2019 Q2 Release Notes

We’re excited to share some of new features we’ll be rolling out on June 28, 2019 as part of our Q2 release!  Here are the features that will be included… Features Search – We’ve built an all-new search feature that searches globally across our application for records in the Company, Plan, and Employee objects.  The […]

Should you take a loan out of your 401k?

During times of high financial stress, the idea of taking a loan out of your retirement savings fund can sound like the perfect solution. After all, it’s your money, right? Who wouldn’t consider taking advantage of money that you already have set aside for the future, isn’t that what it’s for? It’s clearly the quickest […]

401k Plan Eligibility Best Practices

On the surface, 401k plan eligibility seems simple enough.  However, there are several rules and factors that trip many plan sponsors up in this area.  One of the most common compliance failures can be on the first day an employee becomes eligible for the plan, and this amplified if your plan has relaxed eligibility requirements […]

Millennials and Retirement

In today’s changing economic climate, younger generations are facing new obstacles in saving for retirement. In contrast to previous generations, Millennials are set to have fewer Social Security benefits, as well as less personal retirement savings from a 401(k) or other defined contribution plan, due today’s low returns market, and increasing medical costs. As a […]

The Department of Labor’s RFI

The U.S. Department of Labor recently released a Request for Information (RFI) regarding its Fiduciary Rule. According to the Department, this RFI “seeks public input that could form the basis of new exemptions or changes/revisions to the rule and PTEs.” They are further asking advice on whether or not the original January 1, 2018 applicability […]

Revenue Procedure 93-42

Revenue Procedure 93-42 Internal Revenue Service 1993-2 C.B. 540   26 CFR 601.201: Rulings and determination letters. Rev. Proc. 93-42 SECTION 1. PURPOSE AND OVERVIEW .01 This revenue procedure provides guidelines for substantiating com­pliance with the nondiscrimination rules. Specifically, the guidance applies for purposes of substantiating that a plan satisfies the following require­ments: nondiscrimination as […]

Sidecar Accounts

Before the retirement community shifted to a pretax 401(k) system in the 1980s, many companies offered a supplemental savings account (to be used for short-term emergencies) to complement the defined benefit (DB) plans of their employees. These supplemental savings accounts are nearly identical to what are known today as “sidecar accounts.” A sidecar account is […]

Hardship Withdrawals from 401(k) and 403(b) Plans

On February 23, 2017, the Internal Revenue Service released its Substantiation Guidelines for Safe-Harbor Distributions from Section 401(k) Plans. And on March 7, 2017 they released a similar memorandum regarding section 403(b) plans. These two statements outlined the requirements for safe harbor hardships in an effort to better inform the public about which events allow […]

The Cadillac Tax

Health insurance has always been a hot topic of conversation both in the political and financial worlds, and it’s easy to see why, especially in recent years. Health care costs continue to skyrocket, not just for individuals, but also for employer-sponsored health care plans. For example, 2017 has seen health care costs increase at 79% […]