Auto-Enrollment Helping Reduce Those At Risk of Running Short of Money in Retirement - Summary: The primary reason why “at-risk” levels are lower in 2010 than in 2003 is enactment of the Pension Protection Act of 2006, which led to increased adoption of automatic enrollment, automatic escalation of contributions, and diversified default investments in 401k plans. This in turn has led to increases in 401k participation rates, increased account accumulations, and better long-term retirement preparation prospects for many workers, especially those in lower-income brackets. Source: Employee Benefit Research Institute , July 2010.

SEC Proposes New Distribution Fee Framework - Summary: The SEC announced July 21, 2010, that its staff was proposing a new rule and rule amendments that would place limits on the cumulative sales charges investors pay and encourage competition by allowing funds to permit broker-dealers to establish their own sales charges. The proposal would also eliminate Rule 12b-1. Source: Drinker Biddle & Reath LLP , July 2010.

Tips for Documenting the Selection and Monitoring of Your Advisers - Summary: In selecting service providers, the responsible plan fiduciary must engage in an objective process designed to elicit information necessary to assess the qualifications of the service provider, the quality of the work product, and the reasonableness of the fees charged in light of the services provided. In addition, this process should be designed to avoid self-dealing, conflicts of interest or other improper influence. Source: Reish & Reicher, July 2010.

How Not To Apply For A Favorable Determination Letter - Summary: A favorable determination letter is the IRS's way of telling you that your plan complies as to form with current legal requirements. In other words, it is a type of "insurance policy" that says your plan is qualified. But the process can go terribly wrong. Source: Reish & Reicher, July 2010.

Common Mistakes in Preparing Plan Committee Minutes - Summary: In most 401k and 403(b) plans, the fiduciary function of selecting and monitoring investments and service providers is carried out by a committee-typically, the financial and human resources officers. These meetings are an important part of fulfilling the fiduciary obligation to act for the exclusive purpose of providing benefits to participants and defraying reasonable expenses of operating the plan. An important part of showing that the committee has met this requirement is the documentation of its meetings. Source: Reish & Reicher, July 2010.

401k Fees Gain a Bit of Clarity - Summary: After working on them for years, the Labor Department released rules that take a first step toward more clarity. The rules make it easier for employers to make apples-to-apples comparisons when shopping for 401k plans. Source: New York Times, July 2010.

When to Second Guess Your Target-Date Fund - Summary: Unless the government mandates standardization of target-date mutual funds, different investment companies will continue to have different investment mixes. Your choice of fund will have a profound effect on your risk and return over the next three decades. Source: USNews.com, July 2010.

Court Finds Directed Custodian Not a Fiduciary Under ERISA - Summary: A custodian that transferred retirement plan assets at the direction of plan trustees is not liable under the Employee Retirement Income Security Act (ERISA) for plan losses. Source: Plansponsor.com, July 2010.

How to Start a Cash Balance Pension Plan - Summary: If you are a procrastinator when it comes to putting money aside for your retirement or if your nest egg was hit hard by the economic turmoil of the past few years, you might consider establishing a cash-balance pension plan at your company. When done properly, these plans can be a great way for small-business owners to substantially accelerate their retirement savings. Source: Inc.com, July 2010.

Costs Do Have an Impact on Investor Selections - Summary: The general investing public has finally realized what institutional investors have long known—that costs matter when selecting mutual funds or exchange-traded funds (ETFs), according to a recent Vanguard study. Source: Vanguard, July 2010.

Relaxed Plan Loan Disclosures Now Effective - Summary: Regulations have resulted in the familiar prominent disclosures, in many consumer credit transaction documents, of such terms as "Annual Percentage Rate," "Finance Charge," "Amount financed," and "Total of Payments." An exempt loan does not have to comply with any of the Regulation Z disclosure requirements. The exemption is effective July 1, 2010. Source: Sungard/Relius, July 2010.

Court Rejects Nationwide's Counterclaim Attempt in Revenue Sharing Suit - Summary: A federal judge has denied Nationwide Financial's move to certify a class of counterclaim defendants in a suit in which it is accused of breaching its fiduciary duties under the Employee Retirement Income Security Act for accepting revenue sharing payments from mutual fund companies. Source: Plansponsor.com, July 2010.

