Newsletter for July 10, 2017
We are a knowledge service that finds, reviews, selects, organizes and shares the most appropriate, relevant and fresh information for professionals involved with 401k and 403(b) plans.
This weekly newsletter is just one method we utilize to circulate a small part of the information we processed this past week. It is a free service made possible by this week's newsletter sponsor.
Please visit their site.
Stay on Top of 401(k) Fees -- 401k Averages Book
Just Published! 17th Edition of the 401k Averages Book. All 401(k) fee charts and tables updated for 2017. Use the 401k Averages Book to better understand investment, recordkeeping, revenue sharing expenses for 401(k) plans. The 401k Averages Book is the most recognized source for comparative non-biased 401(k) information. Click here for more information.
In This Issue
Court and Other Legal Issues
401k Fraud: Wife Steals Thousands From Husband's Account
Abstract: Talk about brotherly love. A woman's sibling posed as her spouse to help her steal thousands of dollars from her (actual) husband's 401k.
Marathon Petroleum Execs Sued Over Stock in Retirement Plan
Abstract: Marathon Petroleum executives are accused in a new lawsuit of wrongly allowing workers to invest their retirement savings in the stock of Marathon Oil Corp.
Source: Bna.com (registration may be required)
DOL Files Fiduciary Lawsuit Brief Defending Advisory Market Authority
Abstract: The DOL argues it must not lose its broad authority to regulate the workplace retirement planning market, notwithstanding the fact that it may very well decline to aggressively enforce the fiduciary rule under President Trump.
Brown University Sued Over Retirement Plan Fees
Abstract: Brown University is accused of filling its two retirement plans with high-cost, poorly performing investment options, allegedly causing participants millions of dollars in losses.
Source: Bna.com (registration may be required)
»» Click here for more Court and Other Legal Issues
Retirement Plans Are Leaking Money and Why Employers Should Care
Abstract: Workers are depleting their employer-sponsored retirement plans when they take out loans and don't pay them back and take hardship withdrawals. If an employer wants workers to stay until normal retirement age, pass along their knowledge and skills, and then leave so younger workers can move up, early withdrawals become more problematic.
The Importance of Retirement Investing Over Saving for Older Employees
Abstract: When building retirement wealth, the critical factor is the age at which you commence retirement savings. Investments matter very little when you are just starting, since investment returns represent a negligible portion of your retirement savings. However, for older employees, the priorities switch rather dramatically.
Connecticut 403(b) Fee Disclosure Law to Take Effect Oct. 1
Abstract: Beginning Oct. 1, 2017, administrators of 403(b) plans run by political subdivisions in the Nutmeg State will have to disclose to the plan's fiduciary any conflict of interest the service provider has with the plan.
»» Click here for More 403(b) Material
Fiduciary and Plan Governance Material
Best Practices for Improving Retirement Plan Investment Committee Decisions
Abstract: As a plan sponsor, one of the many hats you probably wear is investment committee member. It's a role that's critical to the success of your retirement plan, but your specific responsibilities may not always be clearly defined or easy to figure out. This article offers some best practices.
Free Advice for 401k Plan Sponsors
Abstract: This article is free advice from ERISA attorney Ary Rosenbaum for all 401k plan sponsors out there on how to improve their plan and avoid liability.
»» Click here for more Fiduciary and Plan Governance Material
Insight: Studies, Research, and White Papers
Print Communications Still Key for Many Participants
Abstract: In an effort to find out how workers understand financial communications regarding retirement savings plans, and how participant knowledge can affect asset-allocation decisions, TIAA conducted research about how specific media communications (print vs. online, graphical vs. text), affects a worker's comprehension of financial material.
»» Click here for More Studies, Research, and White Papers
How the Target-Date Fund Can Help Maximize Plan Design
Abstract: Plan sponsors have two powerful tools that could help nudge participants toward improved retirements: plan design and target-date funds. However, these tools are frequently considered separately.
»» Click here for more on Target-Date Funds
DOL's Fiduciary Rule
DOL's 2016 Fiduciary Rule: Background and Issues
Abstract: This updated 28-page report was prepared by the Congressional Research Service and provides an in-depth background and overview of the DOL's fiduciary rule along with the rationale for the rule and stakeholders perspectives.
»» Click here for more on the DOL's Fiduciary Rule
Compliance and Regulatory
Who's Responsible for Keeping Retirement Plan Records?
Abstract: Who is ultimately responsible for retention of retirement plan records: the sponsor, or the participant? It's an interesting conundrum. In a recent case, the 9th U.S. Circuit Court of Appeals found that the retirement plan sponsor -- who was the defendant in the case -- was the party responsible for keeping accurate records.
Operational Compliance for Eligibility Classification
Abstract: This article focuses on operational compliance, the requirement that the plan be operated in accordance with the terms of the plan document, and in particular, the terms of the plan relating to eligibility classification.
Form 5500 Filing Date Approaching
Abstract: July is here. For DC plans and 403(b) annuity arrangements with calendar year plan years, it means the July 31 Form 5500 filing deadline for the 2016 plan year is not far off.
IRS Overhauls Opinion Letter Process for Pre-Approved Plans
Abstract: The overhaul of the pre-approved plan program is not surprising given the IRS's significant reduction of the determination letter program for individually designed plans. The revenue procedure contains detailed information that is a must-read for providers of pre-approved plan documents as well as employers and advisors maintaining pre-approved plans or considering a switch from individually designed to pre-approved plans.
»» Click here for more Compliance and Regulatory Material
The Standard Names New VP for Retirement Plan Services
Bill Harmon Joins Voya Financial as President of Retirement Corporate 401k Market
Cafaro Greenleaf Welcomes Industry Veteran
»» Click here for More Marketplace News
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.
Copyright © 2017 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.