The IRS recently published two pieces of guidance regarding documentation requirements for supporting proper safe harbor hardship distributions. First, on February 23, in an internal memorandum, the IRS provided guidelines for its employees who will examine whether a section 401(k) plan hardship distribution is “deemed to be on account of an immediate and heavy financial […]
In keeping with the current trend in ERISA litigation, two more cases recently were resolved via settlement agreements between the litigants. Gordan v. Mass. Mutual Life Ins. Co. (United States District Court for the District of Massachusetts): In this class action lawsuit that was filed in 2013, the plaintiffs are participants in the retirement […]
When: Wednesday, April 20, 2016 Location: Empower Retirement Conference Center 8525 E. Orchard Road, Greenwood Village, CO 80111 Time: 8:00 am – 12:30 pm Included: Continental Breakfast, Workshop and Lunch Cost: Free to MRP’s plan sponsor clients and invited guestsWorkshop Topics: “Report for Duty” Your changing role as a plan fiduciary & plan fees “Drone Strikes” Collective […]
The U.S. District Court for the Eastern District of Pennsylvania (the “Court”) recently issued its decision in the case of Zgrablich v. Cardone Industries, Inc., dealing with ERISA’s application to certain severance provisions in an employment agreement. After the plaintiff was fired from his executive position with the defendant, the defendant refused to pay him […]
Plan sponsors using a “pre-approved” retirement plan document for their defined contribution plan (in the form of either a prototype or a volume submitter) generally must execute a plan restatement on or before April 30, 2016. The exception to that general rule applies to sponsors of pre-approved defined contribution plans adopted on or after January […]
On December 29, 2015, the United States Court of Appeals for the Third Circuit (the “Court”) issued its decision in the case of Kaplan v. St. Peter’s Healthcare System. The case involved ERISA’s provisions that exempt certain church plans from its coverage (e.g., reporting and disclosure rules; rules governing fiduciaries’ conduct). By way of background, […]
To the relief/delight of many CPAs who audit employee benefit plans, a recent law that would have extended the Form 5500 deadline was repealed on December 4, 2015. As background, on July 31, 2015, President Obama signed the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015 (the “2015 Act”). Among other provisions, […]
On November 9, the litigants in Kruger v. Novant Health, Inc. submitted a proposed settlement agreement (the “Agreement”) for approval to the United States District Court for the Middle District of North Carolina (the “Court”). Under the Agreement, Novant Health, Inc. and fiduciaries of various Novant Health, Inc. retirement plans (the “Defendants”) will pay $32 […]
In the DOL’s ERISA Interpretive Bulletin 2015-02 (the “IB”), which became effective on November 18, 2015 (without a public comment period), the DOL begins by explaining that “concern over adverse social and economic consequences of inadequate retirement savings levels has prompted several states to adopt or consider legislation to address this problem.” The IB provides […]
On December 4, the DOL released an advance copy of the 2015 Form 5500 (for large plans) and Form 5500-SF (for small plans). It is always interesting to review the newly-released instructions each year to see what changes are being made to the Form 5500 series. For 2015, important changes have been made, in the […]