Adoption of Auto Plan Features Stalled - Summary: Very few employers surveyed that do not use auto plan features currently plan to adopt them in the next 12 months, according to a report from AARP. Source: Plansponsor.com, July 2010.

Draft Data Layouts for Retirement Income Solutions - Summary: The Data Layouts for Retirement Income Solutions were developed by The SPARK Institute in order to facilitate uniform expectations among retirement income product providers and recordkeepers who decide to offer these products and solutions in employer sponsored retirement plans. Source: The SPARK Institute , July 2010.

No Blanket Extension of 5500 Due Date - Summary: The DOL has decided not to grant a blanket extension for filers of Form 5500 and Form 5500-SF. In a letter to the American Benefits Council dated July 21, 2010, the DOL stated it has concluded that a blanket extension for all filers is neither necessary nor appropriate. Source: Sungard/Relius, July 2010.

Benefit and Retirement Plans Must Comply With ERISA Bonding Rules - Summary: Although the ERISA bonding regulations are not new, plan sponsors are often confused about them. This year's increased reporting obligations for organizations with 403(b) plans have prompted questions regarding bonding rules. Source: Larson Allen LLP, July 2010.

Employee Suits Alleging Excessive 401k Fees Gain Ground - Summary: A ruling by a federal court judge, who said Edison International did 'substantial' harm to employees by not negotiating lower fees from the firm running the 401k plan, may bolster other cases. Source: Los Angeles Times, July 2010.

DOL Issues Interim Final Fee Disclosure Regs - Summary: These regulations have lots of details that plan fiduciaries and service providers to pension plans will need to work through and be ready to apply on July 16, 2011 to both existing and new arrangements. It is worth noting that although these fee disclosure requirements and those required on Schedule C of Form 5500 overlap, they are not identical. Source: Employee Benefits Institute of America, July 2010.

Penalties for Failure to Disclose Retirement Plan Fees - Summary: Providers of services to a retirement plan must disclose their fees associated with the plans, according to an updated DOL regulation. Beginning July 16, 2011, a failure to disclose will result in prohibited transaction excise tax penalties of 15 percent of the fees, compounded for each year that the violation continues. Source: Warner Norcross & Judd LLP, July 2010.

Outsourced Benefits Administration Services Market Grows - Summary: Remaining relatively stable during the recessionary economy, the Benefits Administration Outsourcing (BAO) market is projected to see deal signings grow 12-18 percent this year. Defined Contribution plans are the most frequently outsourced item. Source: 401khelpcenter.com, July 2010.

Stress Test Your Fiduciary Focus: Are You Following Best Practices? - Summary: In today's environment, devoting your attention to meeting your fiduciary responsibilities is even more vital. It's important for every plan fiduciary to be aware of key obligations and duties. Source: Vanguard, July 2010.

New ERISA Disclosure Requirements for Plan Service Providers - Summary: On July 16, 2010, the DOL published "interim" final regulations, proposed in December 2007, imposing new disclosure and related requirements under ERISA for certain service providers to retirement plans. This eight page document reviews the key elements of the final regulation. Source: Sutherland Asbill & Brennan LLP , July 2010.

COMMENTARY: Reasons to be Pessimistic About the Fiduciary Standard - Summary: While it is true that many in Congress and the majority of the SEC Commissioners have been vocal in their insistence that the intent is for the SEC to make fiduciary rules for advice, the fact of the matter is that Congress passed the buck on the issue when they had the chance to have it stop with them, leaving a happy ending for fiduciary backers anything but certain. Source: FI360.com, July 2010.

To Tweet or not to Tweet About Employee Benefits - Summary: Many are asking about incorporating social media elements into benefit communications as a tool to reach, especially younger workers, in a familiar medium. To tweet or not to tweet about benefits is a popular question. Source: Idaho Business Review, July 2010.

Under Pressure, Employers Streamline DC Plans - Summary: Nearly 60% of defined contribution plan sponsors plan to take action in the next 12 months in response to increased Department of Labor and IRS audit and enforcement activities. Source: Employee Benefit News (free registration may be required), July 2010.

Retirement Benefits Declined 19% between 1998 and 2008 - Summary: U.S. workers saw the value of their employer-sponsored retirement benefits -- as measured by percentage of pay -- decline by double-digit levels over a 10-year period ending in 2008, according to an analysis conducted by Towers Watson. Source: 401khelpcenter.com, July 2010.

