The Internal Revenue Service (IRS) has finalized revisions to the regulations governing hardship distributions under 401(k) and 403(b) plans. The final regulations make some subtle but important changes to the regulations...more
9/25/2019
/ 401k ,
403(b) Plans ,
Benefit Plan Sponsors ,
Employee Benefits ,
Filing Deadlines ,
Hardship Distributions ,
Income Taxes ,
Internal Revenue Code (IRC) ,
IRS ,
Natural Disasters ,
New Regulations ,
Notice Requirements ,
Retirement Plan ,
Safe Harbors ,
Tax Planning
A federal trial court has dismissed a lawsuit brought by a participant in an employee stock ownership plan (ESOP) claiming that fiduciaries of the ESOP caused it to overpay for stock of the company in a leveraged transaction....more
Last week, the House of Representatives overwhelmingly passed the “Setting Every Community Up for Retirement Enhancement (SECURE) Act of 2019” (H.R. 1994) by a vote of 417-3. The bill makes numerous changes affecting...more
5/29/2019
/ 529 Plans ,
Annual Reports ,
Benefit Plan Sponsors ,
Defined Contribution Plans ,
Department of Labor (DOL) ,
Employee Benefits ,
Filing Deadlines ,
Form 5500 ,
Income Taxes ,
Individual Retirement Account (IRA) ,
Investment Management ,
Non-Discrimination Rules ,
Part-Time Employees ,
Proposed Legislation ,
Required Minimum Distributions ,
Retirement Plan ,
Safe Harbors ,
Tax Returns
Through Revenue Procedure 2018-52, the Internal Revenue Service (IRS) has updated its system of correction programs for retirement plans known as the Employee Plans Compliance Resolution System (EPCRS). EPCRS permits plan...more
The Internal Revenue Service (IRS) has expanded the determination letter program for individually designed plans. Under Revenue Procedure 2019-20, the IRS will now accept determination letter applications for statutory hybrid...more
The Departments of Labor, Treasury, and Health and Human Services have issued a joint request for information on grandfathered health plans and grandfathered group insurance coverage. Grandfathered plans are group health...more
Last year, the President issued an Executive Order directing the Secretary of the Department of Labor (DOL) to issue regulations to expand access to association health plans (AHPs). Earlier this year, the DOL issued final...more
10/16/2018
/ Affordable Care Act ,
Association Health Plans ,
Department of Labor (DOL) ,
Employee Benefits ,
Employee Definition ,
Employee Retirement Income Security Act (ERISA) ,
Employer Group Health Plans ,
Executive Orders ,
Health Insurance ,
Healthcare Reform ,
Insurance Industry ,
Public Health Insurance Marketplace ,
Regulatory Requirements ,
Trump Administration
Through Revenue Procedure 2018-52, the Internal Revenue Service (IRS) has recently updated its system of correction programs for retirement plans known as the Employee Plans Compliance Resolution System (EPCRS). EPCRS permits...more
10/2/2018
/ 403(b) Plans ,
457(b) Plans ,
Benefit Plan Sponsors ,
Employee Benefits ,
EPCRS ,
Filing Deadlines ,
Filing Requirements ,
Internal Revenue Code (IRC) ,
IRS ,
Retirement Plan ,
Revenue Procedures ,
Tax Audits ,
Tax Penalties ,
U.S. Treasury ,
Voluntary Correction Program
The Internal Revenue Service (IRS) has issued a private letter ruling approving of an employer’s program to provide employees a retirement plan contribution conditioned on student loan repayments. Specifically, the IRS found...more
On June 21, 2018, the Fifth Circuit Court of Appeals issued a mandate vacating the controversial fiduciary rule issued by the U.S. Department of Labor (DOL) in 2016. The mandate follows the court’s opinion issued on March 15,...more
6/27/2018
/ Appeals ,
Best Interest Contract Exemptions ,
Broker-Dealer ,
Department of Labor (DOL) ,
Disclosure Requirements ,
Employee Retirement Income Security Act (ERISA) ,
Fiduciary Rule ,
Financial Services Industry ,
Individual Retirement Account (IRA) ,
Investment Adviser ,
Investment Management ,
Judicial Mandates ,
Retirement Funds ,
Securities and Exchange Commission (SEC) ,
Securities Transactions ,
Vacated
