BPP401k.com Newsletter
October 1, 2008

News Highlights

Is Your 401k Plan Protected With the turmoil in the financial services sector, you might be concerned about the safety of all that money you've allowed to be deducted from your paycheck and invested in a 401k or other retirement account.

Market Turbulence Has Implications for ERISA Fiduciaries The recent turmoil in the financial markets, while troubling for individual investors, also has potentially significant implications for ERISA fiduciaries. Individuals and committees who have investment authority over plan assets should reevaluate their portfolios in light of these developments.

How New DOL Fee Disclosure Rules Could Affect You Over the past year the DOL has proposed a series of fee-related regulations designed to enhance disclosure to the government, to plan fiduciaries, and to plan participants. In this article, the Vanguard Plan Consulting Group focuses on proposed participant disclosure rules that could take effect at the beginning of 2009.

Fixing Your 403(b) Plan: Adopting a Best Practices Approach New 403(b) regulations will bring increased scrutiny to the operation, fee structure, and practices prevalent in these retirement plans. This gives plan sponsors a new opportunity to make significant contributions toward a best-practices approach to sponsoring a 403(b) plan.

DOL Publishes Participant Contribution Timing Rules DOL publishes participant contribution timing rules for small plans and clarifies trustee role for late transmittal of contributions.

Is Your 401k Plan Protected - Summary: With the turmoil in the financial services sector, you might be concerned about the safety of all that money you've allowed to be deducted from your paycheck and invested in a 401k or other retirement account. Located at: Netscape.com. Click on headline for full article.

Market Turbulence Has Implications for ERISA Fiduciaries - Summary: The recent turmoil in the financial markets, while troubling for individual investors, also has potentially significant implications for ERISA fiduciaries. Individuals and committees who have investment authority over plan assets should reevaluate their portfolios in light of these developments. Located at: Spencer Fane Britt & Browne LLP. Click on headline for full article.

Financial Markets Impact ERISA Retirement Plans and Plan Fiduciaries - Summary: Events related to the financial markets impact retirement plans governed by the Employee Retirement Income Security Act and their sponsors, as well as other plan fiduciaries. What actions should they be taking? Located at: Mintz Levin. Click on headline for full article.

How New DOL Fee Disclosure Rules Could Affect You - Summary: Over the past year the DOL has proposed a series of fee-related regulations designed to enhance disclosure to the government, to plan fiduciaries, and to plan participants. In this article, the Vanguard Plan Consulting Group focuses on proposed participant disclosure rules that could take effect at the beginning of 2009. Located at: Vanguard Plan Consulting Group (PDF File). Click on headline for full article.

PSCA Releases Annual Survey of 401k Plans - Summary: Provides the most up-to-date information available on current practices and trends in profit sharing and 401k plans. Included here is a review of some of the trends and data. Located at: 401khelpcenter.com. Click on headline for full article.

DC Plans, Distributed Annuities, Spousal Consent and QJSA - Summary: One of the most nagging issues related to distributing annuities from defined contribution plans is how and when to apply the spousal consent and qualified joint and survivor annuity ("QJSA") rules to distributions. Here are some of the basics. Located at: Benefits Biz Blog. Click on headline for full article.

Workers Shift Retirement Savings into Fixed-Income - Summary: Droves of participants moved their retirement assets around as the volatile equity markets became too much for many to stomach. Located at: Financial Week (free registration may be required). Click on headline for full article.

Fixing Your 403(b) Plan: Adopting a Best Practices Approach - Summary: New 403(b) regulations will bring increased scrutiny to the operation, fee structure, and practices prevalent in these retirement plans. This gives plan sponsors a new opportunity to make significant contributions toward a best-practices approach to sponsoring a 403(b) plan. Located at: The Standard (PDF File). Click on headline for full article.

403(b) Rollovers vs. 403(b) Exchanges - Summary: A tricky 403(b) questions that seems easy enough on its face, but when you work through the details, it may actually be unanswerable. It epitomizes the problems many are face in trying to implement the new 403(b) regs. Located at: Benefits Biz Blog. Click on headline for full article.

Participant Gets Go-Ahead in Company Stock Drop Case - Summary: A federal judge in Massachusetts cleared the way for a participant invested in a company stock fund to pursue a fiduciary breach suit. Located at: Planadviser.com. Click on headline for full article.

DOL Publishes Participant Contribution Timing Rules - Summary: DOL publishes participant contribution timing rules for small plans and clarifies trustee role for late transmittal of contributions. Located at: Prudential (PDF File). Click on headline for full article.

DOL Announces New Online Tools for Workers and Plan Administrators - Summary: The DOLs EBSA announced new online tools to give workers access to financial information and an improved calculator that makes it easier for employers and plan administrators to pay online civil penalties for delinquent filings of annual reports. Located at: 401khelpcenter.com. Click on headline for full article.

IRS Gives Plan Sponsors More Time to Self-Correct Errors - Summary: The IRS has updated the Employee Plans Compliance Resolution System (EPCRS), giving sponsors of defined benefit and defined contribution plans more time to self-correct operational errors. Located at: Watson Wyatt. Click on headline for full article.

IRS Relaxes Rules on New Pre-Approved Plan Submissions - Summary: The IRS issued guidance (Revenue Procedure 2008-56) which changes the rules regarding the submission of pre-approved plans. Located at: Sungard/Relius. Click on headline for full article.

The IRS Releases Revenue Procedure 2008-56 - Summary: The IRS has released Revenue Procedure 2008-56 which eases certain restrictions for new pre-approved plans. The IRS states that it is easing its initial restrictions on new pre-approved plans after considering comments of pre-approved plan sponsors and determining that these changes would not require additional IRS resources. Located at: Employee Benefits Institute of America. Click on headline for full article.

Company and Officers Ordered to Restore Misused 401k Funds

DOL Takes Legal Action Against 401k Plan Trustee

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