Coasting in Retirement is dedicated to the financial planning and investment management needs of pre-retirees and retirees living an active lifestyle along our part of the Gulf Coast. Host Josh Null and co-host Michelle Melton dive into relevant financial topics, plus have a little fun with the "Michelle with the News of the Week" and "Josh's Crystal Ball & Big Mouth" segments. Josh's practice Gulf Coast Financial Advisors serves clients in the Panhandle of Florida, Lower Alabama, and the Gulf Coast of Mississippi and Louisiana. You can hear the original broadcast of Coasting in Retirement every Sunday from Noon to 1 PM CT on 106.5 FM in Mobile, Alabama.
This episode is a great example of how competitive the 401k industry has become over the past several years, and why plan sponsors need to keep their plans up to date with consistent benchmarking exercises.
In this episode, Josh and Jay provide context to the updated Electronic Disclosure Rule, particularly around how significantly technology and electronic communications have changed since the rule was first introduced in 2002.
The CARES Act permits a “coronavirus-related distribution” of up to $100,000, with favorable tax treatment, but employers across the country have struggled with this. Some implemented it; some are dead set against it, and some are taking a wait and-see approach.
Retirement plans experienced a monumental shift from the days of the company taking care of it’s employees' retirement needs, both in the accumulation phase and distributions in retirement, to current day where many plans are self directed and require the plan participant to make investment and withdrawal decisions on their own.
Most business owners offering 401k plans are not aware that they could be held personally liable for decisions made in their 401(k) plan, and the bigger your plan, typically the more likely that the IRS, DOL or a plaintiff’s attorney will take a look.
At first glance it would appear that all target date funds with the same retirement year would function exactly like each other, but the reality is that the funds from different companies could have significantly different equity exposures.