Back to Basics During COVID-19
Getting back to the basics during difficult times can lay the groundwork for future success. This holds true for employers grappling with the workforce consequences of COVID-19.
401(k) Solutions
COVID-19 Checklist for Plan Sponsors
As COVID-19 upends business operations, it is changing 401(k) plan management. Plan sponsors face new responsibilities and urgent situations. Below is a checklist of tasks and issues for consideration, with recommendations of service providers whose assistance employers may seek.
Service Providers and the Coronavirus
Serious times make clear the value of 401(k) providers that offer the highest level of service. Amidst the coronavirus, market volatility created by investors reacting to the now-named pandemic reminds plan sponsors how important is their plan’s financial advisor.
Are You Well Served?
Employers sponsoring 401(k) plans depend on their service providers to help them offer a better retirement plan and operate their plan compliantly under ERISA. To assist, we describe below the basic responsibilities of key plan providers as well as additional services employers may seek to enhance their participants’ experience and ease their plan operations.
Avoiding Noncompliance “Traps” Under the SECURE Act
The recently passed SECURE Act offers provisions that benefit employers sponsoring 401(k) plans and their employees, all with the goal of helping more Americans enjoy financial security in retirement. However, sponsors must be ever vigilant to avoid the “trap” of noncompliance, as the SECURE Act creates significantly stiffer penalties for failure to meet certain filing and notification requirements.
2020 A Time to Focus on SECURE Act Incentives
Aptly named the SECURE Act, a law passed by Congress in the waning days of 2019 seeks to help Americans enjoy greater financial security in retirement. The Act contains a wide-ranging set of provisions. While some await the development of implementing regulation, others are immediately available for employers’ consideration and offer benefits for both their organizations and employees.
What Morningstar’s New Investment Study Means for Employers
ERISA tells 401(k) plan sponsor fiduciaries they must act solely in the interest of plan participants and their beneficiaries with the exclusive purpose of providing benefits to them. This includes actions employers take in the trust, as well as the administrative areas, as they manage company retirement plans.
Four Essential Tips to Simplify Year-End Plan Administration
November . . . December . . . January . . . these are busy months for 401(k) sponsors whose plans have a December 31 year-end. With forethought, there’s the opportunity during this busy time to ease plan administration and avoid errors. Before you’re too far into November, consider four areas where a little effort now could reduce frustration down the road.
Know Your Safe Harbor Plan Design Options, Part 2
For employers that choose to operate 401(k) Safe Harbor Plans to encourage all employees to enjoy the tax advantages available to contributing participants, we shared two Safe Harbor Plan design options and their benefits in a previous blog. Today we’ll look at a third Safe Harbor Plan design that provides additional benefits to employers and encourages greater participation and deferrals (contributions) on the part of plan participants.
