Download PDF With the ever increasing need for complete disclosure; managing and maintaining all of the documents, forms, testing results, tax filings, etc. has become a daunting and exhaustive task.  In addition, the regulatory agencies charged with auditing and investigating retirement plans continue to raise their expectations with respect to the formal policies and procedures…

The recently enacted Bipartisan Budget Act of 2018 (“Budget Act”) included some unanticipated provisions that directly affect retirement plans. One such provision relates to the availability and amount of hardship withdrawals made under 401(k) plans. The following summarizes the impact of these new rules.

We live in a society that has a transient workforce. According to the Bureau of Labor Statistics, the average person will have 10 different jobs before reaching the age of 40. What this means in the world of retirement plans is that plan sponsors need to be prepared for the impact that employee turnover has on the administration and operation of their retirement plans. In this regard, every retirement plan sponsor should have a written procedure detailing how to deal with an employee’s termination of employment. However, for purposes of this article, we are going to focus only on one aspect of the employment termination process as it relates to defined contribution retirement plans (“Plans”). More specifically, this article examines the involuntary cash-out provisions included within most Plans.