Defined Contribution

The Senate draft of the new tax bill cut retirement provisions in the House bill that would have reduced current federal workers’ retirement benefits, but added a provision that would reduce benefits for newly hired workers.

The Securities and Exchange Commission announced last week that it is withdrawing proposals that would have applied to investment managers regarding ESG and cybersecurity disclosures, as well as safeguarding assets, and crypto custody management.

A federal judge in Minneapolis has approved the huge settlement against the health insurer for depleting the retirement savings of 350,000 employees due to “poorly performing” target date funds.

The state House and Senate approved the legislation, which would step up efforts to enroll employees in the Maine Retirement Investment Trust, and is now awaiting the governor’s signature.

The SPARK Institute submitted several recommendations regarding Saver’s Match and proper use of forfeited plan funds to be part of the upcoming 2025-2026 Priority Guidance Plan, in a letter sent to the Treasury and the IRS.

This week, Cigna was again sued for fiduciary violations for using forfeited funds to reduce employer contributions to the plan, following a similar suit last month. What's surprising is that another health insurer, UnitedHealth, is now facing two similar 401(k) lawsuits.