If you have ever been curious about rollovers for an employee benefit plan, then you have come to the right place. The following provides a simple overview of rollovers. A rollover often refers to the transfer of money from one retirement plan to another without the burden of tax or penalties. Tax and or penalties …
If your company sponsors an employee benefit plan with 100 or more participants, an audit may be required (for more on when an audit is needed read the Henry+Horne blog Does your employee benefit plan need an audit). After it is determined that an audit is necessary and the audit is soon to begin, you …
Most 401(k) plans offer their participants a variety of investments and most of these line ups include mutual funds. The risk associated with mutual funds range from conservative to aggressive. They are comprised of pools of money collected from investors that is then invested in a variety of securities (such as stocks, bonds or cash). …
During the 401(k) plan design process, there are lots of things to consider. One of them is the eligibility requirements to participate in the plan. Who is allowed to participate in the plan? This can have a dramatic effect on the plan’s cost, ease of administration and perceived value to prospective employees. The eligibility requirements …
When the Bipartisan Budget Act of 2018 (BBA of 2018) was signed into law in February of 2018, sweeping changes to the process of obtaining hardship distributions accompanied it. These changes were not required to take effect until January 1, 2020. Don’t miss: Changes to hardship distribution rules While the BBA of 2018 initiated these …
Investing in your 401(k) is an idea that is hammered into our brains at a young age. We are constantly reminded of it because setting aside an amount of money on a consistent basis for the future will make a significant difference when we approach retirement. This simple task can turn out to be difficult …
In the wake of the COVID-19 pandemic and the resulting economic uncertainty, employers are faced with decisions that could have significant impacts on their 401k retirement plans. A serious decision that employers face is a potential employee reduction. It is important to consider the impact this decision can have on the retirement plan. A reduction …
If your spouse has recently deceased, what should be done with their IRA? To start, you have two options not available to other beneficiaries. Roll the decedent’s IRA into an IRA established in your name (spousal rollover) Elect to treat the decedent’s IRA as your own IRA (spousal election) Don’t miss: Balancing investments in times …
In response to the impact of COVID-19 Congress placed into law the Coronavirus Aid, Relief and Economic Security Act or the “CARES Act”. What does this 883-page law mean for retirement plans and their participants? The CARES Act includes provisions that expand the availability of retirement funds to those who have been impacted by COVID-19. …
Recently, Congress passed and the President signed the SECURE Act “Setting Every Community Up for Retirement Enhancement”. This new legislation is the first major retirement reform since the Pension Protection Act in 2006. Many changes in the SECURE Act affect both 401k’s and IRA’s but one of the sometimes overlooked changes has to do with …