Fiduciaries Breached Duty by Investing in Retail Share Classes - Summary: A recent federal District Court ruling should make fiduciaries of self-directed retirement plans think twice before offering retail share classes as investment options when less expensive institutional share classes are available. Source: Nixon Peabody LLP, July 2010.

Using the Safe Harbor 401k Plan Top-Heavy Exemption - Part II - Summary: This is the second of a two-part Technical Update dealing with the exemption from the top-heavy rules that may apply to a safe harbor 401k plan. This Part II discusses the financial effect, benefits and limitations of the top-heavy exemption. Source: Sungard/Relius, July 2010.

WEBCAST: DOL Fee Disclosure Regulations - Summary: After many months of speculation, the Department of Labor has released its interim final rule on fee disclosure with an effective date of July 2011. This is a Webcasts with Fred Reish where he reviews these new fee disclosure regulations. Source: The Standard, July 2010.

Using Behavioral Finance to Help Employees Achieve Their Retirement Goals - Summary: Despite this sea change in the retirement plan landscape, a startling number of American workers have saved little to nothing for retirement. A number of challenges contribute to this retirement saving deficit, but progress has been made with new programs and tools that use insights gained from behavioral science and psychology about plan participants' behaviors. Source: The Standard , July 2010.

DOL Mandates Fee Disclosures - Summary: Retirement plan service providers will have to make detailed fee disclosures to ERISA plan fiduciaries under a DOL interim final rule. The measure covers defined benefit and defined contribution plans. Source: Mercer, July 2010.

DC Plan Sponsors Focused on DOL and IRS Activities - Summary: U.S. sponsors of defined contribution plans are focused on responding to Department of Labor and Internal Revenue Service activities, finds a new Mercer survey of more than 260 DC plan sponsors. Source: Mercer, July 2010.

Ariel Investments Black Investor Survey - Summary: According to the survey, 27% of Blacks who participate in a 401k (compared to 16% of Whites) reduced the amount they contribute per month, and 22% of non-retired Blacks (compared to 14% of Whites) borrowed or withdrew money from a retirement account. Source: Ariel Investments , July 2010.

SEC Plans to Cap 12(b)-1 Fees - Summary: The Securities and Exchange Commission voted unanimously to propose measures aimed to improve the regulation of 12(b)-1 fees, capping them at 25 bp and provide better disclosure for investors. Source: SEC, July 2010.

Investor Lawsuits Forcing Companies to Disclose 401k Fees - Summary: Workers protesting fees paid out of their 401k accounts want to know what the money is used for, who gets it, and proof that the charges are justified. And they're going to court to get the answers. Source: Boston Globe, July 2010.

Common 401k Rollover Mistakes - Summary: If you roll over your plan, there are some 401k rollover mistakes that many commonly make that you must avoid. These mistakes could result in unnecessary taxes and a 10% early withdrawal penalty. Source: NASDAQ, July 2010.

SEC Expected to Cap 12(b)-1s - Summary: The SEC is planning to propose a new framework that would cap at 0.25% of assets the amount that funds can charge on a continuing basis to cover marketing and administration costs. Any fees above the 0.25% limit would be treated as a load. Source: Investmentnews.com (free registration may be required), July 2010.

LULAC Issues Call to Action on Retirement Policy to Help Hispanics - Summary: The League of United Latin American Citizens (LULAC) has taken a strong stance on a critical yet overlooked concern of the Hispanic community -- retirement policy that helps all Americans better manage their savings to provide income that will last a lifetime. Source: 401khelpcenter.com, July 2010.

Blackout Notice Suit Allowed to Move Forward - Summary: A federal judge in Ohio ruled that a 401k profit-sharing plan and two participants can press forward with their lawsuit alleging that Principal Life Insurance Co. breached its duty to make a timely notice of a plan blackout period. Source: Plansponsor.com, July 2010.

Using the Safe Harbor 401k Plan Top-Heavy Exemption - Summary: This is the first of a two-part Technical Update dealing with the top-heavy exemption. This Part I explains how the top-heavy rules apply to a 401k plan and defines the top-heavy exemption. Part II will discuss the financial effect, benefits, and limitations of the top-heavy exemption. Source: Sungard/Relius, July 2010.

