the landscape for Open MEPs. The first part of the article gives a general description of what the proposal does and the second part takes a "deeper dive." Source: Ferenczylaw.com DOL Proposes Multiple Employer Plan Expansion Abstract: The proposed regulation provides clarity regarding the types of "bona fide" groups or associations of employers and professional employer organizations that are permitted to sponsor MEPs. The proposed regulation is similar in many material respects to the DOL's recently finalized Association Health Plan regulation. This article reviews the proposed regulations and provides detail analysis. Source: Groom.com DOL Proposes to Relax Multiple Employer Plan Rules Abstract: Historically, the DOL tried to limit the circumstances under which groups of employers could safely access the advantages of participating in a MEP. The proposed regulations clarify that employers may band together into employer groups or professional employer organizations to sponsor a retirement plan if they meet certain requirements. Source: Sgrlaw.com »» Click here for more on Multiple Employer Plans General Items How 401ks Can Help Recruit and Retain Employees Abstract: Four in five employees indicate they want benefits and perks more than a pay raise. With a tight labor market and recent trends surrounding retirement concerns, offering a high-quality 401k plan is an essential tool to add to your HR toolbox. Source: Workforce.com Risks to Canada's Retirement System Abstract: Canada's multi-pillared approach of providing universal government programs, combined with a tax system that promotes voluntary pension and savings programs continues to provide Canadians with a strong retirement system. The key risks are low pension coverage among private sector workers, rising debt and healthcare costs, which will prove challenging as the population ages. Source: Pensionpulse.blogspot.com Fiduciary and Plan Governance Abstract: This 5-page white paper is for plan sponsor representatives who desire to know more about key fiduciary issues: (1) the high standards applicable to a fiduciary; (2) a fiduciary's core responsibilities; (3) the danger of working with a non-fiduciary; and, (4) what they should expect from a strong fiduciary partner. Source: Qualifiedplanadvisors.com Unintended Fiduciary Consequences of 401k Fee Compression Abstract: For years, asset-manager-owned record keepers were a means to an end and were used as a "loss leader" to attract investment dollars to proprietary investments. With increasing transparency and the imposition of fiduciary prudence, recordkeepers have been forced to offer open-architecture platforms where competitor options are also made available with full fee transparency. This "glasnost" event turned the original asset-gathering approach on its head. In fact, the wholesale change to indexing has limited choice, diversification and investment ideas. Four responses have resulted so far from plan providers. Source: Chaoco.com »» Click here for more Fiduciary and Plan Governance Material Insight: Studies, Research, and White Papers The Role of the Employer Default Allocation in DC Retirement Plan Design Abstract: Most 401k and 403b retirement plans now provide a default asset allocation for participants who do not choose their own investments. This paper offers plan providers insights on the use of defaults, including explaining why the optimal default is not a riskless allocation; why the default should reflect the characteristics of individuals most likely to use it; what attributes lead employees to select an asset allocation; and why improvement in the default allocation can reduce people's ability to manage their retirement funds over time. Source: Tiaainstitute.org »» Click here for More Studies, Research, and White Papers Items of Special Interest to Service Providers Can States Enact Their Own Fiduciary Rules? Abstract: Does ERISA permit states to act to enforce their own fiduciary rules? Many practitioners think that although these states have good intentions in trying to protect the public, the answer to that question is no. States appear to be giving inadequate consideration to the principle of ERISA preemption when crafting their fiduciary rules. Source: Cohenbuckmann.com Keys to Expanding Women's Role in the Recordkeeping Industry Abstract: Across the financial services industry, women are commanding a greater role in key decision making. Where do today's recordkeepers stand in that context? What are today's trends, and where is the industry headed tomorrow? Source: Asppa.org Target-Date Funds Evaluating Target-Date Funds - A Fiduciary's Guide Abstract: Whether there are target-date funds in your defined contribution plan lineup or you're considering adding them, evaluation and review are critical to your due diligence process as a plan fiduciary. This guide is focused on the practical steps to take during the evaluation process, which may include comparison and selection of TDFs, understanding their underlying investments, reviewing fees, developing communications, and documenting the process. Source: Vanguard.com
