The big resignation has a significant impact on a wide range of aspects of American society. There’s one effect you might not think of right away: the effect on retirement savings. With fewer people working, there are fewer people participating in employer-sponsored retirement plans such as 401(k) plans. According toRead More →
Chicago, IL, February 15, 2022 –(PR.com)– Pension Advisors, LLC (RPA) is growing WalletMore, its proprietary Participant Managed Account solution, to include Advisor Managed Account (AMA) platforms. This expansion will bring personalized investment advisory solutions to even more public sector deferred compensation/defined contribution plans and their employees. RPA brings decades ofRead More →
According to a recent report, pension plan providers have the opportunity to sell more products and services to members of their defined contribution plans. The majority of plan members consider their retirement provider – including 401(k) recorders and Individual Retirement Account providers – to be at least somewhat trustworthy, andRead More →
As the number of participants in defined contribution plans continues to grow rapidly and the assets of these plans swell, the role of a financial advisor is now more important than ever. Over the past 20 years, defined contribution plan assets have more than quadrupled and now stand at aroundRead More →
(Photo: Shutterstock) Transferring pension plan operations to a third party, known as “decoupling,” could provide employees with greater options, while reducing costs, risks and administrative burdens for employees, the American Academy of Actuaries in a recent issue. brief. About a third of all private sector workers in the United StatesRead More →
This year, according to Institute of Investment Companies. These include employer-sponsored retirement plans (both defined benefit and defined contribution plans), individual retirement accounts (IRAs), and annuities. Contributor Depositphotos.com/Depositphotos.com – MarketBeat That’s a lot of money. But do these numbers reflect the amount you have saved? Do you have your ducksRead More →
CASE OVERVIEW By Ronald Mann December 3, 2021 at 4:26 p.m. Monday’s argument in Hughes v. Northwestern University will give judges another opportunity to explain the fiduciary duty of the sponsors who control the defined contribution plans that many of us depend on for our retirement. This case is beingRead More →
The current wave of legislative changes in the UK to pension rules are driving up costs and discouraging individuals from becoming trustees, the British Association of Consulting Actuaries warned on Monday. According to a survey by the association, 76% of UK employers expect their plan administrators to consider quitting. AlmostRead More →
Saturday 13 November 2021 A regulation recently proposed by the Ministry of Labor entitled “Prudence and loyalty in the selection of plan investments and the exercise of shareholder rights” (the “Proposal”) Discusses the duties of pension plan trustees when considering economically targeted investments, that is, investments that take into accountRead More →
The Internal Revenue Service announced cost-of-living adjustments in 2022 to dollar limits for qualifying pension plans and other benefits, and the Social Security Administration announced its own cost-of-living adjustments for 2022. Most dollar limits, including the optional deferral contribution limit for the 401 (k), 403 (b) and 457 (b) plans,Read More →
New set of target dates supports growing demand for active equity management from advisors and builds on the success of the MyCompass Index, which has reached over $ 2 billion in plan assets since 2019 Voya Financial, Inc. (NYSE: VOYA), today announced the launch of MyCompass American Funds, the latestRead More →
New set of target dates supports growing demand for active equity management from advisors and builds on the success of the MyCompass Index, which has reached over $ 2 billion in plan assets since 2019 WINDSOR, Connecticut, November 9, 2021– (COMMERCIAL THREAD) – Voya Financial, Inc. (NYSE: VOYA), today announcedRead More →
Voya Financial, Inc. (NYSE: VOYA), today announced the launch of MyCompass American Funds, the latest addition to Voya’s line of Target Date Fund (TDF) solutions for plan sponsors. Now available to all Voya pension plan clients, MyCompass American Funds offers a set of target dates for collective investment trusts (CITs)Read More →
Abstract Our Benefits and Executive Compensation group reminds plan sponsors to prepare for the IRS 2021 year-end changes and offers year-end measures. Qualified modifications Changes under the SECURE Act, CARES Act and hardship regulations Considerations for Safe Haven Plans This notice reminds sponsors of eligible pension plans of the upcomingRead More →
Our Benefits and Executive Compensation group reminds plan sponsors to prepare for the IRS 2021 year-end changes and offers year-end measures. Qualified modifications Changes under the SECURE Act, CARES Act and hardship regulations Considerations for Safe Haven Plans This notice reminds sponsors of eligible pension plans of the upcoming deadlinesRead More →
The Department of Labor’s Employee Benefits Security Administration (EBSA) released a report showing that pension plans are increasing in all aspects: number of plans, members, assets, contributions and disbursements. Data is taken from the 5500 series reports for plan years ending in 2019, the most recent available. The information presentedRead More →
