Under the proposed legislation, any employer or public official who willfully fails to make contributions to public pension plans can face a sentence as low as a $100 fine or as high as 10 years in prison.
Tag: retirement plan legislation
Senator Sherrod Brown (D-Ohio) announced he was named co-chair of the committee; however, there were no press releases at the time of publication announcing other Senate appointees.
Among other things, the bill allows for hardship withdrawals from more contribution types.
The law would have the committee introduce legislation to address the pension crisis by this December.
A white paper unpacks aspects of the new law that will affect a wide range of retirement, benefits and payroll professionals.
Michael Barry, president of the Plan Advisory Services Group, discusses how what was not included in the tax reform bill signals optimism for the U.S. retirement plan system.
“I have received so many emails etc. on tax reform, including articles that conflict with each other, that I am on information overload! Should I be worried?”
The bill would facilitate lifetime income disclosure, clarify the current annuity selection safe harbor and expand access to multiple employer plans.
Nearly two-thirds (64%) of multiemployer plans are in the green zone, according to data from Segal Consulting.
The bill would allow retirement plan sponsors to automatically default participants into receiving plan documents and statements online.
One applies to multiemployer benefit plans and the other applies to single-employer benefit plans.
The Retirement Plan Modernization Act would raise the automatic IRA rollover limit, based on the rate of inflation, from $5,000 to $7,600 and allow for future increases to be indexed for inflation.
In addition, tax-exempt employers would be subject to additional taxation rules.
The act, signed into law last week, allows tax-penalty-free withdrawals and larger loan amounts from retirement accounts than current statutory limits.