Reporting Developments Affecting Employee Benefits and Executive Compensation

SECURE 2.0: Two-Year Transition Relief Announced for Roth Catch-Up Contributions

Long-awaited guidance was received from the IRS on Friday related to the SECURE 2.0 ‎requirement that catch-up contributions for high-income participants in 401(k), 403(b), and ‎governmental 457(b) plans be made as Roth contributions. Notice 2023-62 provides for a 2-year ‎administrative transition period that will be welcome relief to retirement plan sponsors and ‎record keepers alike.

Read More

IRS Proposes Regulations on Using Forfeitures in Qualified Retirement Plans

On February 27, 2023, the Department of the Treasury (“Treasury”) and Internal Revenue Service (“IRS”) issued proposed regulations (the “Proposed Regulations”) relating to forfeitures in tax-qualified defined benefit and defined contribution plans. Forfeitures generally arise when a participant terminates employment before completing the required service for full vesting of employer contributions under the terms of the plan.

Read More

A Tale of Two Remedies: Preparing Employee Benefits Plans for the Sunset of Covid-19 ‎Relief

On January 30, 2023, the Biden Administration announced that both the COVID-19 National ‎Emergency and the Public Health Emergency (collectively, the “Emergency Declarations”) ‎would end on May 11, 2023, sunsetting nearly three years of extended deadlines and certain ‎mandates related to COVID-19 testing and vaccines applicable to employer-sponsored benefit ‎plans.‎

Read More

IRS Expands Determination Letter Program to Include Individually-Designed 403(b) Plans

In Revenue Procedure 2022-40, the IRS recently expanded the determination letter program to allow applications by individually-designed 403(b) plans. This expansion will allow 403(b) plan sponsors to request a determination letter that expresses the IRS’ opinion that the plan’s terms (as stated in the plan document) meet the requirements under Section 403(b) of the Internal Revenue Code and other qualification requirements.

Read More

SEC Adopts Final Clawback Rules

The SEC adopted long-awaited final rules that require the recovery of erroneously awarded ‎incentive-based compensation of executive officers, as required by the Dodd-Frank Act. Under ‎Rule 10D-1, each exchange must adopt listing standards that will apply to all listed issuers, ‎with limited exceptions. ‎

Read More

IRS Announces 2023 Retirement Plan Limits ‎–‎ Unprecedented Increases to All Limits

The Internal Revenue Service announced the 2023 cost-of-living adjustments to the dollar ‎limitations for qualified retirement plans and other benefits, and the Social Security ‎Administration announced its own cost-of-living adjustments for 2023. All of the dollar limits, ‎including the elective deferral contribution limit for 401(k), 403(b) and 457(b) plans, the ‎annual compensation limit under 401(a)(17), the maximum annual contribution limit under ‎Code Section 415(c) and the dollar limit for catch-up contributions (if age 50 or older) will ‎increase from 2022 limits.‎

Read More

IRS Extends Deadlines for Adopting CARES Act Amendments for Retirement Plans

On September 26, 2022, the Internal Revenue Service issued IRS Notice 2022-45, which ‎extends the deadline for amending retirement plans to reflect certain optional and required ‎changes under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) and ‎section 302 of Title III of the Taxpayer Certainty and Disaster Tax Relief Act of 2020 (Relief ‎Act).

Read More

IRS Notice 2022-33 Extends Retirement Plan Amendment Deadlines

On August 3, 2022, the Internal Revenue Service issued IRS Notice 2022-33, which extends the ‎deadline for amending certain plans with the applicable requirements of the Setting Every ‎Community Up for Retirement Enhancement Act of 2019 (SECURE Act), the Bipartisan ‎American Miners Act of 2019 (Miners Act), and one provision of the Coronavirus Aid, Relief, ‎and Economic Security Act (CARES Act).‎

Read More



Email the Editors

Click here to Email the Editors

Locke Lord LLP

For the latest information about our Firm visit