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Nevada’s New Fiduciary Standard

As discussed in a previous article, the Department of Labor’s Fiduciary rule, which went in to effect on June 9, could have its final applicability date pushed back beyond January 1, 2018 to allow firms more time to come up with more cost-efficient, long-term solutions. However, despite the urgings of some to delay the final […]

Is PBGC Coverage Required for Your Plan?

The Pension Benefit Guaranty Corporation was established on September 2, 1974 under President Gerald R. Ford with the signing of ERISA (the Employee Retirement Income Security Act). According to Ford, “Under this law, the men and women of our labor force will have much more clearly defined rights to pension funds and greater assurances that […]

Supreme Court Helps to Clarify Definition of ERISA “Church Plans”

The Employee Retirement Income Security Act (ERISA) was signed in to law in 1974 and was designed to protect the beneficiaries of retirement plans. However, due its strict funding rules and required fees for the PBGC (Pension Benefit Guaranty Corporation), certain plans are given exclusion from ERISA to help them save money. There are several […]

Proposed Changes to Cost of Living Adjustments Could Mean a Major Win for PBGC

The employee retirement landscape continues to evolve as private companies are providing less compensation in the form of retirement benefits. This shift away from defined benefit programs and cost-of-living adjustments for annuities is part of that evolution. By comparison, the Federal Government continues to offer a very generous package of retirement benefits consistent with the […]

Defining a Standard of Care

In the context of retirement readiness, how do we identify the circumstances under which reasonable caution and prudence must be exercised? The standard of care stems from the 1837 case of Vaughan v Menlove. This case established that the standard of care is dependent on the circumstances, and upon whether the individual proceeded with reasonable […]

Employee Investment Outcomes and the New Fiduciary Standard

When Section 401(k) became a permanent provision of the Internal Revenue Code in 1980, a seismic shift occurred in American workers’ preparation for retirement. The responsibility for contribution and investment decisions shifted from employers to employees. Before 1980, companies that offered a retirement plan were required to fund them. That meant that the employer alone […]