Understanding Employee Benefits

DOL Gives Retirement Plan Sponsors of Participant Directed Retirement Plans Additional Time to Provide Employee Fee Disclosures

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U.S. Department of Labor (DOL) regulations require 401(k) plan fiduciaries to provide plan participants with a detailed disclosure statement about the plan’s designated investment alternatives, prior to initial enrollment and at least annually thereafter. The DOL’s Employee Benefits Security Administration (EBSA) has interpreted the “annual disclosure requirement” to mean that... Read More

Topics: Fiduciary Guidance, Retirement Plans

DEPARTMENT OF LABOR AND AICPA COMMENT ON DEFICIENT EMPLOYEE BENEFIT PLAN AUDITS

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At a recent American Institute of Certified Public Accountants (”AICPA”) conference, the Deputy Assistant Secretary of the Department of Labor Employee Benefits Security Administration reportedly commented that the ERISA benefit plan audits are deficient in over 1/3 of the audits they receive according to their recent survey of filings. In... Read More

Topics: Fiduciary Guidance, Form 5500s, Retirement Plans, Welfare Plans

Lost Participant? Did you Try Google?

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The Employee Benefits Security Administration (EBSA) of the U.S. Department of Labor recently updated its guidance to retirement plan fiduciaries on due diligence and efforts to locate missing participants in the case of terminated defined contribution plans. Field Assistance Bulletin (FAB) 2014-01 http://www.dol.gov/ebsa/regs/fab2014-1.html. Under the new FAB, the EBSA clarifies... Read More

Topics: Fiduciary Guidance, Retirement Plans

Another Way to Become Personally Liable to a Multiemployer Plan

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I have blogged in the past about individuals and businesses that are not signatories to a collective bargaining agreement being found liable for withdrawal liability imposed by multiemployer pension plans (plans jointly trusteed by union and management trustees for the benefit of a number of unionized employers). Withdrawal liability is... Read More

Topics: Fiduciary Guidance, Multi-employer Plans

Despite upholding a $13.4 million judgment against plan fiduciaries, the Eighth Circuit gives plan sponsors a lot to like in Tussey decision.

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On March 19, 2014, a three judge panel of the United States Court of Appeals for the Eighth Circuit issued its decision in Tussey v. ABB, Inc., No. 12-2056 (8th Cir. Mar. 19, 2014).  The case came to the Eighth Circuit on an appeal of a decision by the United... Read More

Topics: ERISA and Other Benefits Litigation, Fiduciary Guidance, Retirement Plans

“Having Trouble Understanding Your Fiduciary Fee Disclosures?” DOL Proposes Regulations Requiring New Disclosure “Guide”.

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As noted in my previous Blog entries regarding the ERISA Section 408(b)(2) fee disclosures from covered service providers to plan fiduciaries, the original disclosures were required by July 1, 2012. Since that time, the U.S. Department of Labor (DOL) has been requesting copies of the required disclosures from plan sponsors... Read More

Topics: Fiduciary Guidance, Retirement Plans

Labor Advises on Fiduciary Treatment of Revenue Sharing Payments

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On July 3, 2013 the Employee Benefits Security Administration issued ERISA Advisory Opinion 2013-03A http://www.dol.gov/ebsa/regs/AOs/ao2013-03a.html (the “AO”) to the Groom Law Group which had submitted a request on behalf of Principal Life Insurance Company (“Principal”). The primary question presented was whether revenue sharing payments received by record-keepers such as Principal... Read More

Topics: ERISA and Other Benefits Litigation, Fiduciary Guidance, Retirement Plans