Advisor Sales Strategies

President Trump’s new executive order paved the way for alternative assets to be included in 401(k)s, and now the Department of Labor has lifted a warning for fiduciaries so they can best decide the right options for their retirement plans.

The Department of Labor has withdrawn its proposal to eliminate what it referred to as a “redundant” safe harbor rule that provides a standard for fiduciaries in selecting annuity providers.

In September, Senate Minority Leader Chuck Schumer will introduce the Keep Billionaires out of Social Security Act, targeting President Trump’s DOGE cuts to the SSA, to help “reduce wait times and improve access” for seniors, he said.

The Department of Labor has proposed to eliminate a “redundant” safe harbor rule that provides a standard for fiduciaries in selecting annuity providers, however, the rule is needed to ensure the growing inclusion of annuities in 401(k)s, says the Insured Retirement Institute.

Plan sponsors, advisors and service providers have worked to implement a multitude of SECURE 2.0 provisions in the last few years; however, they still need to conquer at least two significant provisions surrounding catch-up contributions.

Employers need to be aware of the increased limit on catch-up contributions on older participants, as well as DOL’s new policy on transferring benefit payments on missing participants and uncashed checks of $1,000 or less.