ICYMI - Monday, Mar 30, 2020

Coronavirus Update

On Friday, President Trump signed into law the sweeping $2 trillion stimulus bill that includes retirement relief provisions supported by the American Retirement Association. https://www.psca.org/news/trump_coronavirus

PSCA has compiled a list of resources for plan sponsors regarding the impact of the coronovirus on different aspects retirement plan administration and will update it frequently as the situation evolves. https://www.psca.org/industry-intel/coronavirus-impact-retirement-plans

PSCA is also hosting a webinar this afternoon at 1:30 PM to discuss the retirement plan provisions in new legislation and implications for your plan. Register now if you have not already done so. 

Recent News you May Have Missed

Copy Catch:  SCOTUS ‘Actual Knowledge’ Ruling Bears ‘Fruit’
If you’ve been wondering about the potential impact of the U.S. Supreme Court’s recent “actual knowledge” decision, wonder no more.

Collective ‘Trust?’:  Bill Would Expand Investments 403(b) Plans Can Make
The Public Service Retirement Fairness Act, introduced by Rep. Jimmy Panetta (D-CA), would allow 403(b)s to invest in collective investment trusts (CITs), as private-sector 401(k)s can.

‘Tell’ Tales: How investors, advisors, and sponsors are navigating COVID-19
Sponsors should be making sure that their participants are getting communications from their recordkeepers during the crisis. They should know what resources are available to them. Calming but realistic education is important right now for plan participants. They should know about loan options and hardship withdrawals, especially if a company is planning layoffs or furloughs.

Spike’s Peak?:  Retirement Plan Providers Preparing for Spikes in Loans and Hardships
Fidelity anticipates a spike in both loan and hardship withdrawal activity, and in response, it has already rolled out support resources for plans and participants.

Cutting ‘Edge?’:  Companies slash 401(k) contributions amid COVID-19
Employers have started cutting back on 401(k) benefits amid the COVID-19 outbreak, in many cases stopping their contributions to employees’ accounts in order to reduce costs.

PSCA In the News​

• Missing Participants: Audit Investigation Tips
• Helping Plans Respond to the New Challenges
• Coronavirus may prove to be a 'time-limited' problem for plan sponsors
• CARES Act Passes Congress, Including Retirement Plan Relief
• Here’s why Suze Orman says it’s better to invest your retirement savings in a Roth 401K if you can