IRS Stresses Requirement for Timely Forfeitures - Summary: Forfeitures occur in a plan when terminated participants are not fully vested in employer contribution accounts. There are two timing aspects of forfeitures which should be addressed in the plan document: when forfeitures occur and when they must be disposed of. Source: JPMorgan Chase, July 2010.

Target-Date Funds Evolve With the Times - Summary: Some in the industry expect to see more providers begin introducing some type of guaranteed component to their target-date funds to help deal with volatility. Source: Employee Benefit News (free registration may be required), July 2010.

What is a SIMPLE 401k plan? - Summary: A small employer may find that converting its 401k plan into a "SIMPLE" 401k plan is preferable to adopting a traditional safe harbor 401k plan. This article briefly explains a SIMPLE 401k plan. Source: Chang, Ruthenberg & Long PC, July 2010.

DOL Fact Sheet on Fee Disclosure Regulation - Summary: This is a bullet point overview of the DOL's Interim Final Regulations on ERISA Section 408(b)(2) Fee Disclosure Requirements. Source: American Benefits Council , July 2010.

Study: Retirement Assets Fall Short for Most - Summary: Some Americans are slightly better prepared for retirement thanks to automatic enrollment in 401ks, but you have to be a diehard optimist to seize on that. Most of the data in a new report on Americans' retirement prospects is pretty gloomy. Source: Mainstreet.com, July 2010.

OPINION: The Big 401k Rip-Off May Be Ending - Summary: The end may be in sight for a common investment industry practice that robs millions of 401k plan participants of higher returns by choosing funds with expense ratios that are some 40% greater. Source: Dailyfinance.com, July 2010.

401ks Under Pressure As Other Options Vanish - Summary: Like a summer bungalow now being lived in year-round, 401k plans are being called on to serve a function never anticipated by their architects when they drew up the blueprints more than 30 years ago. Source: Businessinsurance.com, July 2010.

DOL Finally Issues New 401k Fee Disclosure Rules - Summary: The new rules are aimed at assisting plan sponsors in assessing the reasonableness of contracts or arrangements, including the reasonableness of the service providers' compensation and potential conflicts of interest. Translation: Plan fiduciaries should find it easer to assess the actual fees that plan providers charge. Source: Investmentnews.com (free registration may be required), July 2010.

DOL Releases Final Fee Disclosure Regulation - Summary: Covered service providers will need to comply with the regulation by July 16, 2011, for all contracts or arrangements, regardless of whether they were entered into before the effective date. The new rule finalizes the regulation originally proposed in 2007, and differs from the proposed rule in a number of respects, some of which are fairly significant. Source: Reish & Reicher, PC , July 2010.

Fee Disclosure Is to Ultimately Help Participants Make Informed Choices - Summary: Fee disclosure rules are designed to "make sure everyone knows what they are paying for and how this affects plan balances," according to Phyllis Borzi, Assistant Secretary of Labor of the Employee Benefits Security Administration. Source: Plansponsor.com, July 2010.

SEC and DOL Guidance on Target-Date Funds - Summary: Target-date funds are the subject of great scrutiny. The DOL and SEC have issued two pieces of guidance to correct the perceived deficiencies. This four page article discusses this guidance. Source: Reish & Reicher, PC , July 2010.

Summary of Major Changes in DOL's Fee Disclosure Rule - Summary: The Obama Administration made significant changes to the Bush Administration originally proposed regulations. This is a brief summary of some of the major differences between the proposed rule and the interim final regulations. Source: American Benefits Council , July 2010.

DOL Issues 'Final Rule' on 401k Fee Disclosure Rules - Summary: The final rules do differ from the department's initial proposal. Notably, they not require a formal written contract spelling out the disclosure obligations. Instead, the rules focus on the substance of the disclosure that must be provided. In addition, the final rules modify the categories of service providers that must comply with the disclosure requirements, including fiduciaries, investment advisers and recordkeepers or brokers who make investment alternatives available to a plan. Source: Investmentnews.com (free registration may be required), July 2010.

