ERISA Roundup - Q2 2019

July 2019

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A NOTE FROM BDO’S NATIONAL ERISA PRACTICE LEADER


Summer is in full swing and as you get back to normal work life after July 1st, deadlines, and a long holiday weekend, we are here to help bring you up to speed on the latest news updates and industry trends.

In addition to our regular insights, this quarter we’re sharing key learnings from the AICPA Employee Benefit Plans Conference which took place in New Orleans in May, as well as a special 2-part piece on what plan sponsors need to know when it comes to business combinations.

We understand it’s your mission to help guide your employees to financial freedom, and with that in mind, we’re looking at new ways to share our expertise. Next quarter, we’ll be launching a podcast that will be taped live once a month and available for you to listen to through the Apple Podcasts app.

As always, we invite you to keep up with our insights as they’re published at www.bdo.com/erisa.

Sincerely,

    Garner_Beth-6066-BG25.jpgBETH GARNER 
    
National Practice Leader, ERISA
 
 

IN THIS ISSUE...

  

Highlights from the AICPA Employee Benefit Plans Conference

Staying on top of the latest accounting and auditing trends that affect employee benefit plans is important to our ERISA services team to better serve Plan Sponsors
 
READ THE FULL ARTICLE
 


Accounting Changes for Recognition of Pension Liability Settlements

An update to ASC 715 incorporating new pension accounting standards will impact the way plan sponsors approach the recognition of pension liability settlements.
 
READ THE FULL ARTICLE
 


Health Plan Held to Same ERISA Fiduciary Standards as Retirement Plans

The U.S. Department of Labor (DOL) recently asserted against a not-for-profit health plan sponsor breaches of Employee Retirement Income Security Act (ERISA) fiduciary duties and prohibited transactions for allegedly allowing the plan to pay excessive fees to its service providers. 
 
READ THE FULL ARTICLE
 


New Law Eases SBA Financing Rules for ESOPs

Small business owners looking to convert their organization to an employee-owned company may have an easier path thanks to a new law signed by President Donald Trump last year.
 
READ THE FULL ARTICLE
 


IRS No Longer Prohibits Retiree Lump Sum Windows in Defined Benefit Pension Plans

Defined benefit (DB) plan sponsors can once again offer retirees and beneficiaries receiving annuity payments a limited opportunity to convert their benefits into a lump sum.
 
READ THE FULL ARTICLE
 


Employer’s Business Insurance did not Cover its Failure to Pay Employee Benefit Plan Premiums

Many employers carry general business liability insurance with fiduciary clauses to hedge against potential losses that may result from negligent acts of some sort committed by their employees.
 
READ THE FULL ARTICLE
 


M&A and Employee Benefits: Pre-Transaction Considerations

Corporate mergers or acquisitions are complex, labor-intensive processes with high-stakes outcomes. 
 
READ THE FULL ARTICLE
 


M&A and Employee Benefits: Post-Transaction Considerations

As we discussed in our last post, employee benefits should be an important consideration for both buyers and sellers as they prepare for a merger or acquisition.
 
READ THE FULL ARTICLE
 


IRS Expands Self-Correction and Determination Letter Programs for Retirement Plans

The IRS recently expanded two existing programs for tax-qualified retirement plans — the Employee Plans Compliance Resolution System (EPCRS) and the determination letter (DL) program for individually designed plans. 
 
READ THE FULL ARTICLE
 


Deadline Approaches for Remedial Amendments For 403(B) Plans

Maintaining compliance for 403(b) retirement plans historically has been challenging given the lack of historical regulatory oversight, guidance from the Internal Revenue Service (IRS), and non-profit organizations’ limited resources.

READ THE FULL ARTICLE
 


ERISA "Top Hat" Plan Statements To Be Filed Electronically Starting In Mid-August

On June 17, 2019, the U.S. Department of Labor (DOL) finalized proposed regulations requiring that all “top hat” plan statements and apprenticeship and training plan notices must be filed electronically, starting in mid-August. 

READ THE FULL ARTICLE
 


2019 DEADLINES AND IMPORTANT DATES FOR PLAN SPONSORS


August 2019
August 14: File PBGC Form 10 by Aug. 14, Post-Event Notice of Reportable Events for single-employer defined benefit plans.
August 31: Plans that failed compliance testing may take this midyear opportunity to run compliance tests. Aug. 31

September 2019
September 15: If an extension was filed, Sept. 15 is the deadline to fund employer contributions.
September 15: Minimum funding deadline for single- and multiemployer defined benefit plans.
September 25: File PBGC Form 200 by Sept. 25, if plan sponsor of a single-employer defined benefit plan does not make the Sept. 15 required contribution, causing the plan to have more than $1 million in unpaid contributions.
September 30: Sept. 30, Summary Annual Report sent to participants with Dec. 31 plan year end.

View All Deadlines and Important Dates
 


CONTACT:
 
Beth Lee Garner
Assurance Partner, National Practice Leader
 
     Wendy Schmitz
Assurance Director, Atlantic Region Practice Leader
 

 
Kimberly Flett
Managing Director, National Practice Leader
ERISA, STS Compensation and Benefits
  Joanne Szupka
Assurance Director, Northeast Region Practice Leader
 

 
Mary Espinosa
Assurance Director, West Region Practice Leader
  Jam Yap
Assurance Director
Southeast Region Practice Leader

 
Jody Hillenbrand
Assurance Director, Southwest Region Practice Leader
  Darlene Bayardo
National Assurance Director

 
Luanne MacNicol
Assurance Director, Central Region Practice Leader
 
  Chelsea Smith
National Assurance Senior Manager

 
Rich McCleary
Actuarial Managing Director, Compensation and Benefits
  Andy Gibson
Compensation and Benefits Leader

 
Alex Lifson
Principal
 
  Norma Sharara
National Tax Office Managing Director, Compensation and Benefits

 
Joan Vines
National Tax Office Managing Director, Compensation and Benefits
  Blake Head
Global Employer Services Managing Director

 
Linda Baker
Senior Manager - Compensation & Benefits