On September 4, 2020, the IRS issued Notice 2020-68 to provide guidance on a number of provisions in the Setting Every Community Up for Retirement Enhancement Act (SECURE Act) affecting retirement plans, as well as Section 104 of the Bipartisan American Miners Act of 2019. Notice 2020-68 also provides guidance on plan amendment deadlines. The Notice provides Q&A guidance on the following SECURE Act Read More
3 Tips for Avoiding Employment Liability Pitfalls During the COVID-19 Pandemic
Even during the best of times, employment liability presents one of the highest costs of doing businesses for employers of all sizes. During the COVID-19 pandemic, employers have had no choice but to be more vigilant than ever in minimizing all expenses, including employee-related expenses. As your risk management partner, we offer you the following three tips to avoid costly employment liability traps during the Read More
Coronavirus Implications to Short- and Long-Term Disability Plans
For a majority of employer-sponsored group disability plans, coverage for a disability linked to COVID-19 is likely to depend on each individual plan’s definition of “disability.” Although definitions may differ from plan to plan, most plans typically state that an employee is considered disabled if he or she is unable to perform the duties of his or her occupation. Employees that test positive for COVID-19 but only Read More
Recent IRS Guidance Proffers Guidance Allowing for Greater Dependent Care FSA Flexibility
On May 12, 2020, the IRS issued Notice 2020-29, giving employers the option to make changes to a § 125 cafeteria plan that would allow eligible employees to make prospective midyear elections and changes to existing elections during 2020 as follows: With respect to employer-sponsored health coverage under fully insured and self-insured plans: Make a new election on a prospective basis, if the employee Read More
Federal Court Strikes Down Certain FFCRA Paid Leave Regulatory Provisions
On August 3, 2020, the U.S. District Court for the Southern District of New York struck down several key provisions of the Department of Labor’s Final Rule regarding the Families First Coronavirus Response Act (FFCRA), which applies to employers with 500 or fewer employees. Under the FFCRA, employees are entitled to up to 80 hours of paid leave if they are: Under a government isolation or quarantine order Read More
Reg BI In Effect: Breakdown of Four Broker-Dealer Obligations
Reg BI - also known as Rule 151-1 of the Securities Exchange Act of 1934 - applies to the code of conduct for broker-dealers and their staff when making recommendations to retail customers regarding securities transactions, investment strategies, asset rollovers, and other related business. It also applies to hold recommendations that are implicit when coming from mutually arranged investment account Read More
IRS Issues Guidance on CARES Act Temporary Relief to Single Employer Defined Benefit Plan Funding Requirements
The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) altered some of the rules for employer health and retirement plans, including allowing sponsors of single-employer defined benefit pension plans to delay 2020 contributions to January 1, 2021. On August 6, 2020, the IRS issued Notice 2020-61 to provide clarification on the CARES Act relief provided to single-employer defined benefit plans. Impact Read More
Changes on the Horizon: Introducing the Securing a Strong Retirement Act of 2020
By Katharine Finley, Hall Benefits Law The end of 2019 and first portion of 2020 ushered in a myriad of legislative and regulatory changes to retirement plans. Late 2019 saw the passage of the Setting Every Community Up for Retirement Act (the “SECURE Act”) which ushered in significant changes effective beginning in 2020. In the midst of rolling out the SECURE Act changes, the Coronavirus Aid, Relief, and Economic Read More
DOL Issues Interim Final Rule on Lifetime Income Annual Benefit Statement Disclosure Requirements
The Setting Every Community Up for Retirement Enhancement Act of 2019 (SECURE Act) added new lifetime income disclosure requirements to benefit statement rules under ERISA. The law now requires that a participant’s total accrued benefit be expressed as a lifetime income stream in the form of a single life annuity. If the participant has a same-age spouse, the total accrued benefit must be expressed as a qualified Read More
LinkedIn 401(k) Plan Latest Target in Lawsuit Alleging Fiduciary Breach
A class action lawsuit has been filed in the U.S. District Court for the Northern District of California against LinkedIn Corporation, its Board of Directors, and its 401(k) Committee, for breach of fiduciary duty under the Employee Retirement Income Security Act (ERISA). Under ERISA, plan fiduciaries must act “solely in the interest of the participants and beneficiaries. The complaint alleges that the defendants Read More
