Archives: Resources
Thrift Savings Plan Enhancement Act of 2009
The Thrift Savings Plan Enhancement Act of 2009 (H.R. 1984)* changes the federal retirement savings plan. The Thrift Savings Plan (TSP) is similar to a 401(k) plan and allows federal civil service employees to make voluntary tax deferred contributions into individual retirement accounts. For employees covered by the Federal Employee Retirement System, contributions are matched up […]
The HEART Act
The President has signed into law the Heroes Earnings Assistance and Relief Tax Act (HEART Act) which includes provisions relating to death, disability and pension benefits. Some pension plans offer special death and disability benefits for workers and their families if the worker dies or becomes disabled while employed. One provision of the HEART Act […]
Multi-Employer Funding Notices
Required Notices on Funding of Multiemployer Defined Benefit Plans: 29 USC §101(f)The Pension Funding Equity Act of 2004 requires multiemployer plans to provide more detailed notices on the status of the pension plan’s assets, and other important information. The new rule applies to plan years beginning after December 31, 2004. The information required in the […]
Rules for Administrative Review of Agency Decisions
The Pension Benefit Guaranty Corporation issued final regulations clarifying the rules for administrative review process of the agency’s decisions.
Funding relief for pension plans
The Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act (Pub. L. No. 111-192) was signed into law by the President on June 25, 2010. It provides funding relief to employers paying into both single- and multiemployer pension plans. Private pension law currently gives employers extra time to fully fund their pension […]
State Retirement Plans and Divorce
Each state retirement system has its own rules relating to the division of state employees’ pensions in divorce proceedings. Below is basic information on each state retirement system’s rules. Why does this matter? A pension can be the most valuable asset of a marriage. When going through a divorce, both parties to the marriage should know whether the state government employee’s pension or […]
Roth IRAs
What is a Roth IRA and how does it work? A Roth IRA grows tax-free, and if an individual withdraws the money after age 59 ½ and the account has been in place for at least 5 years, the withdrawal will not be taxed. However, contributions to the Roth IRA are not tax-deductible. Who can […]
Traditional IRAs
What is a Traditional IRA and how does it work? The most common IRA, a Traditional Individual Retirement Account, allows an individual to get a tax deduction for money that is set aside for retirement. The money put into an IRA and the investment earnings on those contributions are not taxed until they are withdrawn. Who can set up a […]
Companies That Have Changed or Temporarily Suspended Their 401(k) Matching Contributions
Below is a list of employers that have announced plans to reduce or suspend matching contributions to their employees’ 401(k) and other defined contribution plan accounts since June 2008. For details on each company’s decision, click the employer’s name to see the company’s press release or news story announcing the change. Learn why the employer […]
Pension Rights After Divorce
A pension earned during marriage is generally considered to be a joint asset of both spouses. However, it is up to state divorce courts to decide whether and how pension assets are divided, and whether survivors benefits are payable. Except in the case of Social Security and Tier I Railroad Retirement benefits, a court order is necessary for someone who […]
Payroll Deduction IRAs
What is a Payroll Deduction IRA? A Payroll Deduction IRA is an arrangement that allows employees to contribute to an Individual Retirement Account through their employer. Any employer can choose to set up a Payroll Deduction IRA. How does a Payroll Deduction IRA work? If an employer sets up a Payroll Deduction IRA, it is […]
Inherited IRAs
What is an Inherited IRA? If you are named as a beneficiary of the IRA of someone who has died, the amount you inherit becomes an Inherited IRA. The rules that apply to Inherited IRAs differ depending on the type of IRA you inherit and whether you are the spouse of the deceased IRA owner. […]
