On Aug. 18 the Department of Labor’s (DOL) Employee Benefits Security Administration released an interim final rule (IFR) on the lifetime income illustrations defined contribution plans will be required to provide participants annually. The rule was a SECURE Act requirement and, following a 60-day comment period, the interim final rule will take effect 12 months after its publication.

Key Rules

Any retirement income model is based on a mix of hard data, assumptions and projections; the IFR spells out what sponsors need to cover in their illustrations:

Assumed account balance: Current balance, i.e., not adjusted for anticipated contributions or earnings.

Assumed commencement date: Regardless of the participant’s anticipated retirement date, the illustration must assume that the monthly income benefit will start on the last day of the benefit starting period.

Assumed age: The required assumption is that the participant will be age 67 on the benefit’s starting date. If the

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Law360 (August 31, 2020, 6:55 PM EDT) — Employees’ weekly work hours don’t have to see-saw above and below 40 hours for their employer to tally overtime wages using the so-called fluctuating workweek formula, the U.S. Department of Labor said in one of four new guidance letters unveiled Monday.

The letters, which were all written by Wage and Hour Division Administrator Cheryl Stanton, were issued by the DOL in response to questions from individuals and employers affected by federal wage laws. The letters don’t identify who posed the questions, but they do provide circumstantial information about them.

In her letter regarding the fluctuating workweek, Stanton said that employers can…

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Trump’s U. S. Department of Labor is pushing 401k sponsors to include the highest cost, highest risk, most secretive “private equity” investments ever devised by Wall Street in the retirement plans they offer to America’s workers.

Chairman of the U.S. Securities and Exchange Commission Jay Clayton claims including private equity in 401ks will allow workers to choose “professionally managed funds that more closely match the… asset allocation strategies pursued by many well-managed pension funds.”

Neither Trump’s DOL nor SEC has said a word to 401ks about the massive dangers related to private equity investing.

If you are a corporation that sponsors a 401k retirement plan for your employees or a worker

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