More retirement-related regulatory news for plan sponsors, including links to detailed information.
IRS survey regarding determination letter elimination
The Internal Revenue Service (IRS) Advisory Committee on Tax Exempt and Government Entities (ACT) is conducting its 2015-2016 project on the IRS’s decision to eliminate most determination letters for individually designed plans. As part of the project, the agency has prepared a short, confidential online survey to solicit retirement practitioner/service provider feedback on the elimination and to determine the choices plan sponsors are likely to make as well as how the IRS can minimize the impact of the change. The ACT would like responses by February 1.
To take the survey, click here.
CFPB releases guide to help consumers navigate pension payout options
The Consumer Financial Protection Bureau (CFPB) has released a guide to help consumers navigate their pension payout options and make the right decisions about their retirement income. The guide gives near-retirees the information they need to understand the trade-offs of taking their pension in a monthly payment or in a lump sum.
To help consumers who are considering a lump-sum payout option from a private-sector defined benefit pension plan, the CFPB guide also provides tips and warnings about how to protect and best manage that money.
To read the entire guide, click here.