Retirement Fiduciary Calendar for 2022
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Fiduciary and Plan Governance Retirement Fiduciary Calendar for 2022 This Retirement Fiduciary Calendar for 2022 makes it fast, simple, and easy for plan sponsors to keep their retirement plans in compliance with Internal Revenue Service, Department of Labor, and ERISA regulations. When used, it will help them stay in front of administrative deadlines and submission complexities. Source: Tri-ad.com Continuous Improvement Through Investment Menu Review This advisor suggests investment menus be reviewed periodically, typically bi-annually. Regular reviews of the investment menu design ensure that committees are continuously working to improve and challenge their process and incorporate current research. This case study examines the investment menu design review. Source: Multnomahgroup.com The DOL's Proposed ESG Rule: A Retirement Committee Perspective A recently proposed DOL regulation entitled "Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights" addresses the duties of retirement plan fiduciaries when considering economically targeted investments, i.e., investments that take into account environmental, social, and governance factors. Issued in response to a May 20, 2021, Executive Order, the Proposal would significantly modify prior, Trump-era rules on the subject. This article examines the proposal from the retirement committee perspective. Source: Mintz.com »» Click here for more Fiduciary and Plan Governance Material Insight: Studies, Research, and White Papers Why Don't More 401k Plans Have Lifetime Income Options? Recent surveys show that interest in providing lifetime income through 401k plans is strong. An Allianz Life survey indicates that 85% of employers that do not offer a lifetime income option would consider adding one in the next two years. Seventy-three percent of participants said they would consider a lifetime income option. Yet, many 401k plans still have only lump-sum options, and Nationwide found that 60% of advisers don't think plan sponsors are interested in annuities. Why is there a disconnect? Source: Rpaconvergence.com »» Click here for More Studies, Research, and White Papers Items of Special Interest to Service Providers Three Themes Shaping the 2022 Retirement Landscape In its inaugural U.S. Retirement Market Outlook, T. Rowe Price offers insights on the major themes professionals at the firm expect to shape the retirement landscape in 2022. According to the paper, given the impact of the significant global events over the past two years, the three themes that the firm sees for next year are reviewed here. Source: Napa-net.org Small Business Retirement Plan Options - 2021 This chart compares the four common types of plan designs often utilized by small employers. Source: Consultrms.com Court and Legal Excessive Fee Lawsuits Without Excessive Fees: The Case of the $30 Recordkeeping Fee If the recent case of Sigetich v. The Kroger Co., filed in the Western District of Ohio on November 5, 2021, is any indication, we have reached a turning point in which plaintiffs have started suing plans with really low fees. The complaint alleges that the Kroger 401k Plan had a $30 recordkeeping fee, which they claim is 50% too high, but in reality, is lower than nearly every plan in America today. The case shows how the Supreme Court needs to step in and halt the ability of the plaintiffs' bar to impose improper liability on the fiduciaries of America's retirement plans, absent legitimate proof of real fiduciary imprudence and harm to participants. Source: Euclidspecialty.com Lessons Learned From Recent Fiduciary Victories There is nothing a plan sponsor or ERISA fiduciary can do to prevent allegations of a fiduciary breach. However, there are many things they can do to be prepared to rebut such claims. Two recent fiduciary victories provide valuable insights into how a court would evaluate the decisions and processes of plan committees. Source: Spotlightonbenefits.com Some Claims Dismissed in LinkedIn Excessive Fee Suit Motions to dismiss a lawsuit alleging fiduciaries of the LinkedIn Corp. 401k Profit Sharing Plan and Trust violated ERISA by allowing the plan to pay excessive fees have been granted in part and denied in part, with the court giving the plaintiffs leave to amend their lawsuit. Source: Planadviser.com Latest ERISA Suit Targets Olin Corp. The allegations in the new lawsuit are familiar, suggesting the plan fiduciaries permitted the payment of excessive recordkeeping and investment fees over a lengthy proposed class period. Source: Planadviser.com »» Click here for more Court and Other Legal Issues Legislative and Washington DC Retirement Policy Provisions of the Build Back Better Act The BBBA includes certain changes to the Internal Revenue Code's corporate tax structure, notably a new corporate alternative minimum tax which raises a question about the treatment of pension income. It also includes tighter rules concerning Roth conversions and individuals with large IRA and defined contribution plan accounts. this brief note reviews (1) certain key tax and benefits-related provisions that were dropped from the original (September 2021) proposal; (2) benefits-related provisions of that proposal that have been retained; and (3) the new corporate AMT proposal. Source: Octoberthree.com »» Click here for more on Legislative and Washington Actions Compliance and Regulatory When you receive a letter from the DOL letting you know that the plan that you administer is under investigation, it is natural to ask "how did my plan get picked?" While some investigations are opened based on participant complaints or concerning news reports, many investigations are opened because your plan meets the criteria that a current initiative has flagged. This is a lot of words to say that Form 5500 has become an enforcement tool. Source: Groom.com When Is a 401k Not a Retirement Plan? A 401k plan is not a "retirement plan" for California creditor protection purposes when it was expressly set up to protect IRA rollover assets from creditors. This was the holding in a 2019 California Court of Appeal decision that is still valid law and that is worth revisiting. Source: Eforerisa.com IRS Adds Two FAQs to Its Covid-19 Q&A Guidance for Retirement Plans On October 28, 2021, the IRS added two FAQs to its official guidance in the form of questions and answers regarding COVID-19 pandemic relief for retirement plans, including 401k plans. Source: Compliancedashboard.net Employer-Sponsored Retirement and Health Plans: What You Need to Know for Year-End While year-end is ordinarily a busy time for companies, the number of COVID-19-related pieces of legislation and developments present additional items employers and plan sponsors must address in wrapping up 2021. Source: Troutman.com Required Plan Amendment Compliance Tracking Procedure for Individually Designed Retirement Plans In Revenue Procedure 2016-37 the IRS eliminated the determination letter process for individually designed plans for all situations except initial plan qualification, qualification upon plan termination, and a few other special circumstances such as a plan merger in the event of a merger or acquisition involving unrelated entities. Once the IRS ended this process, they substituted a new "self-help" procedure that left employers on their own for demonstrating compliance with these requirements. Source: Foley.com »» Click here for more Compliance and Regulatory Material Marketplace News NAPA's 2022 Top Retirement Plan Advisors Under 40 Mariner Wealth Purchases Bay Area RIA Fidelity Rolls Out Product Allowing 401k Participants to Buy Annuities Transamerica and FuturePlan Expand Retirement Plan Access What Creative Planning's Deal for Lockton's Retirement Unit Means for RPAs
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