The GAO has recommended that the IRS consider clarifying whether transfers from employer-based plans to states constitute reportable and taxable distributions and consider modifying its list of permitted reasons for rolling over savings after the 60-day rollover deadline.
A lawsuit contends that kickback payments Fidelity requires from investment funds bear no relationship to the cost or value of services provided and are a replacement for declining amounts of revenue sharing payments received by Fidelity as a result of the increasing use of passive mutual funds, institutional and R6 share classes of mutual funds and collective trusts.
The case is notable for arguing that an investment that had only a 4 basis point annual fee could have been replaced by one charging only 2 basis points.
The denial leaves in place an appellate court’s decision that claims in a lawsuit against the University of Southern California fell outside the scope of arbitration agreements signed by plaintiffs in the case, so the lawsuit over two of the university’s retirement plans may proceed.
In addition, the agency is holding a three-day webcast series in March.
In addition to a more than $13 million payment, Franklin has agreed to select a non-proprietary target-date fund (TDF) for its 401(k) plan’s investment lineup and increase company match contributions for three years.
Employees of Kroger say Central States’ plan trustees refused to negotiate a proposal with them after they filed an ERISA fiduciary duty lawsuit, but court documents show the trustees attempted negotiations after the filing of the suit and not before.
A letter to Gene Dodaro, Comptroller General of the U.S. Government Accountability Office (GAO), identifies 10 questions federal lawmakers would like the GAO to answer, following its examination.
The legislation would permit employers to contribute up to $5,250 tax-free to their employees’ student loans.
A district court in California has issued a mixed ruling in a self-dealing lawsuit filed against Schwab Retirement Plan Services and other defendants.
The EEOC charged the club with laying off its oldest groundskeeper and telling him the club was “looking to take the staff in a younger direction.”
Recommendations included conducting a comprehensive review of the American retirement system, educating small employers about plan options, allowing for open multiple employer plans (MEPs), changing certain defined contribution (DC) plan rules to facilitate greater savings, and increasing financial and retirement education, especially for women.
If legislation allowing for open multiple employer plans (MEPs) is passed, it will be a while before implementation, and changes it will bring will affect services and business models of nearly every stakeholder in the retirement plan industry.
The proposed amendments would affect the determination of a withdrawing employer's liability under a multiemployer plan and annual withdrawal liability payment amount when the plan has had benefit reductions, benefit suspensions, surcharges or contribution increases that must be disregarded.
The bipartisan bill, which enjoys broad industry support, would add flexibility for small businesses to join multiple employer plans, among other provisions.
Given their diverse backgrounds, the speakers shared different points of emphasis in their testimony, but they all called on the lawmakers present to embrace bipartisanship and to enact commonsense solutions.
A federal judge concluded for a second time that plaintiffs in the suit failed to meet a significant pleading standard set forth in a U.S. Supreme Court decision.
A judge found the plaintiff in the lawsuit was bound by a prior settlement agreement and that MassMutual did not violate that settlement agreement.
In addition, the agency has announced a “Getting It Right – Know Your Fiduciary Responsibilities” three-day webcast series.