Fiduciaries responsible for the investment of almost $30 trillion in U.S. retirement funds are required by federal law (ERISA) to discharge their duties “solely in the interest of participants and beneficiaries” for the...more
The U.S. Department of Labor issued Compliance Release No. 2022-01 on March 10, 2022, raising “serious concerns” over the prudence of retirement plan fiduciaries’ investing in cryptocurrencies, and cautioning plan fiduciaries...more
ERISA generally requires retirement plan fiduciaries to invest prudently, diversify assets to minimize the risk of large losses, and act solely in the interest of plan participants. These duties have been interpreted as...more
The U.S. Department of Labor has recently issued a proposal for meeting fiduciary duties when evaluating retirement plan investments having environmental, social and governance (ESG) factors....more
The U.S. Supreme Court recently heard arguments in Hughes v. Northwestern University, in which the Seventh Circuit Court of Appeals had rejected claims that the fiduciaries of two defined contribution retirement plans at...more
2/17/2022
/ 401k ,
Benefit Plan Sponsors ,
Class Action ,
Duty of Prudence ,
Employee Retirement Income Security Act (ERISA) ,
Excessive Fees ,
Fees ,
Fiduciary Duty ,
Hughes v. Northwestern University ,
Plan Participants ,
Remand ,
Retirement Plan ,
Retirement Plan Providers ,
SCOTUS
Private Equity Investments in Defined Contribution Plans -
The US Department of Labor (DOL) recently concluded in Information Letter 06-03-2020 that, if properly structured, offering a professionally managed fund with a...more
7/7/2020
/ 401k ,
Defined Contribution Plans ,
Department of Labor (DOL) ,
Employee Benefits ,
Employee Retirement Income Security Act (ERISA) ,
Fiduciary Duty ,
Information Letters ,
Investment ,
Investment Management ,
Private Equity ,
Retirement Plan
Major changes are coming that will affect the income and estate tax planning of retirement savings. These changes, under the bipartisan SECURE Act, will become law once the President signs the Consolidated Appropriations Act...more
12/23/2019
/ 401k ,
Compensation & Benefits ,
Defined Contribution Plans ,
Distribution Rules ,
Employee Benefits ,
Estate Tax ,
Form 5500 ,
Individual Retirement Account (IRA) ,
Inherited IRA ,
Multiple Employer Plan (MEP) ,
New Legislation ,
Retirement Plan ,
SECURE Act ,
Tax Planning
New federal rules apply for processing disability claims made under employee benefit and executive deferred compensation plans after April 1, 2018. Employers sponsoring retirement plans, disability plans, or nonqualified...more
An employer is required to file an annual audit report of its retirement plan with the federal government if the plan has over 100 participants. Form 5500 submissions that omit a required audit report in any year invite...more
The new federal tax reform, signed into law by President Trump on December 22, 2017, will change tax liabilities and strategies for many organizations and individuals beginning this year. The following is a summary of key...more
1/25/2018
/ Carried Interest ,
Corporate Taxes ,
Equity Compensation ,
Excise Tax ,
Executive Compensation ,
Health Insurance ,
Pass-Through Entities ,
Retirement Plan ,
Section 409A ,
Tax Cuts and Jobs Act ,
Tax Deductions ,
Tax Exempt Entities
The proposed federal tax reform now being considered in Congress would make many changes after this year, if passed into law. The following areas are under consideration as of November 27, 2017 for domestic businesses,...more
Targeting Educational Institutions -
Since August, 2016, sixteen institutions of higher education with large retirement plans have become targets of federal lawsuits for breach of fiduciary duty under ERISA. To date, the...more
Financial institutions that sell mutual funds to the public often maintain 401(k) and other retirement plans for their own employees. In these plans, many financial institutions make their own mutual funds available to...more
The latest chapter in the 6-1/2 year history of the Department of Labor (DOL) final Fiduciary Rule is a 60-day delay of part of the final regulations, and a delay until January 1, 2018 for certain disclosures and other...more
CAMPAIGN PROMISES AND THE FIDUCIARY FIGHT -
President Elect Trump’s campaign website states that he intends to issue a moratorium on new regulations that are “not compelled by Congress or public safety.” His stated goal...more
For years, employers have been getting a free pass from the courts for a number of different violations of the Employee Retirement Income Security Act of 1974 ("ERISA") relating to the operation of retirement, medical,...more
Many employers offer 401(k) and other retirement plans for their employees as part of the cost of doing business. Too often, retirement plans are established and operated without much thought given to the numerous legal...more