Fiduciary Issues: Powell Goldstein LLP, Law Firm

Fiduciary Issues

409A Update: Action Required by December 31, 2007 - 10/07
Employee Benefits and Executive Compensation
October 2, 2007

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.

Application of Deferred Compensation Rules under Code Section 409A to Separation Pay Arrangements - 02/06/06
Employee Benefits & Executive Compensation
February 6, 2006

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.

Action Required For New Automatic Rollover Rules - 02/09/05
Employee Benefits & Executive Compensation Client Alert
February 9, 2005

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.