The Employee Retirement Income Security Act of 1974 (ERISA) was enacted in large part as a result of the Studebaker automobile manufacturer’s failure to pay its employees their promised pension benefits when it closed its plant in 1963. ERISA sought to provide greater protections for employees and their retirement benefits. […]
Benefits Quarterly
Long-Term Part-Time Employee Woes
on Wednesday, 15 May 2024 in
Benefits Quarterly: Morgan L. Kreiser, Editor
To help increase participation in retirement plans, the SECURE Act of 2019 required 401(k) plans to allow “long-term, part-time employees” (“LTPT employees”) to be eligible to make elective deferral contributions. SECURE 2.0 amended those rules, and in November 2023, the IRS issued proposed regulations interpreting the new laws. Despite the […]
Common Compliance Issues: Failure to Maintain a Section 125 Plan
on Wednesday, 15 May 2024 in
Benefits Quarterly: Morgan L. Kreiser, Editor
As employee benefits attorneys, one of the most common compliance mistakes we encounter while advising clients is the employer’s failure to adopt and maintain a Section 125 plan. Whether we are onboarding a new client or assisting a client in purchasing or selling a business, one of the first items […]
