More retirement-related regulatory news for plan sponsors, including links to detailed information.
PBGC posts 2018 annual report
The Pension Benefit Guaranty Corporation (PBGC) released the 2018 Annual Report. According to the report, the PBGC paid benefits to more than 861,000 retirees in 4,919 failed single-employer plans. An additional 532,000 retirees are scheduled to receive their benefits when they retire. The PBGC also provided financial assistance to 81 multiemployer plans covering 62,300 retirees.
To download the entire report, click here.
Advance copies of Form 5500 Annual Return/Report for 2018 released
The Employee Benefits Security Administration of the U.S. Department of Labor (DOL), the Internal Revenue Service (IRS), and the PBGC released advance informational copies of the 2018 Form 5500 Annual Return/Report and related instructions. The “Changes to Note” section of the 2018 instructions highlights important modifications to the Form 5500 and Form 5500-SF and their schedules and instructions.
To learn more, click here.
Advisory opinion on addressing auto-portability issued
The DOL has issued Advisory Opinion 2018-01A, addressing auto-portability. Advisory Opinion 2018-A states that defined contribution plan sponsors who accept automatic rollover contributions under auto-portability will not be a fiduciary with respect to those contributions. This fiduciary “safe harbor” represents an important step to facilitate auto-portability’s widespread adoption by plan sponsors, as well as their recordkeepers.
To read the entire advisory opinion, click here.
PBGC requests OMB approval, with modifications, of qualified domestic relations orders’ booklet
The PBGC is requesting the Office of Management and Budget (OMB) to extend approval (with modifications), under the Paperwork Reduction Act of 1995, of the information collection related to PBGC’s booklet, Qualified Domestic Relations Orders & PBGC.
To learn more, click here.
PBGC requests OMB approval, with modifications, of annual reporting (Form 5500) series
The PBGC is proposing modifications to the 2019 Schedule R (Retirement Plan Information), Form 5500-SF, Schedule SB (Single-Employer Defined Benefit Plan Actuarial Information), and their related instructions. The schedules are part of the Form 5500 Series. These proposed modifications affect some, but not all, single-employer defined benefit plans covered by title IV of ERISA.
PBGC also is proposing minor modifications to the Form 5500 Series to improve the accuracy of reported information. The modifications are described in greater detail in the supporting statement submitted to OMB with this information collection, along with PBGC’s rationale for each modification.
For more information, click here.