The Department of Labor (DOL) has issued final regulations and FAQs on association health plans (AHPs). The regulations broaden the definition of an “employer” under the Employee Retirement Income Security Act (ERISA). The...more
Earlier this year, Congress passed, and the President signed into law, H.R. 1892, the Bipartisan Budget Act of 2018. In addition to providing a continuing resolution to fund the federal government, the Act includes a change...more
The Tax Cuts and Jobs Act includes a new provision that can delay the taxation of compensation paid to employees of “eligible corporations” in the form of “qualified stock” for up to five years. The provision is set forth in...more
1/5/2018
/ Compensation & Benefits ,
Corporate Taxes ,
Employee Benefits ,
Executive Compensation ,
Fringe Benefits ,
Income Taxes ,
IRC Section 83(b) ,
IRS ,
New Legislation ,
Qualified Restricted Stock Units (RSUs) ,
Tax Cuts and Jobs Act ,
Tax Deductions ,
Tax Deferral ,
Tax Rates ,
Tax Reform ,
Trump Administration
One of the most difficult challenges for owners of family-owned businesses is finding a way to turn their equity in the business into cash. Also, after putting years of hard work into a business, owners often have a desire...more
401(k) plans may allow an employee to receive a distribution of elective contributions (employee deferrals) on account of a hardship. The regulations provide that a distribution is made on account of hardship only if the...more
The Internal Revenue Service (IRS) has issued Revenue Procedure 2016-47, which provides for a new self-certification procedure for participants who receive retirement plan distributions but inadvertently miss the 60-day time...more
8/30/2016
/ 401k ,
403(b) Plans ,
457(b) Plans ,
Distribution Rules ,
Employee Benefits ,
Individual Retirement Account (IRA) ,
IRA Rollovers ,
IRS ,
Plan Administrators ,
Private Letter Rulings ,
Retirement Plan ,
Self-Certification ,
Tax Code ,
Waivers
The Internal Revenue Service (IRS) has recently issued proposed regulations on nonqualified deferred compensation plans under Internal Revenue Code (Code) Section 409A. The regulations clarify and modify specific provisions...more
The Department of Labor (DOL) recently issued an FAQ addressing the inclusion of information about the Health Insurance Exchanges (Marketplace) in COBRA notices. The guidance could be very helpful for employers in directing...more
The Equal Employment Opportunity Commission (EEOC) recently posted on its website a sample employee notice to help employers with wellness programs comply with the agency's recently issued final rule under the Americans with...more
The Internal Revenue Service (IRS), through its Office of Chief Counsel, recently released a memorandum regarding the tax treatment of wellness programs. Although the memorandum is not formal advice that may be relied on, it...more
Sponsors of pre-approved defined contribution retirement plans are generally required to sign new plan documents that incorporate changes required by the Pension Protection Act on or before April 30, 2016. Defined...more
Late last year, another lawsuit was brought on behalf of participants in a 401(k) plan alleging breaches of fiduciary duties resulting from allegedly high plan fees. This type of case is not novel; the law firm that brought...more
Late last year, another lawsuit was brought on behalf of participants in a 401(k) plan alleging breaches of fiduciary duties resulting from allegedly high plan fees. This type of case is not novel; the law firm that brought...more
Last year, the Internal Revenue Service (IRS) announced significant changes to its determination letter program for tax-qualified retirement plans. In Announcement 2015-19, the IRS eliminated the staggered 5-year remedial...more
The Internal Revenue Service (IRS) recently updated its “Nonqualified Deferred Compensation Audit Techniques Guide.” The Guide provides a framework for the IRS to audit nonqualified deferred compensation (NQDC) plans. Since...more
7/20/2015
/ 401k ,
Audits ,
Deferred Compensation ,
FICA Taxes ,
FUTA ,
Income Taxes ,
Internal Revenue Code (IRC) ,
IRS ,
Payroll Taxes ,
Section 162(m) ,
Section 409A ,
Vesting ,
Voluntary Correction Program ,
Wage Withholding