Near-retirees broadly worry about future health care costs, the impact of inflation and market downturns—but relatively few are tackling the subject of income taxes in retirement.
Michael Barry, president of the Plan Advisory Services Group, delves into fee litigation assumptions—and what is wrong with them.
“I administer an Employee Retirement Income Security Act (ERISA) 403(b) retirement plan, and our plan provides for early retirement distributions in the event of disability. I was just informed that final disability regulations took effect April 1st, but I know that we did not amend our plan to reflect these new regulations. Should I panic?”
“We currently sponsor an Employee Retirement Income Security Act (ERISA) 403(b) plan where all contributions are 100% vested. However we are contemplating amending the plan to install a 5-year graded schedule for employer contributions.
“It is my understanding that retirement plans under the Employee Retirement Income Security Act (ERISA) are required to keep documents necessary to determine benefits as long as needed for benefit determination.
As the Department of Labor (DOL) fiduciary rule process appears destined for defeat, experts speculate about the possibility that the SEC could take its own regulatory actions to address adviser conflict of interests; some say a new SEC rule could be proposed this week.
Shifting responsibility of investment decision making to a discretionary manager offers a host of benefits to defined benefit plan and defined contribution plan sponsors, such as cost savings and better returns—benefits that trickle down to participants.
Retirement plan sponsors that take cybersecurity seriously are less likely to see their participants’ assets and personal information affected by a successful cyberattack.
“Our university recently instituted a ‘phased retirement’ program for faculty where they can gradually transition into retirement by working a reduced schedule while still retaining university benefits. After two years, the faculty member then formally retires from the university. Such employees remain eligible for retirement plan benefits until they actually retire, but my question relates to in-service distributions.
Just as people diversify their investments, the Roth option is viewed as a way to diversify the tax treatment of savings. Here’s what plan sponsors need to know about Roth accounts and in-plan Roth conversions.
Passive TDFs are not always the safer fiduciary choice and not always the better choice for DC plan investors.
“Recently the recordkeeper who is taking over administration of our Employee Retirement Income Security Act (ERISA) 403(b) plan from a prior recordkeeper asked for the identity of the plan’s “named fiduciary.” Though I am well familiar with who the plan’s fiduciaries are, I am unfamiliar with the term “named fiduciary.” Can the Experts clarify?”
Michael Barry, president of the Plan Advisory Services Group, opines about the most important role of the employer in the employer-sponsored 401(k) plan system.
In an age where technology rules, call centers are still an important tool for those wanting a more personal experience.
“I read your Ask the Experts last year on the maximum permissible vesting schedules for a defined contribution retirement plan. But what if I don’t use the maximum vesting schedules for employer contributions (three year cliff or six-year graded)? What other restrictions apply?”