…contributions on Form W-2 in Box 14. As you will see when you look at Form W-2, Box 14 serves as a “catch-all” for several miscellaneous types of plan contributions, including after-tax contributions, nonelective employer contributions made on behalf of an employee, required employee contributions…
…about how participant loans affect long term retirement outcomes. On one hand, it’s not hard to appreciate that employees may be more motivated to enroll in a plan that includes a loan feature since it provides comfort that they’ll be able to access their savings…
…to save at a high enough rate to meet real income needs later in life. An important way to help employees of company-sponsored retirement plans make real progress for themselves is to offer auto-enrollment and auto-escalation features to retirement plans. Both can positively influence retirement…
…plan to maximize the owners’ savings and tax benefits or is it intended to attract and retain top talent? Is financial wellness of the employees important to the company? After all, a 401(k) is a great savings vehicle, but it only works best when employees…
Four Things to Know About ERISA Fidelity Bonds and Fiduciary Liability Insurance The Employee Retirement Income Security Act known as “ERISA” regulates 401k and most other types of employee benefit plans. Under ERISA, anyone who handles plan funds must be covered by a fidelity bond….
…be educated consumers of 3(16) fiduciary services. Running a qualified retirement plan for employees is like running a business for clients. Just as with a business, the administrative responsibilities and liabilities of operating a plan are significant. The Department of Labor (DOL) views all business…
…101, “Expanding automatic enrollment in retirement plans,” of the newly enacted SECURE Act 2.0 of 2022 is intended to build on that idea. Beginning with the 2025 plan year, newly established 401(k) and 403(b) plans must automatically enroll employees in a certain type of eligible…
…minimis financial incentives to employees to encourage employee deferrals in 401(k) and 403(b) plans. This provision is optional and could be used as early as 2023. It’s likely that a plan amendment would not be necessary. Financial incentives could include such things as a small-value…
…owner or beneficiary for QCD purposes is a person who has attained age 70 ½ or older, and has assets in traditional IRAs, Roth IRAs, or “inactive” Simplified Employee Pension (SEP) IRAs or Savings Incentive Match Plans for Employees (SIMPLE) IRAs. Inactive means there are…
…contributions. Your role as a trusted advisor is crucial to both your relationship with the plan and plan sponsor, but also to help employees navigate past their own biases. Talk to us about expert plan design and plan communications that can help drive better outcomes….
…increasing employee participation. And we know that benchmarking reports generally don’t address these things either. We also know that much of the work we do is behind the curtain – clients don’t see it. And, what they don’t see, they may not value. That’s why…