DOL Fiduciary Rule Update; May Seminar

DOL FIDUCIARY RULE UPDATE. On February 3, the President issued a Presidential Memorandum directing the Secretary of Labor to: “Examine the Fiduciary Duty Rule to determine whether it may adversely affect the ability of Americans to gain access to retirement information and financial advice. As part of this examination, you shall prepare an updated economic…


New Law Permitting Health Reimbursement Plans in some Small Employer Situations

As we have previously reported, the regulators take the position that, since the effective date of the ACA, employer plans that reimburse employees for individual health policy premiums and/or for medical expenses (or that pay those premiums and/or expenses directly) are unlawful, unless those reimbursement/payment arrangements are “bundled” with an underlying health plan that meets…


Latest Developments for Opt-Out Arrangements

As we have discussed in prior e-Alerts and at our seminars, over the last several years the IRS has taken a variety of sometimes inconsistent positions on the effect of employer health plan “opt-out” payments on the affordability test of the Affordable Care Act. The IRS’s central position was expressed with the following example: An…


Late Breaking Developments

We want to call your attention to some recent developments. Effect of the Presidential Election on the April 10, 2017 DOL Fiduciary Rule. As we discussed in prior e-Alerts, earlier this year the DOL published a final regulation that, among other things, greatly expands the definition of “fiduciary” under ERISA and the Internal Revenue Code…


Retirement Plan Fee and Investments Lawsuits Against Employers

We imagine that all of our clients have seen the rather extensive press about the growing series of lawsuits being brought – often by “professional class action lawyers” — against employers and various retirement plan decision makers (e.g., Board investment committees, etc.) alleging that they have permitted their retirement plans to pay “excessive” administrative and…


Non-Profit and Government Employers – New Deferred Comp Rules

As we previously reported, in June the IRS published extensive proposed regulations under Code Section 457, the Code section that governs the nonqualified deferred compensation plans of non-profit and government entities. (The IRS also published in June less extensive proposed regulations under Code Section 409A, the Code section that governs the nonqualified deferred compensation plans…


New Proposed Regulations under Code Sections 457 and 409A

Section 457 Regulations Today, the IRS published the long expected proposed regulations under section 457 of the Internal Revenue Code that prescribe rules applicable to deferred compensation plans established by tax-exempt organizations and State or local governments (such as 457(f) plans, 457(b) plans, 457(e)(11) plans, and employment agreements that are affected by that Code section). …


Employee Health Plans – HHS Begins Nationwide HIPAA Audit Programs

The Office for Civil Rights of the Department of Health and Human Services has begun its previously-announced nationwide HIPAA audit programs of employers and their HIPAA Business Associates. The audits, which will be both by mail and on-site, reportedly will focus on: -the Notice of Privacy Practices required to be distributed by employers; -issues concerning…