Hey Joel! Should Stable Value Information Be Included In Our Investment Policy Statement?

Welcome to Hey Joel! This forum answers plan sponsor questions from all over the country by our in-house former practicing ERISA attorney. Hey Joel, Should stable value information be included in our investment policy statement? ~ Paranoid in Portland Dear Paranoid, The cash or principal preservation alternatives can be quite varied in scope. As a result it is extremely difficult to create language that would … Continue reading Hey Joel! Should Stable Value Information Be Included In Our Investment Policy Statement?

The Evolving Workscape

Adapt to the shifting priorities of modern workers to attract and retain the best talent Longevity, demographic changes and technological innovation have revolutionized the world of work. As many employers face a coming wave of baby-boomer retirements, the resulting gaps in unique skills, experience and institutional knowledge may be difficult to fill. Keeping mature workers engaged may help ensure that your company retains the employee … Continue reading The Evolving Workscape

Millennials Know It All. But Are They Saving for Retirement?

Millennials – they’ve infiltrated the workplace and bring expertise in social media, individuality, technology and hipster bars. But, what do they know about saving for retirement? Typically, younger people don’t make retirement savings a priority. Living expenses, student debt, rent or house payments, and other day-to-day expenses mean that retirement savings take a back seat. In fact, a Franklin Templeton Investments survey from January 2016 … Continue reading Millennials Know It All. But Are They Saving for Retirement?

Hey Joel! What’s the Appropriate Number of Members and Positions for a Retirement Plan Committee?

Welcome to Hey Joel! This forum answers plan sponsor questions from all over the country by our in-house former practicing ERISA attorney. Hey Joel, What’s the appropriate number of members and positions for a retirement plan committee?  ~ Plannin’ in Pennsylvania   Dear Plannin’, There is no specific guidance on the appropriate number of committee members. It’s important to have committee members who can contribute to … Continue reading Hey Joel! What’s the Appropriate Number of Members and Positions for a Retirement Plan Committee?

Retirement Committee

How Many Investment Options Should You Offer?

Many plan sponsors struggle with deciding how many investment options to offer in their retirement plans. While people generally like to have lots of options when making other decisions, having too many plan options can potentially lead to poor investment decisions by plan participants. In addition, increasing plan options can also increase plan costs, as well as the administrative paperwork associated with the plan. In … Continue reading How Many Investment Options Should You Offer?

ABB Settles for $55 Million

ABB recently announced the settlement of a lawsuit involving its 401(k) Plan. This settlement is another victory for the law firm of Schlichter, Bogard & Denton in St. Louis. Earlier this year, it obtained a $10 million settlement in a suit brought against Duke University. Filed in 2013, this suit has now dragged on for almost 13 years. It was one of the first class … Continue reading ABB Settles for $55 Million

DOL’s New Fiduciary Rule & the SEC’s Best Interests Rule – Is No News Good News?

Neither the Department of Labor (DOL) nor the Securities & Exchange Commission (SEC) has given any indication of how they are progressing with their new respective fiduciary rules. Last year, both agencies said they would publish their respective rules in September of this year. At this point, it seems unlikely either agency will meet this deadline. Additionally, it is possible these rules may never materialize … Continue reading DOL’s New Fiduciary Rule & the SEC’s Best Interests Rule – Is No News Good News?

Wells Fargo – Principal Agrees to Buy Retirement Business

Wells Fargo sold off a number of business units in an effort to better focus on its core banking business. In the latest deal, Principal Financial Group agreed to purchase Wells Fargo’s retirement and trust services business for $1.2 billion. This is a substantial acquisition. This business represents $827 billion in retirement plan assets with 7.5 million participants. This transaction will increase Principal’s footprint in … Continue reading Wells Fargo – Principal Agrees to Buy Retirement Business

Retirement is a Long Way Off Until It’s Not – Should I Supplement My Retirement Savings With an IRA?

IRAs are an effective way for individuals covered by employer-sponsored retirement plans to supplement their retirement savings. Anyone can make IRA contributions up to the annual limit. For 2019, this limit is $6,000, plus an additional catch-up contribution of $1,000 for taxpayers 50 and older. For traditional IRAs, contributions are tax deductible in the year made. Taxes are deferred on both contributions and earnings until … Continue reading Retirement is a Long Way Off Until It’s Not – Should I Supplement My Retirement Savings With an IRA?

Washington Update

A number of bills are moving rapidly through the House and the Senate that would (if passed and signed) enhance the retirement plans of many Americans.  While these bills continue to morph, below is a general description of provisions as of early April 2019. Retirement Security & Savings Act Senators Rob Portman (R-Ohio) and Ben Cardin (D-Maryland) introduced the Retirement Security & Savings Act in … Continue reading Washington Update