The IRS announced the inflation adjusted qualified plan and IRA contribution limits for 2022 in Notice 2021-61 on November 4, 2021. The new numbers include significant increases. However, importantly the limit on contributions to IRAs remain the same at $6,000, with an additional $1,000 if 50 or older. On the other hand, the limit for
Ways & Means Committee Says You Must Save For Retirement, But Not Too Much
My last blog article discussed how the $3.5 trillion budget proposal contains a provision requiring employers with 5 or more employees to offer a payroll deduction IRA program or salary reduction 401(k) plan to employees and automatically deduct 6% of their pay and contribute it to such plan or face penalties, effective January 1, 2023.
Could CalSavers Go National? Federal Mandated Payroll Deduction Plan Proposal Included In 3.5 Trillion Budget Proposal
In May the United States Court of Appeals for the Ninth Circuit ruled that California’s automatic enrollment IRA program known as CalSavers was not preempted by the federal law, ERISA. See, Ninth Circuit Holds CalSavers Is Not Preempted By ERISA. . . 6/30 Deadline Approaching. CalSavers mandates that California employers of a certain size must
It’s Going To Be A PEPPY New Year!
Happy Holidays! You may have a pep in your step with the news that the FDA has approved the Pfizer vaccine to combat COVID-19. This is certainly a reason for optimism. However, 2021 promises to be quite PEPPY for another reason. Pooled Employer Plans (or PEPs) can begin operating in 2021. PEPs are Multiple Employer
CARES Act Signed by President: Permits COVID-19 Withdrawals and Loans From Plans
On March 27, the House of Representatives passed, and within hours President Trump signed, the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a 2 trillion dollar stimulus and relief statute with several measures to help individuals and businesses cope with the economic issues resulting from the COVID-19 Pandemic. The Senate had passed the bill
Supremes: You Can’t Hurry Love Or Constitutionality of ACA
In the 1960’s, the Supremes sang, “You can’t hurry love.” Apparently, the U.S. Supreme Court now feels the same way about the constitutionality of the Affordable Care Act (ACA), also known as Obamacare. On January 21, 2020, the High Court decided not to hurry the decision of whether to hear a case appealing a decision
One More ERISA Supreme Court Case But Also One Less
The United States Supreme Court is busy with potential ERISA cases. Having already accepted three ERISA cases for the current term (See, Supreme Court to Decide 3 Cases on Ability to Sue Under ERISA), on January 10, 2020, the high court agreed to hear a case involving preemption.
Rutledge v. Pharmaceutical Care Management
And The Winner For Best Depiction of Why We Need ERISA Goes To. . . “The Irishman”
Award season has begun and Hollywood is all a buzz with who won Golden Globes and the anticipation for the Academy Awards next month. One star-studded contender, The Irishman, has a chance to make history by being the first film predominantly viewed on the streaming service NetFlix, instead of cinemas, to win an Oscar. The
Supreme Court to Decide 3 Cases on Ability to Sue Under ERISA
The now conservative majority U.S. Supreme Court will hear three ERISA cases this term and decide issues involving the right to sue under ERISA. The Intel case deals with the statute of limitations for bringing a breach of fiduciary duty claim under ERISA. The Thole case involves whether participants in a fully funded defined benefit
How to Take Advantage of the IRS Expanded Self-Correction Program
By now you’ve probably read that the IRS has expanded the failures that can be self-corrected under the Employee Plans Compliance Resolution System (EPCRS) as set forth in Rev. Proc. 2019-19 issued April 19, 2019. This development comes on the heels