»» Click here for more on Target-Date Funds State-Based Retirement Programs Connecticut to Implement Mandatory IRA Program for Private-Sector Employees in 2019 Abstract: The State of Connecticut has announced that in January 2019 it will begin requiring private-sector employers without their own workplace-based retirement plans to enroll employees in Individual Retirement Arrangements sponsored by the state. The requirement stems from legislation enacted in 2016 that is intended to help employees save for retirement. Source: Littler.com Compliance and Regulatory DOL Announces Guidance and Relief for Plans Impacted by Recent Hurricanes Abstract: The U.S. Department of Labor recognizes that plan fiduciaries, employers, labor organizations, service providers, and participants and beneficiaries may encounter issues complying with ERISA over the next few months as the consequences of Hurricane Florence and Hurricane Michael unfold. It has published this employee benefit plan compliance guidance. Source: 401khelpcenter.com 2019 Calendar of Significant DC Plan Compliance Tasks Abstract: This calendar will help you set up your own schedule of activities to address as the year progresses so that you do not miss important deadlines for your qualified plans. As you evaluate the various tasks, you can confirm suitable deadlines with your vendors for their completion. Source: Buckglobal.com 2019 Planning for ERISA Single-Employer DC Plan Operations Abstract: In addition to verifying that routine tasks are monitored in accordance with plan terms and administrative policies -- such as making required minimum distributions, sending safe harbor notices, and attending to the myriad annual reporting and disclosure requirements -- administrators must be on the alert for some important tasks. Here are some key areas to watch. Source: Buckglobal.com 2018 Year-End Qualified Plan Amendments Abstract: As the end of the calendar year 2018 approaches, sponsors of tax-qualified retirement plans need to consider whether their plan documents require updates to meet legal compliance deadlines. This article summarizes the important legal changes that may impact tax-qualified defined contribution and defined benefit retirement plans. Source: Winston.com DOL Develops Compliance Assistance Resources Abstract: The U.S. Department of Labor's Employee Benefits Security Administration has developed compliance assistance resources to help protect employee benefits. EBSA's goal is to help workers by restoring plan assets and securing the payment of promised benefits, and to help employee benefit officials understand the law. These tools give employee benefit plans the ability to self-correct violations. Source: 401khelpcenter.com »» Click here for more Compliance and Regulatory Material Marketplace News ERISApedia Introduces a New Free 5500 Lookup Service Custodia Announces Expansion of Retirement Loan Eraser Program LT Trust Adds Fingage Advisors' 401k Managed Account Solution »» Click here for More Marketplace News
This eNewsletter is a digest of information published by a variety of web-based sources on 401k and related issues and is published as a service to our users. 401khelpcenter.com, LLC is not the author of the material unless specifically noted. Articles are copyrighted to their publishers. If you believe that your work has been copied in a way that constitutes copyright infringement, please contact the source site immediately. Hyperlinks in this document are provided as a convenience and we disclaim any responsibility for information, services or products found on websites linked hereto. All links were tested before this eNewsletter was e-mailed to you to ensure that they are still functional, but publishers do move or delete articles. Therefore, we can't guarantee that the links provided will remain operational. 401khelpcenter.com does not endorse, approve, certify, or control this material and does not guarantee or assume responsibility for the accuracy, completeness, efficacy, or timeliness of the material. Use of any information obtained from this material is voluntary, and reliance on it should only be undertaken after an independent review of its accuracy, completeness, efficacy, and timeliness. Reference to any specific commercial product, process, or service by trade name, trademark, service mark, manufacturer, or otherwise does not constitute or imply endorsement, recommendation, or favoring by 401khelpcenter.com. Opinions expressed are those of the author of the article and do not necessarily reflect the positions of 401khelpcenter.com. THIS NEWSLETTER IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE INVESTMENT, TAX, ACCOUNTING, OR LEGAL ADVICE. Copyright © 2018 by 401khelpcenter.com, LLC. All rights reserved. No reproductions without prior authorization, but you are free to email this copy (in its entirety) along to colleagues or clients. This newsletter may not be posted to any website. 401khelpcenter.com, LLC
|