DOL Rule on Fee Disclosure Under Section 408(b)(2) - Summary: This document contains the text of the DOL's interim final regulation under the ERISA requiring that certain service providers to employee pension benefit plans disclose information to assist plan fiduciaries in assessing the reasonableness of contracts or arrangements, including the reasonableness of the service providers' compensation and potential conflicts of interest that may affect the service providers' performance. Source: U.S. Department of Labor , July 2010.

ASPPA Supports DOL Fee Disclosure Regulation - Summary: This is a statement from Brian Graff, executive director/CEO of the American Society of Pension Professionals & Actuaries (ASPPA) in response to the U.S. Department of Labor's just released 408(b)(2) regulations which impose new fee disclosure requirements on retirement plan service providers. Source: 401khelpcenter.com, July 2010.

DOL Issues New Rules on Fee Disclosure - Summary: According to the document released this morning by the Employee Benefits Security Administration, the interim final rule is effective on July 16, 2011. However, EBSA is encouraging comments on the interim final rule during a 45-day comment period following publication of the rule. According to EBSA, the final 408(b)2 regulation differs from the proposal in a number of significant respects. Source: Plansponsor.com, July 2010.

Study on the Demographics of Target-Date Funds - Summary: The use of target-date funds, a relatively new 401k plan option, is more likely among participants who are younger, have lower account balances, and have shorter tenure at their current job, according to a study released today by the nonpartisan Employee Benefit Research Institute. Source: 401khelpcenter.com, July 2010.

Court: Employer Violated Duty in Investment Options - Summary: Energy company Edison International violated its "duty of prudence" under ERISA by offering three retail mutual funds as investment options in its 401k plan rather than their less costly institutional option equivalents, a Los Angeles federal judge has ruled. Source: Businessinsurance.com, July 2010.

Fiduciary Fears Make Finding Pension Committee Members a Challenge - Summary: Attraction and retention of qualified people to serve on DB and DC committees has always been a challenge for plan sponsors. Many times, companies can't find enough people with the necessary expertise to serve on the committee. Or, potential committee members are scared off when they're told they can be held personally liable if they breach their fiduciary responsibilities. Source: Employee Benefit News (free registration may be required), July 2010.

The SEC Targets the Advertising of Target-Date Funds - Summary: These proposed rules are intended to correct a significant disconnect between the expectations of investors in target-date funds and the actual management of those target-date funds, which was highlighted by the severe market downturn over the last several years, by requiring additional disclosures regarding the management of target-date funds and certain risk information in advertising materials. Source: Kilpatrick Stockton LLP, July 2010.

Essential Principles of 401k Fiduciary Risk Management - Summary: Tips on minimizing the likelihood of being dragged into 401k litigation and, if you are, maximizing the likelihood of getting the case dismissed quickly. Source: Investmenthorizons.com , July 2010.

How to Get the Most Out of Your Autopilot Plan - Summary: Adopting an autopilot plan can help resolve common plan concerns and provide benefits to both plan sponsors and their employees, provided it's implemented with care. Otherwise, plan sponsors may experience unintended consequences. Source: Vanguard Retirement Insights, July 2010.

IRS 401k Compliance Checks Under Way - Summary: The IRS has been careful not to characterize the questionnaire as an audit. That doesn't mean, however, that plan sponsors shouldn't think about their answers and review their responses with legal counsel before filing. Source: Vanguard Retirement Insights, July 2010.

Most 401k Plan Sponsors "Have No Idea..." - Summary: Interview with BrightScope's Mike Alfred: "I don't think most plan sponsors and participants really understand which hat or hats their current service providers wear. So, to expect them to comment on a change they don't understand would be asking far too much." Source: Fiduciary News, July 2010.

The June 2010 Hewitt 401k Index Observations - Summary: 401k participants transferred monies from equities into fixed income investments for the second consecutive month in June, but to a much lesser degree than May, according to the results of the Hewitt 401k Index. Source: Hewitt Associates, July 2010.

Companies That Don't Offer Retirement Plans Won't - Summary: The majority of companies that don't offer retirement plans now, especially small businesses, do not intend to provide one in the future, according to a new study. Also, companies remain reluctant to make significant changes to their retirement plans, even though they say they are optimistic about the U.S. economy. Source: IFAwebnews.com, July 2010.

