Retirement Regulation

The Biden administration released draft guidance on a new program that allows Medicare prescription drug plan enrollees to pay out-of-pocket drug costs in monthly installments beginning in 2025.

The new retirement law expands the IRS' Employee Plans Compliance Resolution System, so now's a good time for plan sponsors to get their ducks in a row, according to this employment law and benefits attorney.

The ERISA Industry Committee (ERIC), a national non-profit organization that represents the largest employers in the U.S., is calling on Congress to re-examine the premiums paid by companies that sponsor defined benefits (DB) plans.

The software provider was accused of mismanaging its profit-sharing 401(k) plan and failing to fulfill its fiduciary duties by diversifying the plan's assets, which resulted in significant losses, according to the Labor Department.

A second judge ruled the DOL's 5-part test to determine what defines "fiduciary" should be struck down, which was a victory for the Federation of Americans for Consumer Choice, an advocacy group for insurance distributors.

Only 41% of small business owners (and 69% of mid-size owners) are aware of emergency savings opportunities for employees provided by SECURE 2.0, while even fewer know about student loan matching options.

The ESG Working Group plans to focus on how ESG-centric investing prioritizes ideology over profits, they say, to the detriment of consumers, claiming "the Biden Administration is making it harder for Americans to retire."

Most plan sponsors are monitoring regulatory changes, properly managing plan operations and have appropriate fund and investments offerings, but even with diligent effort, mistakes will happen.