Department of Labor Benefits Security Administration (EBSA) published a report this shows that pension plans are increasing in all aspects: number of plans, members, assets, contributions and disbursements. Data is taken from the 5500 series reports for plan years ending in 2019, the most recent available. The information presented includesRead More →
Empower Retirement, the second largest pension provider in the country1, added about $ 100 billion2 assets under administration (AUA) and 3,000 plans to its platform during the 12-month period ending September 30, 2021. Request for proposals activity over the past year has been higher than any previous year for allRead More →
GREENWOOD VILLAGE, Colorado – (BUSINESS WIRE) – October 20, 2021– Empower Retirement, the nation’s second-largest pension plan provider 1, added approximately $ 100 billion 2 in assets under administration (AUA) and 3,000 plans to its platform during the 12-month period se ending September 30, 2021. Request for proposals activity overRead More →
GREENWOOD VILLAGE, Colorado – (COMMERCIAL THREAD) – Empower Retirement, the country’s second largest pension provider1, added about $ 100 billion2 assets under administration (AUA) and 3,000 plans to its platform during the 12-month period ending September 30, 2021. Request for proposals activity over the past year has been higher thanRead More →
Adds 925,000 new participants; assets under administration exceed $ 1,100 billion Increased emphasis on personalization for individuals; top quality customer service company GREENWOOD VILLAGE, Colorado, October 20, 2021– (COMMERCIAL THREAD) – Empower Retirement, the country’s second largest pension provider1, added about $ 100 billion2 assets under administration (AUA) and 3,000Read More →
Editorial Note: Forbes Advisor may earn a commission on sales made from partner links on this page, but this does not affect the opinions or ratings of our editors. A defined contribution plan is a type of employer sponsored pension plan funded by contributions from employers or employees, or both.Read More →
A 403 (b) is the retirement planning vehicle used by nonprofit or other tax exempt employers of nurses, doctors, teachers, professors, school staff, researchers, members of the clergy and some employees of government organizations. 403 (b) plans are named after the section of the Internal Revenue Service (IRS) code thatRead More →
By Jared Tanimoto, CFP Why not like investing in a sustainable ESG fund in your 401 (k) defined contribution pension plan or similar? The answer is not as obvious as you might think. Jared tanimoto The idea is attractive: while saving tax-advantaged for your own retirement, why not also makeRead More →
The Biden administration has pulled out of work on new rules that would allow employer pension plans to contribute to retirement savings plans based on their workers’ student loan payments. “It kind of fell into the immediate category of ‘we’re working hard’,” William Evans, legal adviser in the Treasury Department’sRead More →
What would you like to know Respondents from a single vendor reported time savings of 17% to 50%, according to Principal Financial Group. Three-quarters of plan sponsors with multiple providers said they would save time using only one provider. Seventy-three percent of sponsors with an accountant said employees were engagedRead More →
Lifetime income disclosure requirement. The Setting Every Community Up for Retirement Enhancement Act of 2019 (the “SECURE Act”), enacted on December 20, 2019, added a new annual disclosure requirement for benefit reports to members and beneficiaries. The new disclosure obligation applies to all defined contribution plans covered by ERISA (forRead More →
According to the United States Small Business Administration, small businesses employ half of all private sector employees in the United States. However, a majority of small businesses do not offer retirement savings benefits to their workers. If you are like many other small business owners in the United States, youRead More →
The Internal Revenue Service has updated and expanded the ability to correct operational and plan documentation flaws with the new and improved Employee Plan Compliance Resolution System (Rev. Proc. 2021-30) (EPCRS). Issued and generally effective July 16, 2021, the EPCRS revises and expands the previous version of the same programRead More →
Defined contribution plans are employer-sponsored retirement plans where employees, and sometimes employers, make regular contributions to the plan, but the payout at retirement depends on how the employee invests the pension. ‘silver. The government places restrictions on how much you can contribute to a defined contribution plan and when youRead More →
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The design of a pension plan can make or break an employee’s ability to maintain their standard of living … [+] retired. Getty Images / iStockphoto The design of a pension plan can make or break an employee’s ability to maintain their standard of living in retirement. Over the pastRead More →
Text size The time of dreams The federal government’s Thrift Savings Plan will begin providing environmental, social and governance funds in 2022, the latest sign of the growing acceptance of sustainable investing by pension plans. ESG funds will be available in a new “mutual fund window,” similar to a brokerageRead More →
While pension plan committees, also known as plan fiduciary or supervisory committees, have structures as diverse as the companies that sponsor them, new research shows key consistency in how committees are designed and operated. Pension committees are responsible for a wide range of decisions regarding the operation, benefits and costsRead More →
