24 07, 2019

What Congress Could Do To Stop a Pension Crisis

2019-07-24T15:20:25-07:00July 24th, 2019|Categories: Defined Benefit Plans|Tags: , |

A looming retirement crisis is facing the U.S. taxpayer that will become an economic tsunami if Congress doesn’t act. The pensions of 1.3 million workers in certain multiemployer pension plans and the federal government’s Pension Benefit Guaranty Corporation (PBGC) are set to collapse. Only Congress can prevent this from cascading throughout the economy, to taxpayers and into healthy pension plans and their employers. How things spiraled into this crisis is complicated, but important to understand. Some say it’s a multiemployer problem, [...]

12 06, 2019

Multiemployer pension reform bill approved by House Education and Labor Committee

2019-06-12T06:00:34-07:00June 12th, 2019|Categories: Multiemployer Plans|Tags: , , |

Bipartisan multiemployer pension reform legislation that would create a federal loan program for struggling plans was approved Tuesday in a 26-18 vote by the House Education and Labor Committee. The bill introduced by House Ways and Means Committee Chairman Richard E. Neal, D-Mass., in January has 168 co-sponsors, including eight Republicans. Mr. Neal said his committee will be voting on the bill soon, with a sense of urgency for an estimated 10% of multiemployer pension plans covering 1.5 million [...]

10 06, 2019

Washington Threatens to Change Retirement Planning Forever

2019-06-10T09:31:52-07:00June 10th, 2019|Categories: Retirement|Tags: , |

Lawmakers play a vital role in helping Americans save for retirement. The laws that members of Congress help put in place create incentives for certain behavior while discouraging other actions, and in the retirement context, the trend over the past several decades has moved toward greater personal responsibility. In particular, the shift from employer-provided pensions to workplace 401(k) plans and IRAs has put the responsibility to save enough for retirement in workers' hands. One benefit of the retirement accounts [...]

5 06, 2019

The SECURE Act – A Primer on the Top Six SECURE Act Changes that could be coming to Retirement Plans Next Year

2019-06-05T10:19:42-07:00June 5th, 2019|Categories: Pension Reform|Tags: , |

The SECURE Act (the “Act”) passed the House with bipartisan support and is on its way to the Senate with predictions that it could end up on the President’s desk by the end of the year. Here are some highlights of this potential legislation. 1. Longer Life means Later Mandatory Distributions. To account for increases in life expectancy, the Act would increase the age for required minimum distributions from 70 ½ to 72. The Act will also repeal the [...]

28 11, 2018

House proposes ambitious tax package with retirement provisions

2018-11-28T13:52:43-08:00November 28th, 2018|Categories: Retirement|Tags: , |

A legislative tax package with several retirement savings ideas promoted in both the House and Senate was introduced late Monday by House Republicans. One part of the 297-page tax package is the proposed Retirement, Savings and Other Tax Relief Act of 2018. It builds on the Family Savings Act passed by the House in September and incorporates several provisions from the Senate's proposed Retirement Enhancement and Savings Act of 2018, which has not been voted on. A House version [...]

15 10, 2018

Critical and declining multiemployer plans need help from Congress, Segal Consulting says

2018-10-15T14:40:45-07:00October 15th, 2018|Categories: Multiemployer Plans|Tags: |

Critical and declining multiemployer pension plans are not likely to recover without help from Congress, a study released Tuesday by Segal Consulting concluded. Critical and declining plans classified as being in the red zone are projected to be insolvent, generally within the next 20 years, putting participants, including retirees, at risk of reduced benefits. Segal Consulting analyzed red-zone multiemployer plans over the past 10 years, and found that for plans that were in the red zone in 2010, there [...]

15 06, 2018

More than 150 pension plans may run out of money, businesses tell Congress

2018-07-13T15:28:26-07:00June 15th, 2018|Categories: Pension Funding|Tags: |

The pension crisis that threatens the retirement savings of 1.5 million Americans, including 60,000 Ohioans, also poses the risk of driving the U.S. economy into a tailspin, a panel of witnesses told a congressional panel. Witnesses from the U.S. Chamber of Commerce and businesses including UPS told the Joint Select Committee on the Solvency of Multiemployer Pension Plans that should the estimated 150 to 200 multiemployer pension plans that are in danger become insolvent, the companies that paid into [...]

16 02, 2017

Stop Congress from killing retirement savings for low-moderate income workers

2017-02-16T17:51:35-08:00February 16th, 2017|Categories: Retirement|Tags: , |

After eight years of collaboration between senior and consumer advocates, business, and labor — is on the cusp of providing greater retirement security to 6.8 million private-sector wage earners. But, suddenly, the state’s pioneering “Secure Choice” plans are under siege. Secure Choice has been hailed as the most significant expansion of retirement security since the passage of Social Security in 1935. It is a simple, voluntary savings plan that will be offered to private sector California workers at no cost [...]

10 11, 2014

GOP Congress might revisit tax incentives for retirement plans

2014-11-10T17:19:16-08:00November 10th, 2014|Categories: Retirement|Tags: , |

Tax incentives for retirement plan sponsors and participants could change once Republicans take control of the 114th Congress in 2015. Plus, money managers could be affected if the new Congress revisits much-criticized financial regulation. The dramatic election results of Nov. 4 gave Republicans control of both houses of Congress for the first time since 2006. But their Senate majority of 52 confirmed seats won’t be enough to run roughshod over other legislators; Republicans still will have to work with [...]

26 03, 2014

Co-op Pension Plan Bill Clears Congress

2014-03-26T21:11:43-07:00March 26th, 2014|Categories: Pension Reform|Tags: , , |

A bill designed to protect the electric cooperative pension plan from overregulation and unstable funding requirements is headed for President Obama’s signature. The House of Representatives approved the Cooperative and Small Employer Charity Pension Flexibility Act March 24 on a voice vote. It permanently exempts not-for-profit sponsors of multiple-employer pension plans, like the NRECA Retirement Security Plan, from costly and unpredictable provisions of the 2006 Pension Protection Act. […]