The EBRI Retirement Readiness Rating: What is Your Rating? - Summary: With Americans living longer in retirement, the 2010 EBRI Retirement Readiness Rating released shows dramatically high percentages of Americans-even in the upper-income categories-are likely to run short of money after 10 or 20 years of retirement. Source: Employee Benefit Research Institute , July 2010.

COMMENTARY: Snooty Hostesses and 401k Plan Sponsors - Summary: Commentator says, "The service received by many 401k plan sponsors from the insurance brokers who place their company's plan with an insurance company is often much more similar to our experience with the snooty hostess than the experience at Hugo's. Let's look at a 401k plan advisor's service model that would befit the quality of the food and service at Hugo's." Source: Chicago Financial Planner, July 2010.

Is Risking Your Retirement Future on Company Stock Smart? - Summary: Do you own company stock within your 401k plan? If so, risking your retirement future on company stock isn't safe, smart or prudent. Source: EFTguide.com, July 2010.

Some Plans Remain Company-Stock Heavy - Summary: Some of the biggest corporate names controlling some of the biggest 401k plans have some of the biggest percentages of employer stock in these plans, reaching levels that consultants and even the Pension Protection Act consider too high. Source: PIonline.com (free registration may be required), July 2010.

DOL's Fee Disclosure Regulations Put on Hold - Summary: Long-pending proposed Department of Labor regulations to enhance 401k fee disclosure requirements have been put on hold to give Rep. George Miller, D-Calif., more time to try to pass legislation on the subject. Source: PIonline.com (free registration may be required), July 2010.

IRS Employee Plans News - July 2010 - Summary: The Employee Plans News is a periodic IRS newsletter with retirement plan information for retirement plan practitioners. Topics in this issue include: 401k Questionnaire Follow-Up; Who Can Represent a Plan Sponsor During an Employee Plans Examination?; Final Regulations on Investment Diversification Requirements; August 2, 2010, is the Form 5500 Deadline for 2009 Calendar-Year Plans; and more. Source: IRS , July 2010.

Safe Harbor 401k Cross-Tested Plan Design Issues - Summary: A safe harbor 401k cross-tested plan combines two of the most attractive defined contribution plan designs. The plan design provides (1) enhanced disparity; (2) flexibility; and (3) catch-up contribution potential. Understanding how the safe harbor and cross tested rules interact is essential in designing the combined plan. In this article discusses some of the important issues which affect the plan design. Source: Sungard/Relius, July 2010.

Firms Still Developing Annuity-Enhanced Target-Date Funds - Summary: Despite a tepid response from plan sponsors, asset management firms continue to develop and promote annuity-enhanced target-date funds, insisting that demand for retirement income will spur interest. Source: Investmentnews.com (free registration may be required), July 2010.

Labor Department Focuses on Retirement Plan Administrators - Summary: The enforcement arm of the Labor Department is investigating administrators of corporate retirement plans — including some that are registered investment advisers — to determine the kinds of fees that they receive from mutual funds and whether they are disclosing the fees to plan sponsors. Source: Investmentnews.com (free registration may be required), July 2010.

IRS Officials Provide Informal Views on a Variety of Benefit Topics - Summary: The Joint Committee on Employee Benefits of the American Bar Association has reported on its May 2010 Q&A session with IRS and Treasury officials. Highlights include unofficial, non-binding remarks about the following issues affecting leave-sharing arrangements, HSAs, and 401k plans. Source: Employee Benefits Institute of America, July 2010.

Disclosure of Float Compensation Satisfied DOL Guidelines - Summary: The issue in this case was whether the service provider's disclosure of float income in its services agreement was sufficient to satisfy the DOL's disclosure requirements. The court found that it was and entered a judgment in favor of the service provider. Source: Employee Benefits Institute of America, July 2010.

Brand is the Thing - Summary: Cerulli study suggests that, in post-recession, asset management firms are finding that brand is key to attracting clients. Source: Planadviser.com, July 2010.

401k Participants not as Knowledgeable as Employers Think - Summary: A new survey reveals that 401k participants don't know as much about plan fees and investing as employers think they do. Source: Plansponsor.com, July 2010.