(Photo: Shutterstock) More than three-quarters — 77% — of Americans believe all workers should have access to a retirement plan, study finds National Institute on Retirement Security. Two-thirds believe pensions promise a more secure retirement than the ubiquitous 401(k) plan. Americans’ support for retirement is not surprising given the currentRead More →
(Photo: Shutterstock) Group employer plans (PEPs) were created to give employees of small businesses access to a defined contribution pension plan, with the promise of easing administrative hardship for small business owners. Suppliers are stepping up to offer them, advisors are talking about them, and employers are curious about them.Read More →
By Joseph Stenken, J.D. When most people think of investments to use in a qualified retirement plan, they usually think of mutual funds or individual stocks. What many people may not realize is that it is also possible to use retirement plan assets to purchase life insurance as part ofRead More →
Reprocessing puzzle solved. Getty Most people who work for companies can set aside money through a 401(k) or equivalent program. But if you’re retired or a business owner, you can also put a plan in place. Bruce Bell, attorney in the Chicago office of Schoenberg Finkel Beederman Bell Cooler, showsRead More →
The US Department of Labor (DOL) has unveiled an interim final rule (the “Lifetime Income Disclosure Rule”) that adds a new lifetime income disclosure requirement for administrators of defined contribution plans (for example, plans covered by Section 401 of the Internal Revenue Code (Code) (k) or Section 403 (b) ofRead More →
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What is an employee contribution plan? An employee contribution plan is a type of employer savings plan. By choosing to participate in the plan, employees contribute a percentage of their salary to the plan, which is then invested on their behalf by a third-party plan administrator. Employers, on the otherRead More →
The IRS recently issued to document vendor opinion letter approvals for updated and pre-approved documents for defined contribution plans. This starts the next cycle of required restatements of the defined contribution plan documents. If you are an employer who is currently sponsoring a 401 (k) plan, profit sharing plan, moneyRead More →
Earlier this year, we discussed the lifetime income disclosure requirement included in the Every Community Establishment for Retirement Enhancement Act of 2019 (the “SECURE Act”). When the disclosure requirement takes full effect, the benefit statement issued by each defined contribution plan governed by ERISA must include lifetime income illustrations andRead More →
(Photo: Shutterstock) Sales of defined contribution plans are expected to take a hit in 2020 as the coronavirus pandemic has prompted many employers to postpone or cancel the competition of their plans. A survey of archivists by the Secure Retirement Institute and the Retirement Leadership Forum found that DC planRead More →
Adam Orr | aorr@shj.com Big changes are afoot for BMW employee benefits as the company moves away from pensions to employee retirement accounts. BMW spokeswoman Mariella Kapsaskis said the company will freeze its retirement system on June 30 for employees who were hired before March 1, 2012. After that date,Read More →
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While many would agree that saving for retirement is a great financial deal, a significant number of employees still do not participate in their employer-sponsored retirement plans. Lack of participation can be the result of insufficient income to contribute to retirement. However, many times employees do not participate because theyRead More →
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What is a defined contribution (DC) plan? A defined contribution (DC) plan is a generally tax-deferred retirement plan, such as a 401 (k) or 403 (b), in which employees pay a fixed amount or percentage of their salary into an account intended for finance their retirement. The sponsoring company, atRead More →
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Defined benefit plan or defined contribution plan: an overview Employer pension plans are divided into two broad categories: defined benefit plans and defined contribution plans. As the name suggests, a defined benefit plan, also known as a traditional pension plan, provides a specified payment amount at retirement. A defined contributionRead More →
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A qualified retirement plan is simply a plan that meets the requirements set forth in section 401(a) of the US tax code. This does not mean that other types of plans are not available to build your nest egg. However, the majority of retirement savings programs offered by employers areRead More →
Michigan Blue Shield Blue Cross approved a plan to convert its retiree health insurance plan to a defined contribution plan that will allow it to budget health care costs more accurately and offer more flexible options to its retirees, Crain’s has learned. The changes affect participants who retired after JanuaryRead More →
Don Redeem | Register of Monks The Iowa General Assembly must change the state employee pension system, known as IPERS, from the current defined benefit plan to a defined contribution plan as soon as possible. The Public Interest Institute has written about this problem and its solution several times inRead More →