HEART Act Affects Qualified Plans, Health FSAs, and Military Differential Pay - 08/08
Employee Benefits and Executive Compensation
August 11, 2008
ATTORNEYS
Richard L. Arenburg
Christopher J. Rylands
In June, the President signed the Heroes Earnings Assistance and Relief Tax Act ("HEART Act") into law. The HEART Act amends certain provisions that were added by the Uniformed Services Employment and Reemployment Rights Act of 1994.
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IRS Releases Notice 2007-86: Additional 409A Transition Relief - 10/25/07
Employee Benefits and Executive Compensation
October 25, 2007
ATTORNEYS
Paul F. Concannon
Christopher J. Rylands
On October 22nd, the IRS announced in Notice 2007-86 that it is further extending the transition relief under Section 409A of the Internal Revenue Code for nonqualified deferred compensation arrangements. The extension generally permits plans to be operated through December 31, 2008 in good faith compliance with Section 409A, as long as the plans are amended on or before December 31, 2008 to comply with Section 409A.
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2008 Cost-of-Living Adjustments Announced - 10/07
Employee Benefits and Executive Compensation
October 19, 2007
ATTORNEYS
Christopher J. Rylands
The IRS has recently announced the cost-of-living adjustments applicable to dollar limitations for tax-qualified retirement plans.
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409A Update: Action Required by December 31, 2007 - 10/07
Employee Benefits and Executive Compensation
October 2, 2007
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Jennifer Faucett
Castles R. Hollis
Christopher J. Rylands
Steven G. Schaffer
on September 10, 2007, the IRS issued Notice 2007-78 (the "Notice") and granted limited relief for bringing nonqualified deferred compensation plans into written compliance with Section 409A of the Internal Revenue Code. However, the Notice still requires most major decisions be made and documented before December 31, 2007.
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Are you Ready for Section 409A? - 07/03/07
Employee Benefits & Executive Compensation
July 3, 2007
ATTORNEYS
Jennifer Faucett
Steven G. Schaffer
The IRS recently issued final regulations interpreting the requirements imposed on nonqualified deferred compensation arrangements by Section 409A of the Internal Revenue Code. The final regulations are effective January 1, 2008.
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Pension Protection Act of 2006: Changes for Defined Contribution Plans - 12/15/06
Employee Benefits & Executive Compensation
December 15, 2006
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Castles R. Hollis
Christopher J. Rylands
Steven G. Schaffer
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2007 Cost-Of-Living Adjustments Announced - 10/23/06
Employee Benefits & Executive Compensation
October 23, 2006
ATTORNEYS
Paul F. Concannon
Edmund Emerson III
Christopher J. Rylands
The Internal Revenue Service has recently announced the cost-of-living adjustments applicable to dollar limitations for tax-qualified retirement plans. The limits are generally effective January 1, 2007 (or in some cases applicable, for plan years beginning on or after January 1, 2007.)
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IRS Extends Section 409A Transition Relief - 10/06/06
Employee Benefits & Executive Compensation
October 6, 2006
ATTORNEYS
Edmund Emerson III
Steven G. Schaffer
On October 4th, the IRS announced in Notice 2006-79 that they are further extending the transition relief under Section 409A of the Internal Revenue Code for nonqualified deferred compensation arrangements. According to the Notice, the IRS expects to issue the final regulations before the end of 2006 and the final regulations will not be effective until January 1, 2008.
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Change in Pension and Other Post Employment Benefit Accounting Principles - 04/12/06
Employee Benefits & Executive Compensation
April 12, 2006
ATTORNEYS
Paul F. Concannon
Christopher J. Rylands
Steven G. Schaffer
On March 31, 2006, the Financial Accounting Standards Board (FASB) released an exposure draft of its new position on accounting for defined benefit pension plans and other post employment benefits (OPEBs) (such as retiree health care plans). FASB has invited public comments on this draft and hopes to have a final draft released in September 2006.
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Application of Deferred Compensation Rules under Code Section 409A to Separation Pay Arrangements - 02/06/06
Employee Benefits & Executive Compensation
February 6, 2006
ATTORNEYS
Edmund Emerson III
Steven G. Schaffer
The Treasury Department and the Internal Revenue Service have issued proposed regulations regarding the application of Section 409A of the Internal Revenue Code to nonqualified deferred compensation plans or arrangements.
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Hurricane Katrina Relief: IRS Announcement and New Legislation Provide Guidance and Relief for Affected Employees With Assets in Qualified Retirement Plans - 10/14/05
Employee Benefits & Executive Compensation
October 14, 2005
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Castles R. Hollis
Steven G. Schaffer
Effective September 15, 2005, certain qualified plans may make loans and hardship distributions to employees or former employees affected by Hurricane Katrina which otherwise would not be permitted under existing plan terms.
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Cafeteria Plans: Treasury Regulations Modified to Allow Participants Longer to "Use It" Before They "Lose It" - 08/31/05
Employee Benefits & Executive Compensation
August 30, 2005
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Castles R. Hollis
Steven G. Schaffer
Effective for the current plan year and forward, cafeteria plans may be amended to provide limited relief from the "use it or lose it" rule that applies to flexible spending accounts. The rule prior to this change required that contributions to a flexible spending account offered under a cafeteria plan, such as to a medical reimbursement account or dependent care account, were only available to reimburse expenses incurred during the plan year for which the contributions were made. If contributions to these accounts exceeded the expenses that a participant incurred during the year, the excess was forfeited by the participant. This rule became known as the "use it or lose it" rule.
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Action Required For New Automatic Rollover Rules - 02/09/05
Employee Benefits & Executive Compensation Client Alert
February 9, 2005
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Steven G. Schaffer
Tax-qualified retirement plans are permitted to provide for a mandatory cash-out distribution of a participant's benefit under the plan without the participant's consent following a participant's termination of employment if the benefit is $5,000 or less. The Economic Growth and Tax Relief Reconciliation Act of 2001 ("EGTRRA") changed the rules for mandatory cash-out distributions to participants in tax-qualified retirement plans.
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Non-Qualified Deferred Compensation Plans - 10/04
Emp. Benefits & Exec. Compensation
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Castles R. Hollis
Steven G. Schaffer
On October 22, 2004, President Bush signed the American Jobs Creation Act which has created the need for significant changes to many nonqualified deferred compensation plans and arrangements before the end of 2004.
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2005 Cost of Living Adjustments Announced - 11/04
Emp. Benefits & Exec. Compensation
ATTORNEYS
Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Castles R. Hollis
Steven G. Schaffer
The IRS recently announced the cost-of-living adjustments applicable to dollar limitations for tax-qualified retirement plans.
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Charging Participants' Accounts for Plan Expenses - 05/03
Emp. Benefits & Exec. Compensation
On May 19, the Department of Labor ("DOL") issued a Field Assistance Bulletin (FAB 2003-3) that significantly changes the DOL's position on charging participants' accounts for certain plan-related expenses.
Our Client Alert (in PDF format) details the DOL's new position.
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