Participants may withdraw up to $1,000 within a year from their retirement account to pay for an emergency without penalty. The full distribution amount must be repaid within 3 years, and no further emergency distributions are permissible until repaid.
Retirement Plan Law
Restrictions Loosened in Employer Sponsored Plans for Environmental, Social and Corporate Governance (ESG) Investment Options
On November 22, 2022, the U.S. Department of Labor (DOL) issued a final rule, Prudence and Loyalty in Selecting Plan Investments and Exercising Shareholder Rights, that will make it easier for Plan Sponsors to consider ESG or “Environmental, Social and Corporate...
How to Take Advantage of Retroactive Cash Balance Pension Plans – A Tax-Friendly Solution
How to Take Advantage of Retroactive Cash Balance Plans - A Tax-Friendly Solution A cash balance plan is designed to maximize tax deferrals to the owner and key staff and significantly accelerate the process of saving for retirement, often suitable for small to...
Simplifying SECURE 2.0 Act on- Required Minimum Distributions (RMD) and Reduced Penalties in 2023
The SECURE 2.0 Act raises the age from 72 to 73 when individuals must begin taking RMDs from their retirement accounts. Reduced penalties include: Failure to take an RMD is reduced from 50% to 25% The penalty is further reduced to 10% if a failure is corrected SECURE...