2019 employee benefit limitations
The IRS has announced the following cost of living adjustments applicable to dollar limitations for pension plans.
ACCESS MY ACCOUNT: Plan ParticipantPlan Sponsor
Is your Employer protecting the privacy of your 401(k) participant data?
Expect no privacy of your personal data in your 401(k), as Wall Street continues to rip off 401(k) participants through the charade of “Service Provider”, while acting as Product Peddler to fatten their profits. Many employees are confident that their health records are kept private, because the Health Insurance Portability and Accountability Act (HIPAA) ensures that strict rules are followed by all those who handle these records.
There’s more to relationships than networking
Willy Loman never did understand that there was more to success than being liked.
A couple of years ago I was asked to give a talk on networking. I asked the organizer, why me? I believe networking as taught by many business gurus and commonly practiced in today’s marketplace is little more than professional panhandling. She snapped back, that’s exactly why we want you to give the talk.
What is Rochester’s advantage? It’s our people
I was talking to Tony DiBarnaba the other day about the company he founded 20 years ago. Benefit Resource employs 100 in a new, 30,000-square-foot corporate headquarters in Henrietta. Benefit Resource pioneered, and is a leading provider of, company-sponsored tax advantage commuter and health plans using debit cards. In addition to the corporate headquarters, it has offices in New York, Boston, Chicago and San Francisco. DiBarnaba told me that more than 75 percent of his of his business, and most of its growth, is from outside of Rochester.
2018 employee benefit limitations
The IRS has announced the following cost of living adjustments applicable to dollar limitations for pension plans.
Move over GASB 45, here comes GASB 75
In 2008 the Governmental Accounting Standards Pronouncement number 45 (“GASB 45”) went into effect. Since then we’ve seen some changes in actuarial practice, but no significant changes to the accounting guideline itself. But with 2017 that changes, as GASB 45 is being eliminated and replaced with a new standard, GASB 75.
Avoid Unwanted Surprises With Quality Benefit Plan Audits
The U.S. Department of Labor conducted a 2015 study of the quality of Employee Benefit Plan (EBP) Audits for the 2011 filing year. They looked at who audits EBPs, the size of CPA firms performing them, the proportion of each CPA practice devoted to them and the overall quality of audits performed. In doing so, they found that 61% of the audits performed were in line with Generally Accepted Auditing Standards (GAAS). However, 39% of the audits contained major deficiencies which could jeopardize plan qualification and result in rejection of Form 5500.
Definition of compensation in retirement plans
While most Plan Sponsors can tell you off the tops of their heads what their Plan’s eligibility requirements are, the formula for calculating employer contributions and the types of withdrawal features in their Plan; many can’t tell you what their plan’s definition of “Compensation” is. Using the wrong definition of compensation to determine contributions is among the top 5 most common mistakes Plan Sponsors make in operating their retirement plan according to the IRS.
Beef up retirement savings with a cash balance plan
Imagine your 401(k) plan on steroids. Imagine being able to contribute four times more than your current 401(k) limit. Imagine having an balance where investments are managed for you and the investment return is guaranteed. And imagine, upon termination or retirement, taking your balance as a tax-free rollover into an IRA. Well, your imagination may turn to reality, as Cash Balance Retirement plans now provide the above advantages, while opening the door to those looking to sock away a lot more in pre-tax contributions into their ERISA protected retirement savings accounts.
Opeb news and notes
Accounting standards and actuarial guidelines are subject to constant review and revision over time, with a focus on improving the clarity and accuracy of reporting. At Burke Group our commitment is to remain at the forefront of these changes. Recently two new guidelines have been published which could significantly impact the liabilities, reporting, and potentially how employers choose to structure their benefits in the future.