Tag Archives: retirement

MARKET RATES OF RETURN IN CASH BALANCE PLANS – TOO GOOD TO BE TRUE?

Conventionally, returns in cash balance plans are credited based on a fixed rate defined in the plan document.  However, more attention has been raised recently to the idea of utilizing actual rates of returns in cash balance plans.  This is … Continue reading

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The Safe Harbor Option – A Useful Design Strategy

As we approach the beginning of a new plan year for most of our 401(k) plan clients, we review their plans to determine a 401(k) safe harbor strategy for 2015. If an employer wants to implement a 401(k) safe harbor … Continue reading

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Considerations for Plan Sponsors Thinking About Pre-funding Employer Contribution

Recently, IBM was roundly criticized for announcing that it would no longer make matching contributions to its 401(k) plan on a periodic basis and would make its employer contribution on an annual basis after the end of the year.  Plan sponsors often ask … Continue reading

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To Borrow or Not to Borrow: That is the Question

To Borrow,  Or Not To Borrow: That is the Question Many retirement plans offer participants the option to borrow from their retirement plan account although there is no legal requirement to do so.  Generally, the maximum amount a participant may … Continue reading

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What Happens If I Take Money Out Of My 401(k)?

There are some general guidelines to follow when you withdraw money from your 401(k) plan. You can either take a taxable distribution or rollover your money into an eligible retirement plan, defined as another qualified plan, an IRA (other than … Continue reading

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WHAT ARE THE 2013 PLAN LIMITS?

Contribution amounts that can be made to qualified retirement plans are governed by certain limitations. These limits, determined by the IRS and influenced by cost of living measures, can change every year. There are changes that apply to 2013, although … Continue reading

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Summary Annual Report (SAR)

The Summary Annual Report, more commonly referred to as the SAR, is an annual report summarizing the retirement plan’s financial activities as reported on the Form 5500 filed with the Internal Revenue Service (IRS).  The Department of Labor (DOL) requires … Continue reading

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