Newsdash Insight on Plan Design & Investment Strategy from PLANSPONSOR
June 24th, 2016
Benefits & Administration
Study Supports Offering Student Loan Repayment Benefit
Employers recognize the need for student loan repayment assistance as part of their employee benefits package, a survey of 400 managers by IonTuition found. Seventy-five percent think employees with student loans contribute less to their 401(k)s.Read more >
Products, Deals and People
Mercer Offers Financial Wellness Program
Mercer has launched Mercer Financial Wellness, a digital solution that integrates independent experts on the subjects of asset growth, debt management and budgeting.Read more >
MOST READ ARTICLES
1
2021 Plan Sponsor of the Year
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How to Effectively Measure Retirement Plan Success
3
2020 Recordkeeping Survey
4
CARES Act Considerations: CRDs, RMDs, Taxes and More
5
Settlement Reached in Insperity 401(k) Excessive Fee, Self-Dealing Suit
Investment Product and Service Launches
American Century Investments redesigns and renames large cap equity fund; Wilshire Associates Incorporated announces the launch of the Wilshire Bond Index.Read more >
Economic Events

Sales of new single-family houses in May were at a seasonally adjusted annual rate of 551,000, according to estimates released jointly by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 6.0% below the revised April rate of 586,000, but is 8.7% above the May 2015 estimate of 507,000.

In the week ending June 18, the advance figure for seasonally adjusted initial claims for unemployment insurance was 259,000, a decrease of 18,000 from the previous week’s unrevised level of 277,000, the Labor Department reported. The four-week moving average was 267,000, a decrease of 2,250 from the previous week’s unrevised average of 269,250.

The average interest rate on a 30-year fixed-rate mortgage is 3.56%, up from 3.54% one week ago. The average interest rate for a 15-year fixed-rate mortgage is 2.83%, up from 2.81%.
Market Mirror

Major U.S. stock indices saw big gains Thursday. The Dow gained 230.24 points (1.29%) to finish at 18,011.07, the NASDAQ closed 76.72 points (1.59%) higher at 4,910.04, and the S&P 500 increased 27.86 points (1.34%) to 2,113.31. The Russell 2000 was up 23.25 points (2.02%) at 1,172.22, and the Wilshire 5000 climbed 309.37 points (1.43%) to 21,884.31.

On the NYSE, 3.1 billion shares changed hands, with advancing issues outnumbering declining issues nearly 5 to 1. On the NASDAQ, 2.7 billion shares traded, with a more than 3 to1 lead for advancers.

The price of the 10-year Treasury note decreased 17/32, bringing its yield up to 1.746%. The price of the 30-year Treasury bond fell 1 5/32, increasing its yield to 2.556%.
Compliance
Proposed Rules Issued About Application of 409A to NQDC Plans
The Internal Revenue Service (IRS) has proposed regulations that would clarify or modify certain specific provisions of the final regulations under section 409A. This proposal also withdraws a specific provision of the notice of proposed rulemaking published in the Federal Register on December 8, 2008, regarding the calculation of amounts includible in income under Section 409A(a)(1) and replaces that provision with revised proposed regulations.Read more >
IRS Proposes Deferred Compensation Plan Tax Regulations
The IRS has proposed new regulations and announced a related public hearing on the subject of taxation of benefits under deferred compensation plans run by state/local governments and other tax-exempt entities.Read more >
IRS Hosting Webcast About Closed DB Nondiscrimination Rules
The Internal Revenue Service (IRS) is hosting a free webcast about the nondiscrimination rules for closed pension plans. The agency proposed nondiscrimination relief for closed defined benefit (DB) plans in January.Read more >
Small Talk

ON THIS DATE: In 1497, Italian explorer John Cabot, sailing in the service of England, landed in North America on what is now Newfoundland. In 1509, Henry VIII was crowned King of England. In 1664, New Jersey, named after the Isle of Jersey, was founded. In 1844, Charles Goodyear was granted U.S. patent #3,633 for vulcanized rubber. In 1896, Booker T. Washington became the first African American to receive an honorary MA degree from Howard University. In 1922, the American Professional Football Association took the name of The National Football League. In 1940, TV cameras were used for the first time in a political convention as the Republicans convened in Philadelphia. In 1964, the Federal Trade Commission announced that starting in 1965, cigarette manufactures would be required to include warnings on their packaging about the harmful effects of smoking. In 1982, the U.S. Supreme Court ruled 5-4 that no president could be sued for damages connected with actions taken while serving as President of the United States. In 1986, the Empire State Building was designated a National Historic Landmark. In 1997, the U.S. Air Force released a report titled “The Roswell Report, Case Closed” that dismissed the claims that an alien spacecraft had crashed in Roswell, New Mexico, in 1947. In 2002, the U.S. Supreme Court ruled that juries, not judges, must make the decision to give a convicted killer the death penalty.

 

And now it’s time for FRIDAY FILES!
Exercising can be dangerous.Read more >
Helpful uses for shaving cream.Read more >

In Boston, Massachusetts, a 31-year-old man hand-delivered an apology letter, along with $300 in cash, to the Massachusetts Bay Transportation Authority. According to the Associated Press, that’s the amount he believes he owes the MBTA for evading fares. The man told the Boston Globe he avoided paying the train fare whenever he could as a teenager and in his 20s.

In St. John’s, Newfoundland, a woman ordered a pizza and didn’t feel it had enough cheese on it. She called the pizza company to complain, but didn’t like its response. So, she called 911 to report it.

In Rosenberg, Texas, a woman underwent jaw surgery to fix an overbite, and suffered nerve damage. She now speaks with a British accent and has been diagnosed with foreign accent syndrome.
More than eight minutes long, but worth watching this 8th grader give his graduation speech as several presidential candidates.Read more >

In Blue Hill, Maine, back in 1976 a chemistry teacher took a freshly unwrapped Twinkie and placed it on top of a chalkboard in his classroom so he and his students could see how long it would take to decompose. That question remains unanswered to this day, with said Twinkie having outlasted both the teacher’s career and Interstate Bakeries Corp., the original company that manufactured Twinkies from 1930 until it filed for bankruptcy in 2012. According to the Bangor Daily News, today, the same Twinkie sits in a glass case on a shelf in the office of George Stevens Academy’s dean of students, looking a tad more ashen in color than it used to but nonetheless in one recognizable piece, except for a few crumbs that have fallen to the side.

In Queensland, Australia, a woman woke up to a 17-foot python stretched from her lounge room to her bedroom. The woman says the snake has been living in her roof for 10 years, and she named him Monty. But, it was when the python made its way into the house that she called someone to capture it.

In Trussville, Alabama, a 15-year-old girl was at a church sleepover when she spotted a Barney the Dinosaur head the pastor had bought and used for various activities. She thought she would scare her friends as they came down the stairs by putting on the head. However, as she sat down to wait, the head fell over her shoulders. When her friends showed up, she realized she could not get out of it. Her four friends and the parents of one of the friends then tried to get the girl out of the head. It wouldn’t budge. According to AL.com, they slathered Vaseline on her arms, but the head still wouldn’t come off. So, they all piled into a minivan and headed to the fire station, where firefighters made some release cuts in the back of the head to relieve the pressure and remove it.

Have a wonderful weekend, everyone!
Share the good news with a friend! Pass the NewsDash along—and tell your friends/associates they can sign up for their own copy.Read more >

Editorial: Alison Cooke Mintzer alison.mintzer@strategic-i.com

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