The Rosenbaum Law Firm P.C. Blog

January 1, 2024, will be 3 years of Pooled Employer Plans (PEPs). While new PEPs have been launched with lots of fanfare, I’m sure there are a few dozen PEPs that have quietly closed their doors.

Unless you’re a national advisor with lots of offices or another plan provider with a large distribution channel, you might be struggling for the PEPs to work if you don’t have the assets. I’m sure we will see a consolidation of smaller PEPs into larger ones and more PEPs just closing their doors.

If you are struggling with your PEP, I might have the solution for you. Please contact me.

Congressional Democrats have reintroduced bills in the Senate and House \o require spousal consent for 401(k) distributions.

The reason for a change is that since 401(k) plans are quite often a couple’s largest financial asset next to their house, spousal consent is needed to prevent one spouse from taking a 401(k) withdrawal from their account without the other spouse’s knowledge or consent.

I support it, but obviously, spousal consent could be tricky if there is no divorce, but issues regarding domestic violence and no filing of formal separation.

The plaintiff suing American Airlines for adding an ESG fund to the 401(k) plan has dropped the case to 2 defendants.

Plaintiff Bryan Spence dropped two defendants to the lawsuit that was initially filed against American Airlines, the employee benefits committee, Fidelity Investments, and Edelman Financial Engines for allegedly providing employees a 401(k) plan that sacrificed returns in favor of environmental, social, and governance factors.

Fidelity Investments and Edelman Financial Engines were dropped from the case. American Airlines, Inc. and the American Airlines Employee Benefits Committee remain defendants.

73% of 401(k) savers would like personalized investment advice for their retirement savings, according to annual survey from Charles Schwab Corp..

Among the 401(k) plan participants surveyed by Schwab, almost half (49%) said they were very confident in investment decisions with professional help, with a lower 27% expressing confidence in their own decision making. About 39% of workers said they are already receiving professional advice through their plan at work.

It’s 2023 and I think it’s a mistake not to offer plan participants, the opportunity to get investment advice.

The last real estate closing. I ever did the purchase of my home because of the unprofessionalism of the seller’s counsel. It soured on my closings and the real estate agent, who said nothing when she referred that attorney, to the business.

When dealing with an Internal Revenue Service or Department of Labor audit, I feel that being pleasant and cooperative goes a long way. Government auditors are doing their job of making sure that retirement plans voluntarily comply with retirement plan laws.

There is no point in being argumentative and. non-cooperative. There are times when you can certainly disagree, especially when the auditor gets the wrong conclusion, but that still must be within the limits of professionalism.

SECURE 2.0 allowed 403(b) Pooled Employer Plans (PEPs), and the first to the market is being launched by The Platinum 401k, Inc., a Florida based third party administration firm and ERISA 3(16) Plan Administrator.

Voya Financial, Inc. will serve as the recordkeeper for the new PEP, which will provide a pooled plan option specifically to 501(c)(3) nonprofit organizations and healthcare-related entities.

The new PEP will have LeafHouse Financial as the ERISA 3(38) Investment Manager; Plan Compliance Services, Inc., an affiliate of The Platinum 401k, Inc., as the ERISA 3(16) plan administrator and Pooled Plan Provider; and Voya serving as the plan recordkeeper.

My latest article on JDSupra.com can be found here.

My latest article for JDSupra.com can be found here.

The last real estate closing. I ever did the purchase of my home because of the unprofessionalism of the seller’s counsel. It soured on my closings and the real estate agent, who said nothing when she referred that attorney, to the business.

When dealing with an Internal Revenue Service or Department of Labor audit, I feel that being pleasant and cooperative goes a long way. Government auditors are doing their job of making sure that retirement plans voluntarily comply with retirement plan laws.

There is no point in being argumentative and. non-cooperative. There are times when you can certainly disagree, especially when the auditor gets the wrong conclusion, but that still must be within the limits of professionalism.

SECURE 2.0 allowed 403(b) Pooled Employer Plans (PEPs), and the first to the market is being launched by The Platinum 401k, Inc., a Florida based third party administration firm and ERISA 3(16) Plan Administrator.

Voya Financial, Inc. will serve as the recordkeeper for the new PEP, which will provide a pooled plan option specifically to 501(c)(3) nonprofit organizations and healthcare-related entities.

The new PEP will have LeafHouse Financial as the ERISA 3(38) Investment Manager; Plan Compliance Services, Inc., an affiliate of The Platinum 401k, Inc., as the ERISA 3(16) plan administrator and Pooled Plan Provider; and Voya serving as the plan recordkeeper.