The Employee Retirement Income Security Act of 1974 (ERISA) is the milestone legislation which governs employee retirement plans
and specifically defines the duties and responsibilities of fiduciaries.
Caveat: While the limit on tax-free loans from a retirement plan
may be $100,000, the maximum amount that an individual may be able to borrow could be less.
Supreme Court ruling that has protected retirement plan
assets for the past 12 years is Patterson v.
But the leading reason of claims against plan service providers seems to be the "top-heavy" status of qualified retirement plans
In some cases, relatively minor changes in structuring an arrangement could have avoided problems that complicate the design of the optimal retirement plan
Employers can match employee health savings account contributions, but less generously than the qualified retirement plan
ALTHOUGH MOST CPAs HAVE their own personal retirement accounts, a surprising number of practitioners don't have formal retirement plans
for their businesses.
In summary, the ruling does not represent a new way of thinking by the IRS on FICA taxation of retirement plan
contributions, nor does it create any new opportunities for plan design.
Krause, Retirement Specialist Southeast was previously a wholesaler of mutual funds, variable annuities, and retirement plans
with Kemper Financial Services, Inc.
In my opinion, some advisers and retirement plan
service providers are taking the wrong approach by relying too much on mutual fund prospectuses, participant web sites, and participant statements to disclose participant fees.
The advantage of naming a charity as the primary beneficiary is that the retirement plan
interests will not be subject to estate or income taxes.
Disqualified persons acting as retirement plan
fiduciaries are subject to additional prohibitions.