When it comes to managing retirement and health plans, compliance with the Employee Retirement Income Security Act (ERISA) is critical. The U.S. Department of Labor (DOL) has released the maximum penalty amounts for 2025, and failing to meet these requirements can be costly. As a plan sponsor or fiduciary, understanding these penalties is the first
Have you considered how a Pooled Plan Provider (PPP) play a central role in the administration of Pooled Employer Plans (PEPs) and takes on significant fiduciary responsibilities? Acting as a fiduciary means that the PPP is legally required to act in the best interests of the plan participants and beneficiaries. Here’s how a PPP
Understanding the Differences in Your Fiduciary Duty When Offering a Single Employer Plan (SEP), Pooled Employer Plan (PEP), or Multiple Employer Plan (MEP) In a previous blog, we discussed the definitions and advantages of each type of retirement plan option: SEP, PEP, and MEP. Now let’s delve deeper into understanding the differences in your
Understanding the Differences in Single Employer Plans, Pooled Employer Plans, and Multiple Employer Plans The decision between a SEP, PEP, or MEP depends on an employer's specific needs, resources, and preferences. In this blog, we review the differences in Single-Employer Plans, Pooled Employer Plans, and Multiple Employer Plans. Single Employer Plan (SEP)
Two recent cases highlight the need for plan sponsors and fiduciaries to carefully review the forfeiture provisions in their defined contribution plan documents. These cases involve Nordstrom and HP, and they underscore the importance of ensuring that plan forfeitures are handled in compliance with ERISA. Nordstrom Case Nordstrom faces allegations of
Rising Scrutiny on Health and Welfare Plan Fiduciaries: Key Legal Cases, Fiduciary Prudence, Conflicts of Interest, & Prohibited Transactions Recently, scrutiny has increased on health and welfare plan fiduciaries regarding their adherence to the Employee Retirement Income Security Act (ERISA). Three notable lawsuits—against Johnson & Johnson, Charlotte-Mecklenburg Hospital Authority, and Wells Fargo—highlight different
On September 6, 2024, the Department of Labor (DOL) updated its cybersecurity guidance for employers, plan sponsors, fiduciaries, and recordkeepers. The updated guidance includes the following tips: Beyond comparing security standards, practices, policies, and audit results to industry standards, seek service providers who employ an independent third-party auditor to review and validate their
Rising Scrutiny on Health and Welfare Plan Fiduciaries: Key Legal Cases and Best Practices In recent years, there has been a notable increase in lawsuits targeting health and welfare plan fiduciaries, reflecting a heightened scrutiny on the decisions made by these fiduciaries. The year 2024 has already seen two significant cases that highlight this
Why You Should Outsource Your Employee Benefit Plan RFP Process to an ERISA Independent Fiduciary Did you know the US Department of Labor requires you to run a Request For Proposal (RFP) for service providers every 3-4 years? There are two main reasons why the DOL wants an RFP for service providers
As a business owner, you know that managing employee benefits is an important part of running your company. But understanding how to navigate ERISA compliance can be overwhelming and confusing. That's where an ERISA Independent Fiduciary comes in. The right fiduciary with this specialty can make a world of difference. From helping you reach your