RMDs, which are required minimum distributions, mandated by the IRS to be taken from traditional IRAs, rollover IRAs, SIMPLE IRAs, SEP IRAs, most Keoghs, and most 401(k) and 403(b) plans, were waived in 2020. But as life returns to the “new normal,” RMDs are back. While the March 2020 passage of the CARES Act (Coronavirus Aid Relief and Economic Security) temporarily waived the required minimum distributions for all types of retirement accounts, included inherited IRA plans, the waiver expired in December of 2020.
Although the Social Security Administration is giving their social security statements a facelift, they are doing it quietly. Thus far, only selected accounts have received the new benefits statement.
Last year, Newport Retirement Services and PLANSPONSOR published an insightful executive benefits report based on a survey of 282 public and private for-profit companies, representing a cross section of industries. Among the topics the survey addressed was that of “class year” or “account based” plan design for the companies’ nonqualified deferred compensation plan (NQDC), of which, 98 percent of the companies participating in the survey currently offer.
The State of Georgia passed H.B. 149 early last month, seeking a workaround to the $10,000 SALT* cap, included in the Tax Cuts and Jobs Act of 2017 (TCJA). The Bill, as passed by the Georgia House and Senate, becomes law pending the signature of Georgia Governor Brian Kemp. It will add Georgia to the growing list of states to give pass-through entities (PTEs) the option to be taxed at the entity level.
Just when you needed a window for scheduling some time off, June rolls in with a shorter than usual checklist of health and retirement benefits deadlines to meet. Thank you, as always, to our friends at IslerDare PC for providing us timely reminders and permitting us to share them with readers of Deferred Compensation News.
The team at Fulcrum Partners wishes you and your family a safe, happy start to your summer over the long Memorial Day weekend.
According to a May 24 Reuters article, stakeholders are speaking out on executive pay, with opposition to U.S. CEO pay at its highest ever.
If you think your organization’s workforce has accomplished a lot working remotely this past year, consider how you stack up against the Small Business Administration (SBA).
As the federal income tax structure is being re-tooled yet again, employers are evaluating the use of nonqualified plans as a strategy for positioning the organization’s executives to save more effectively for retirement. Why employers use nonqualified deferred comp plans includes benefits both for the organization and for its executives.
While some Americans are struggling to get re-established in their jobs or find new employment post COVID-19, others are in a “rush to retire”. The global pandemic impacted everyone in similar ways, and each of us differently. With a heightened sense of “life is short,” some executives who are financially positioned to retire, are choosing to opt out of the workplace years ahead of their original planned retirement date.