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Participation of Long-Term, Part-Time Employees in 401(k) Plans

One of the goals of the Setting Every Community Up for Retirement Enhancement Act (the “SECURE Act”), which was passed in late 2019, was to increase participation in 401(k) plans. In this regard, Section 112 of the SECURE...more

DOL Clarifies Timing of Lifetime Income Disclosures in Benefit Statements

Last year the Department of Labor (DOL) issued an interim final rule regarding the SECURE Act’s lifetime income disclosures, which require benefit statements to express a participant’s account balance as a single life annuity...more

Action Steps for Employers that Received Exempt W-4s in 2020

Employees falling on hard times during the 2020 pandemic may in some instances have sought to increase their net take home pay by filing a revised Form W-4 to claim more allowances than they were entitled to or claiming a...more

File “1099-NECs” Time to Report Nonemployee Compensation

Starting in 2020, companies that pay at least $600 for services performed by someone who is not their employee are required to use the new Form 1099-NEC to report the nonemployee compensation. The Form 1099-MISC will no...more

DOL Issues Guidance for Including Lifetime Income Disclosures in Defined Contribution Benefit Plan Statements

As required by the SECURE Act of 2019, the U.S. Department of Labor (DOL) published an interim final rule requiring plan administrators of individual account plans (including 401(k) plans, 403(b) plans and other defined...more

IRS Releases Detailed Guidance on CARES Withdrawal and Loan Relief

On June 19, 2020, the Internal Revenue Service (“IRS”) released guidance (Notice 2020-50) clarifying many aspects of the retirement plan withdrawal and loan relief provisions of the Coronavirus Aid, Relief, and Economic...more

IRS Addresses the Timing of Employment Tax Deposits for Various Stock Awards

On May 22, 2020, the IRS released an Office of Chief Counsel Memorandum (the Memo) that addresses (i) when income inclusion and the withholding of FICA and federal income taxes apply to stock-settled awards and (ii) the...more

Businesses Receiving Discretionary Loan Relief are Subject to Executive Compensation Restrictions

Please note: The below information may require updating, including additional clarification, as the COVID-19 pandemic continues to develop. Please monitor our main COVID-19 Task Force page and/or your email for updates....more

CARES Act - Provisions Applicable to Tax-Qualified Retirement Plans

Emergency Withdrawals. Participants in defined contribution plans (profit sharing, 401(k), and 403(b) plans) could access their retirement savings now if plans are amended to allow coronavirus-related withdrawals....more

Proposed Coronovirus Aid Package Includes Emergency Withdrawal Loan Relief for Retirement

The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) that is currently being debated in Congress has provisions that, if enacted, would allow participants in defined contribution plans (profit sharing, 401(k),...more

6th Circuit Case Emphasizes Potential Employer Liability to Participants for 409A Violations

Although employees face additional taxes and decreased benefits resulting from employer failures involving nonqualified deferred compensation (NQDC) plans, they may sue employers to recover their losses. For ERISA-covered...more

IRS Modifies EPCRS by Allowing Employers to Self Correct Additional Plan Failures

On April 19, 2019, the IRS issued Revenue Procedure 2019-19 (Rev. Proc. 2019-19), which modifies the Employee Plans Compliance Resolution System (EPCRS) by expanding the use of the Self-Correction Program (SCP) to include...more

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