Deadline Approaching for U.S. Qualified Plans With Puerto Rico Participants - Summary: Sponsors of U.S. retirement plans with Puerto Rican participants (including "dual-qualified" plans) have until the end of 2010 to eliminate some potential tax troubles. In Revenue Ruling 2008-40, the IRS offered tax relief for transfers of assets and liabilities for Puerto Rican participants from the U.S. plan to a plan qualified under Puerto Rico law with a related Puerto Rico trust. Source: Towers Watson, July 2010.

Form 5500-EZ FAQs - Part I - Summary: This Form 5500-EZ FAQ, part one of two parts, address issues relating to the annual reporting requirements for one-participant plans. Source: Sungard/Relius, July 2010.

Form 5500-EZ FAQs - Part II - Summary: This Form 5500-EZ FAQ, part two of two parts, address issues relating to the annual reporting requirements for one-participant plans. Source: Sungard/Relius, July 2010.

Trends in Retirement Education - Summary: What are the key trends in workplace retirement education and financial education? We want to make sure we are ahead of the curve with our programs rather than responding too late to major industry changes. Source: Employersweb.com, July 2010.

DOL Adopts Amendment to Class Exemption Involving QPAMs - Summary: This document amends PTE 84-14, a class exemption that permits various parties that are related to employee benefit plans to engage in transactions involving plan assets if, among other conditions, the assets are managed by "qualified professional asset managers" (QPAMs), which are independent of the parties in interest and which meet specified financial standards. Source: U.S. Department of Labor, July 2010.

The 10 Most Common Retirement Benefits - Summary: Retirement benefits vary considerably by employer. Most large employers now provide a 401k or similar type of retirement account, but other valuable retirement perks including retiree health insurance and traditional pensions are declining. Here's a look at the most common retirement benefits. Source: U.S. News & World Report, July 2010.

Retirement Account Balances (Updated 7/10) - Summary: The retirement savings of American households took a big hit when the stock market crashed in 2008. Recently, however, a good portion of these losses has been reversed. This fact sheet follows trends in retirement account balances since the beginning of 2005. Source: Urban Institute, July 2010.

Good News for Retirement Plan Sponsors - Summary: Two new pieces of legislation hammered out at the end of June give retirement plan sponsors two new reasons to breathe a sigh of relief. Source: CFO.com, July 2010.

The 10 Most Generous U.S. Retirement Plans - Summary: How important is a company contribution in getting you to save for retirement? Very important, according to new research from BlackRock. But who has the most generous U.S. retirement plans? Source: Reuters, July 2010.

CFO's 2010 401k Providers Survey - Summary: The 401k Buyers Guide serves two main purposes for financial executives: 1) Assist in reviewing current providers by providing a context of what is available for other providers. 2) Narrow the selection of providers for plan sponsors considering a change or comparing costs and capabilities. Source: CFO.com, July 2010.

DOL Announces Prohibited Transaction Exemption Amendment - Summary: Financial institutions are now allowed to act as qualified professional asset managers (QPAM) for their plans, as a result of a recently announced change to a 2005 rule. Source: Planadviser.com, July 2010.

Can We Feel Good About Retirement? - Summary: A lot has changed in the past 25 years when it comes to company-sponsored retirement programs. In this column, the author explores the roots of the current shift from defined benefit to defined contribution plans. Source: Human Resource Executive Online, July 2010.

New Rules for Target-Date Retirement Funds - Summary: The mere threat of litigation appears to have produced some results. Oppenheimer and Putnam are among the companies that have already clarified the asset-allocation plans and fee structures of their target-date funds. Source: CNBC, July 2010.

Retirement Income Adequacy at Large Companies - Summary: This study assesses projected retirement resources at retirement versus financial needs during retirement, using actual data of more than 2 million employees, real retirement benefit plan designs at 84 large U.S. companies, and current employee savings behavior. The resulting measure of retirement readiness, or the difference between projected resources and needs, is expressed as a multiple of pay at retirement. Source: Hewitt Associates , July 2010.

Reducing Costs of 401k Plans With ETFs and Commingled Trusts - Summary: Participants are paying more of the cost of managing their 401k plans, which can take a substantial toll on their retirement savings. This study considers the potential savings that sponsors can achieve in their 401k's by reducing the trading costs embedded in the investment options that are often included in their plans. Source: Center for Retirement Research at Boston College , July 2010.

