Breaking Down Owner-Only Benefit Plans

Breaking Down Owner-Only Benefit Plans

Once a staple of the American workforce, benefit Plans – more commonly referred to as pension plans – are quickly becoming the lesser known and least utilized retirement fund. In comparison to more popular retirement funds like 401(k) plans and IRA’s, the benefit plan is lagging behind. In large part the decline of benefit plans can be attributed to companies moving away from these sort of long-term benefits to employees and moving towards more flexible savings options. Before we get much farther into our discussion of Owner-Only Benefit Plans, it’s important to fully understand what this type of plan is.

Retirement is More Complex Than Ever—What Can We Learn From Others?

Retirement is More Complex Than Ever—What Can We Learn From Others?

After the ensuing chaos of The Great Depression of 1929, when unregulated and high-risk stock market investments resulted in the Stock Market Crash that destroyed millions of investors and left most corporations without any income to continue paying workers, 13 to 15 million Americans were unemployed, and approximately half of the banks in America failed. In part of the reconstruction efforts, President Franklin Delano Roosevelt set about to create a remedy for American workers and in 1935 signed into law the Social Security Act. As a wage earning American citizen, it is important that you understand why Social Security is in danger of Privatization.

Keeping Up with the Fiduciary Rule: How the House Voted

Keeping Up with the Fiduciary Rule: How the House Voted

It may be surprising to learn that although the landscape has changed drastically over the past 40 years, regulations pertaining to retirement plans have not. Since 2010, the Department of Labor (DOL) has been working to redefine and clarify what the term ‘fiduciary’ means under the Employee Retirement Income Security Act (ERISA), in April, the final rule was released. The new definition specifically looks at the distinction between providing investors ‘education’ and ‘advice’. The new rules set forth by the DOL redefines who is classified as a fiduciary and what responsibilities accompany that title.