Contributing Author: Dianne L. Schechter The U.S. Department of Labor (the “Department”) has announced a 60-day extension of the applicability dates of the fiduciary rule and related exemptions, including the Best Interest Contract Exemption. The announcement follows a February 3, 2017, presiden...
Today, I am presenting in Denver, Colorado at the National Center for Employee Ownership (NCEO) 2017 Annual Conference on How ESOP Companies Utilize Their Equity Value to Sustain Long Term Employee Ownership. The annual conference is designed to provide learning and networking opportunities with ...
As the deadline to file your federal income tax looms, many individuals who gave money or goods to a charity in 2016 may be able to claim a deduction on their federal income taxes. If you intend to seek a deduction for your donations, here are some important facts to keep in mind when filling out...
Did you contribute towards an individual retirement account (IRA) in 2016? If you answered no, do not worry, you still have time. You have until April 18, 2017, to contribute to an IRA and have the contribution apply to the 2016 tax year. The clock is ticking…
Contributing Author: Dianne Schechter Employers providing disability benefits to their employees should note that the U.S. Department of Labor (“DOL”) recently changed how disability benefit claims are administered. The new disability claim rule will apply to ERISA-governed disability benefits c...
In Munro v. Univ. of S. Cal., C.D. Cal., No. 2:16-cv-06191, the U.S. District Court for the Central District of California recently held that participants of the University of Southern California ("USC") retirement plan are not bound to arbitrate their claims of breach of fiduciary duty pertainin...
Contributing Author: Dianne L. Schechter There are quite a few different retirement benefit plan options out there--and many of them are specifically designed for small businesses. Let's go over the essentials so you can make a great decision for your company. Three options stand-out depending...
After a lifetime of hard work and building a comfortable life for you and your family, there comes a time when you will have to plan for what happens after you pass away. As the old saying goes, when it comes to money, property, and belongings, you can't take it with you. However, rather than jus...
As of January 1, 2017, the laws on workers' compensation insurance in California have changed. Previously excluded employees are now required to be covered by workers' compensation. Unfortunately, the bill did not include language about policies that were already in force and a number of workers'...
The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 was intended to regulate parts of the financial industry to reduce risk, increase accountability, and protect consumers. The law was, in part, a reaction to the most recent recession, with the goal of reducing the likelihood of...
Making the leap to go into business for yourself can be a difficult decision. However, once you make that decision, the next difficult question to answer is how your business should be formed. Many businesses have the option to file as an LLC, partnership, S Corp, or sole proprietorship. The righ...
In this White Paper, considerations in employee benefits for small businesses are discussed, including factors not prevalent in large businesses.
Accepting the job of being an executor can be a mixed blessing. An executor, also known as a personal representative, is the person who has the legal responsibility to take care of a deceased person's estate after they pass away. Before accepting the duties and responsibilities of an executor, ma...
Today, employers may offer many different retirement plan options to their employees as a benefit to employment. Between a 401(k), 403(b), and 457(b), it can be difficult to keep track of what a particular code plan is and if it is right for you. With so many IRS codes and acronyms floating aroun...
Contributing Author: Kristine M. Custodio, Advanced Certified Paralegal In my previous blog post, I discussed potential Department of Labor (DOL) and Internal Revenue Service (IRS) penalties for anyone who willfully violates ERISA as well for various compliance issues in violation of the law. I...
Contributing Author: Kristine M. Custodio, Advanced Certified Paralegal In my previous blog post, I discussed internal controls that plan sponsors of qualified plans can implement to avoid or mitigate compliance issues before an audit is initiated. But what happens when you receive that dreaded ...
Contributing Author: Kristine M. Custodio, Advanced Certified Paralegal Have you recently received a plan audit notice from the Department of Labor (DOL) or Internal Revenue Service (IRS)? Unfortunately, this should be of no surprise. The DOL's Employee Benefits Security Administration (EBSA) ...
Contributing Author: Dianne Schechter Far fewer of today's younger workers will be covered by pensions than in the past. Today, 50 percent of near-retirement households (age 55-64) that participate in workplace retirement plans are covered by a traditional pension, according to the National Inst...
Individuals worried about robots taking over their lives may have to make a phone call to their wealth management provider to see if their accounts are being managed by a human being or a robo-adviser. Over the past decade, the use of robo-advisers in handling investments has grown substantially,...
If you own a pet, you know veterinary bills are a costly but necessary part of pet ownership. In California, Pet owners may soon be able to receive a tax deduction for medical costs incurred on behalf of their dogs and cats. On February 16, 2017, Assembly Bill (AB) 942 was introduced to the Calif...
What is a 457 plan? A 457 plan gets its name from the Internal Revenue Code (IRC) Section 457, which establishes the plan. A 457 plan provides another option for employees to reduce their taxable income while simultaneously setting aside money for their future retirement. Generally speaking, a 4...
Contributing Author: Kristine M. Custodio, Advanced Certified Paralegal Are you following the best practices when it comes to your employees' 401(k) safe-harbor hardship distributions? Should your 401(k) plan ever come under audit by the Internal Revenue Service, your documentation will be criti...
Contributing Author: Dianne Schechter A repeal of the Patient Protection and Affordable Care Act (ACA) could mean the rise of a new kind of tax-advantaged investment plan: the Roth health savings account (HSA). Republican Senators Bill Cassidy of Louisiana and Susan Collins of Maine have drafte...
In the midst of the Occupy Wall Street movement, California made a move to create a new type of corporation that could operate with the public good in mind. On October 11, 2011, then Governor Jerry Brown signed the Corporate Flexibility Act of 2011 (“Corporate Flexibility Act”), creating two new ...
On January 17, 2017, the Supreme Court of the United States declined to decide the issue of whether forum selection clauses contained in ERISA benefit plans are enforceable when it denied Certiorari in Clause v. U.S. District Court for the Eastern District of Missouri, 2017 U.S. Dist. LEXIS 719 (...