NADART Retirement Blog: News & Commentary about Retirement Plan Administration

IRS Tax Deadline Extended to April 17th

Tue, 10 Jan 2012 19:07:32 GMT

The Internal Revenue Service has announced that the 2012 tax filing deadline will be April 17, 2012. Taxpayers will have two extra days to file this year because the traditional April 15deadline falls on a Sunday and that Monday, April 16, is Emancipation Day. This holiday is observed in the District of Columbia and by law it impacts tax deadlines in the same way as a federal holiday.

How More Employees Retiring Later Could Impact Employers

Wed, 04 Jan 2012 21:20:39 GMT

Many employees are planning on working well past the traditional retirement age of 65. A survey conducted during Fourth Quarter 2011 found that 75 percent of respondents expected to work through retirement. And 25 percent of that group said that they would work till age 80. This trend could impact you, as a retirement plan sponsor, in several ways:

Offering Employees Guidance on Saving and Investing for Retirement

Wed, 21 Dec 2011 20:51:21 GMT

Most employees are not experts when it comes to saving and investing for retirement, and they often have questions related to these topics. As a plan sponsor, while you cannot offer investment advice, you can point them to sources of guidance that will clarify related questions such as:

Evaluating Which Funds Are Your Best Investments

Fri, 09 Dec 2011 20:48:34 GMT

When you are trying to choose which funds to invest your retirement savings in, the return on investment shouldn’t be the only factor in your evaluation. You should also pay close attention to the fee connected with that fund.

High Response Rate to IRS Questionnaire on Compliance Issues

Thu, 01 Dec 2011 18:14:58 GMT

The Internal Revenue Service (IRS) recently reported that of the 1,200 plan sponsors contacted to complete their 401(k) Compliance Check Questionnaire, there was a participation rate of 95 percent. The IRS is now reviewing the data received and will post its findings online by the end of 2012.

Fall Issue of IRS Employer Newsletter Now Available

Tue, 29 Nov 2011 19:03:07 GMT

The Fall 2011 issue of Retirement News for Employers was recently released by the Internal Revenue Service (IRS). Available on the IRS Web site, this newsletter offers information on several topics of interest to plan sponsors, including:

ASPPA Debunks Myths About Retirement Plans

Fri, 18 Nov 2011 17:59:37 GMT

Last month, at the annual conference of the American Society of Pension Professionals and Actuaries (ASPPA), attendees were made aware of the fact that in a search to boost tax revenue, federal lawmakers have discussed lowering pre-tax limits and deduction with retirement plans. Lawmakers are under the mistaken impression that the following myths on this topic are true:

2012 Social Security Changes and Their Impact

Thu, 10 Nov 2011 19:33:36 GMT

The Social Security Administration recently announced a cost-of-living adjustment (COLA) for 2012, an increase of 3.6 percent, which is good news for those receiving Social Security benefits. Seniors will receive an average of $43 more a month and disabled individuals will receive $39 more a month. This COLA is the first since 2009.

Make Sure That Beneficiary Information Is Current

Wed, 02 Nov 2011 19:39:34 GMT

Plan sponsors and participants should review their plan-related beneficiary information on a regular basis and update it when necessary. A recent article posted on the 401khelpcenter.com Web site says that 401(k) retirement plans and Individual Retirement Accounts (IRAs) now account for at least 60 percent of the assets of U.S. households investing at least $100,000. Given the amounts of money that may be involved, it is all the more important that benefits go to the proper beneficiaries.

IRS Releases 2012 Retirement Plan Limits

Mon, 24 Oct 2011 14:09:19 GMT

The Internal Revenue Service (IRS) has released the 2012 dollar limits for qualified retirement plans. While the Catch-Up Contributions limit will remain at $5,500, the other plan limits have been updated as follows: