DOL working overtime on overtime rules change

Many employers have been in limbo for quite some time now regarding the Department of Labor’s (DOL) regulation for overtime rules. It significantly increased the salary level under the Fair Labor Standards Act (FSLA) white-collar exemption, more than doubling the current salary requirement. This Act under the Obama administration was blocked on November 22, 2016 …

Keep Reading

Heard about the New Overtime Rule?

The United States Department of Labor updated its regulations governing the exemption of executive, administrative and professional employees (EAP) employees from the minimum wage and overtime pay protections of the Fair Labor Standards Act. The Fair Labor Standards Act ensures minimum pay and overtime protection for most employees, but the executive, administrative and professional employees …

Keep Reading

Target Date Funds

Does your plan have target date funds (TDFs)? Are you doing enough in managing those investments as the plan fiduciary? Let’s see what the Department of Labor (“DOL”) says about these funds. The DOL has general guidance on the selection and monitoring of TDFs. With many plan sponsors making these TDFs available to participants, it …

Keep Reading

DOL Fiduciary Rule

The Department of Labor (“DOL”) has been working on revisions to the current “Fiduciary” Conflict of Interest Rule for multiple years but on April 8, 2016, the DOL’s final rule was posted to the Federal Register which is effective June 7, 2016 and applicable beginning April 10, 2017. The rule now defines who is a …

Keep Reading

HR May Need to Work Overtime for New Overtime Rule

The United States Department of Labor is proposing to update its regulations governing which executive, administrative, and professional employees (white collar workers) are entitled to the Fair Labor Standards Act’s minimum wage and overtime pay protections. These regulations were last updated in 2004 and new rules may be published as early as April 2016, though …

Keep Reading

Forming a 401(k) Plan Committee

As a Plan Sponsor, you have important fiduciary responsibilities which, according to the Employee Benefits Security Administration (“EBSA”) within the Department of Labor (“DOL”), include: Acting solely in the interest of plan participants and their beneficiaries Carrying out duties prudently Following the plan documents (unless inconsistent with ERISA) Diversifying plan investments Paying only reasonable plan …

Keep Reading

The Importance of Knowing Your Plan’s Definition of Compensation

As I reflect on my last 401k audit season, I remember running into some operational issues that were a result of plan administrators not using the correct form of compensation, as defined by their plan document, while calculating employee and employer contributions. Using the correct form of compensation while making contributions is important because if …

Keep Reading

How to Handle a Blackout Period

What is a blackout? A blackout is a period of three or more consecutive business days during which participants’ are temporarily limited in or restricted from the ability to perform the following activities: Directing or diversifying investments Obtaining distributions Obtaining loans What actions must Plan Administrators take in order to remain in compliance during a …

Keep Reading

Participant Loans – IRS Requirements

If you participate in your Company’s 401k Plan, you are probably already aware that your Plan may offer an option for you to take out a loan from your 401k balance. These loans are tax free and typically require you to pay your loan back plus interest over a certain period of time. There are …

Keep Reading

Where Are You Saving Your Money?

As an auditor of employee benefit plans, I often talk with clients about their plan’s participation rates and suggest ideas on how to increase participation. As part of my daily routine, I read numerous articles from different financial sources. I came across a CNBC article published on July 29th, 2015 that I found to be …

Keep Reading