COMMENTARY: Presumption of Prudence and 401k Plan Litigation - Summary: Those who have been paying attention to how 401k plan litigation cases have played out in court are doubtless aware that many, perhaps most, are not coming to trial at all. Rather, they have been dismissed with startling regularity due to a "presumption of prudence." Source: Planadviser.com, July 2010.

Ten Useful Websites for 401k Plan Sponsors and Any ERISA Fiduciary - Summary: The realm of the ERISA fiduciary sometimes seems complex, especially for the 401k plan sponsor more concerned with meeting this month's production quota or the quarterly sales target. Fortunately, like most industries, a handful of websites have sprung up offering useful information geared specifically to 401k plan sponsors and fiduciaries. Source: Fiduciarynews.com, July 2010.

Best Practices For Avoiding Plan Compliance Issues - Summary: What are the key challenges for employers who sponsor employee benefit plans in complying with ERISA and how can a qualified employee benefit plan auditor be of assistance? Source: Metropolitan Corporate Counsel, July 2010.

COMMENTARY: SEC Proposal to Clarify Risks of Target-Date Funds Doesn't Get it Right - Summary: The Securities and Exchange Commission has gotten off on the wrong foot with its proposed rules aimed at helping investors better understand the risks of target-date funds. Rather than help, the central proposal it unveiled last month could further mislead investors. Source: Wall Street Journal, July 2010.

What Exactly Are 12b-1 Fees, Anyway? - Summary: Mutual-fund investors paid about $9.5 billion last year in 12b-1 fees, and if you don't know what that is, you're not alone. Regulators fret that too many investors don't understand what they're paying. Here's where your dollars are going. Source: Wall Street Journal, July 2010.

COMMENTARY: Variable Annuities Don't Belong in Retirement Plans - Summary: Commentator suggests that "high-cost tax-deferred annuities are poor choices for 401k and 403(b) plans. But the insurance industry fights change." Source: Forbes, July 2010.

Gulf Oil 401k Suits Spill Over to Anadarko - Summary: Stull, Stull & Brody has started an investigation relating to the 401k defined contribution retirement plans of Anadarko Petroleum Corporation. Source: Planadviser.com, July 2010.

Scott+Scott Announces BP 401k Plan Investigation - Summary: Another law firm has launched an investigation into possible violations of the Employee Retirement Income Security Act by BP PLC and fiduciaries of the its Employee Savings Plan. Source: Planadviser.com, July 2010.

A Squabble Over Proposed 401k Advice Rules - Summary: One area of the proposed DOL 401k advice rule that's receiving considerable attention by industry participants is the DOL's request for comments on whether it should provide regulations on what constitutes generally accepted investment theories. Source: Investment Advisor, July 2010.

COMMENTARY: The Different Flavors of ERISA Fiduciaries - Summary: This industry--with relatively few exceptions--is composed of plan investment service providers with nary a fiduciary bone in their bodies. These non-fiduciaries have no meaningful obligation to disclose the total costs that they bring to the table when proposing bundled or unbundled investment and administrative services to plan sponsors. Source: Morningstar, July 2010.

SEC Adopts "Pay to Play" Restrictions - Summary: The Securities and Exchange Commission voted unanimously to impose strict limitations on investments advisers engaging in the practice known as "pay to play." The new rule – proposed in July 2009 – relates to the practice of making campaign contributions to political figures who may be in a position to influence the hiring of money managers by public pension funds and "section 529" college savings plans. Source: Groom Law Group , July 2010.

Hands Out of the Cookie Jar: Expenses Paid With 401k Plan Assets - Summary: The decision to pay fees from the plan is a fiduciary decision subject to ERISA's fiduciary rules. That is, the plan must be established and maintained by the employer for the "exclusive benefit" of the employees and beneficiaries. That means that the plan cannot pay for expenses that are considered to be the responsibility of the employer. Source: Employee Benefit News (free registration may be required), July 2010.

The Retirement Challenge: Making Savings Last a Lifetime - Summary: American Benefits Council statement for the Hearing Record for the Senate Special Committee on Aging Hearing on "The Retirement Challenge: Making Savings Last a Lifetime." For employers, the Council recommends that any policy changes address fiduciary and administrative concerns. For employees, the key is education. Many employees view lifetime income options as costly investment products rather than insuring longevity. Source: American Benefits Council , July 2010.

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