A Guide to Retirement Plan Fees & Expenses In this paper, the author will discuss retirement plan fees and expenses to assist plan sponsors in achieving a greater understanding of their plan operations. Source: Trucker Huss

Safe Harbor 401k Top-Heavy Plans If a plan becomes top heavy and any key employee has had an allocation (including elective deferrals) of 3% or more, then the employer must provide an allocation of 3% to all eligible non-key employees. However, if it is a safe harbor 401k plan, the employer is already providing a contribution, so there are special top-heavy rules that apply to safe harbor plans. Source: McKay Hochman

Four Suggested Focus Areas to Complete a Prudent Fiduciary Review of Target Date Funds This paper provides a practical fiduciary approach to analyzing Target Date Funds by suggesting that plan fiduciaries focus on four specific areas: risk, risk-adjusted returns and expenses, underlying funds and reliability. Source: Securian Retirement (PDF File)

Americans' Confidence Stabilizing, but Preparations for Retirement Erodes Americans' confidence in their ability to retire appears to be stabilizing, now that the economic volatility of the recession has abated, but their self-described preparations for retirement continue to erode, according to the 2010 Retirement Confidence Survey. Source: 401khelpcenter.com

2010 Retirement Confidence Survey The 44 page 2010 Retirement Confidence Survey finds that Americans' confidence in their ability to afford a comfortable retirement, which had dropped sharply over the past two years, has stabilized now that the economic volatility of the recession has abated. The steep declines in other retirement confidence indicators also appear to be slowing. However, the retirement preparations reported by some workers are eroding, leaving them less prepared for retirement. Source: Employee Benefit Research Institute (PDF File)

ASPPA Lauds Senate for Adopting Roth Conversion Proposal Thanks to a new provision in legislation being considered by the Senate, workers may not have to give up the advantages of an ERISA 401k plan to take advantage of the special 2010 Roth conversion rules. Source: 401khelpcenter.com

Section 403(b) Arrangements Meet ERISA The DOL issued FAB 2010-01 clarifying the extent to which pre-2009 contracts no longer receiving employer contributions under a tax-sheltered annuity Section 403(b) arrangement may be omitted from ERISA plan reporting, and when Section 403(b) arrangements are exempt from ERISA under the Department's "safe harbor" regulation. The results are some "do" and "do not" rules for tax-exempt employers who want to minimize or claim exemption from ERISA reporting. Source: Sonnenschein Nath & Rosenthal LLP

403(b) Retirement Plan Audits - Frequently Asked Questions The AICPA 403(b) Plan Audit Task Force has prepared these questions and answers to assist plan auditors and plan administrators in implementing the DOL financial statement audit requirements for section 403(b) retirement plans that are subject to ERISA. Source: Business of Benefits Blog (PDF File)

DOL Advisory Opinion 2010-01A Whether the TIAA "Traditional Annuity" used in 403(b) retirement plans is a fully allocated contract for annual reporting purposes within the meaning of 29 C.F.R. § 2520.104-44(b)(2) and the Form 5500 Instructions. Source: U.S. Department of Labor

IRS Audits and Bonding for 401k Plans The IRS has recently announced the results of two of its LESE (Learn, Educate, Self-Correct and Enforce) audit projects. For both projects, the most common violation was the failure to adequately bond the plan as required by ERISA section 412. Source: Reish & Reicher

IRS 2009-2010 Guidance Plan -- A Look at What's Coming Each year the IRS issues a list of its top-priority guidance initiatives for the year, called the guidance plan. The long-awaited list of items was issued in late 2009, and sets forth the plan for issuing much-needed guidance for the July 2009–June 2010 year. A look at a number of provisions from the guidance plan that remain to be addressed will give us an idea of what is in store for the coming year. Source: Groom Law Group (PDF File)

DOL Proposes New Rules on Providing Invest. Advice The Proposed Rule mirrors the DOL's previously published final rule issued in the last days of the Bush Administration, except for two significant differences. Source: Paul, Hastings, Janofsky & Walker LLP (PDF File)

DOL/Treasury Request for Information on Lifetime Income Products The Obama Administrations Middle Class Task Force released on January 27, 2010 a Fact lifetime income products. The Fact Sheet indicated that the questions anticipate the potential for new rules or guidance to encourage the availability of annuities and other forms of guaranteed lifetime income in qualified retirement plans. Source: Dechert LLP (PDF File)

ASPPA Comments Relating to the Revision of Revenue Procedure 2007-44 ASPPA filed these comments with the IRS providing recommendations on the how the procedures for determination letters, plan remedial amendments and other matters covered by Revenue Procedure 2007-44 could be improved. The letter was filed in anticipation of the issuance of an updated revenue procedure in this area. Source: ASPPA (PDF File)