The Internal Revenue Service (IRS) gave plan sponsors an early Christmas gift with the release of new guidance late last year addressing several key provisions contained in SECURE 2.0. A welcome portion of the notice was further guidance on the new option allowing for participants in 401(k) and 403(b) plans to elect to receive employer matching ...
Most retirement plan sponsors know that ERISA - the federal law that imposes duties (and liability for breaching those duties) on certain individuals and entities that are defined as plan fiduciaries – is the primary source of fiduciary law for plans. Governmental plans are not subject to ERISA. Therefore, we must turn to other legal sources such ...
Beginning this year, plan sponsors may increase their qualified plan’s mandatory cash-out limit from $5,000 to $7,000. The increase was enacted by SECURE 2.0, and applies to distributions made after December 31, 2023. This seemingly small change could have large financial consequences for your plan, especially if you are a small employer.
Congress continues to pass laws that move 403(b) plans ever closer to 401(k) plans, but 403(b) plans remain distinct. Understanding these differences allows you to maintain a compliant plan that best serves the needs of your participants. Special aspects of 403(b) plans include the following:
Types of Plan Sponsors
Not just any type of employer ...
Unless an exception applies, all ERISA-covered benefit plans have to file an annual Form 5500 each year with the DOL and IRS (filed through the DOL’s website). Plan sponsors have the ability to combine their welfare plan filings (e.g., medical, dental, vision, disability, life, etc.) into a single Form 5500. Filing a single form can cut down ...
Late last year, the Department of Health and Human Services (HHS) issued its first HIPAA settlement agreement involving a ransomware attack. In the press release announcing the settlement, HHS stated that they began investigating Doctors’ Management Services, a Massachusetts-based medical management company, in April 2019 after ...